What you need to know about Shopify Capital eligibility

When you're running an online business, securing capital can make all the difference between steady growth and being stuck in a plateau. For Shopify merchants, Shopify Capital offers a quick and accessible way to inject funds into your business without the complexity of traditional bank loans. However, understanding Shopify Capital eligibility and the limitations of its terms is crucial before deciding if it’s the right choice for your business. For those seeking more flexibility, alternatives like Yardline provide a tailored approach to funding, helping entrepreneurs meet their unique needs.

What is Shopify Capital?

Shopify Capital is a financing program integrated directly into the Shopify platform, offering two types of funding: merchant cash advances and Shopify Capital loans. Unlike traditional loans that come with fixed monthly payments, Shopify Capital allows businesses to repay funding as a percentage of their daily sales, making repayment adaptable to a business’s actual performance. Shopify’s goal is to help merchants secure fast funding for activities such as purchasing more inventory, launching new marketing campaigns, or expanding operations.

The main appeal of Shopify Capital is the ease of use and how seamlessly it integrates with the Shopify ecosystem. Shopify evaluates businesses and offers capital based on their sales performance, and if approved, the funds are disbursed quickly. This allows businesses to avoid long, complicated application processes.

Shopify Capital Eligibility: How to Qualify for Shopify Capital

To take advantage of this financing option, you need to understand Shopify Capital eligibility. Shopify doesn’t have a traditional application process for its capital program. Instead, it automatically evaluates businesses using key performance data and offers capital to those that meet its criteria.

Here are some key factors that influence how to qualify for Shopify Capital:

• Sales History: Shopify reviews the consistency and volume of your sales over time. Businesses with steady and increasing sales are more likely to qualify.
• Shopify Payments: Using Shopify Payments is a major factor in determining eligibility. Shopify can easily track your sales and revenue data, making it simpler for them to assess your risk and make you an offer.
• Account Health: Your Shopify account needs to be in good standing, meaning no significant policy violations or unresolved issues.
• Business Location: Shopify Capital is currently only available to businesses located in the United States, Canada, and the United Kingdom.
  
  

Shopify continuously monitors merchants, and if your business qualifies, you’ll receive a notification directly in your Shopify admin dashboard. The best part is that this process is automatic—there's no formal application to fill out. However, this also means that if you don’t meet the criteria, there’s no way to appeal or apply directly. The flexibility of Shopify Capital’s repayment structure is an attractive option, but it might not suit every business.

Yardline Vs. Shopify Capital

While Shopify Capital provides a convenient, integrated solution for funding, its offerings and terms may not always align with every business's needs. For instance, the funding amount might be limited based on sales performance, and the automatic deduction of a percentage of daily sales can strain cash flow during slower months. If your business needs a more customized financing solution, Yardline is an excellent alternative.

Yardline is a comprehensive funding partner that understands the unique challenges faced by online businesses. It offers a variety of tailored funding options to suit different business needs, whether you want to expand your inventory, run additional ads, or launch new products. Unlike Shopify Capital, Yardline provides more flexible financing terms, offering funding amounts from $5,000 up to $20 million, which makes it suitable for businesses of any size.

With Yardline, businesses can apply for funding in just a few minutes, and approval decisions are often made within 24 hours, ensuring that companies have access to the capital they need as quickly as possible. This rapid turnaround time can be a game-changer for businesses looking to seize time-sensitive opportunities or manage unexpected expenses.

Yardline’s Flexible Funding Solutions

Yardline offers a wide range of financial products designed to meet the needs of online businesses:

• Small Business Loans
• Revolving Lines of Credit
• Revenue-Based Financing
• Personal and Business Credit Cards
• Purchase Order (PO) and Invoice Factoring
• Inventory Financing
• SBA Loans

One of Yardline’s strengths is its straightforward eligibility criteria. Businesses can apply as long as they meet these three simple qualifications:

1. The business has been operational for at least six months.
2. It generates a minimum of $5,000 in monthly revenue.
3. It is a registered business entity.
   
   

Yardline also serves a global market, with funding available to businesses in North America, Europe, Asia, and Australia. Many Shopify sellers have found Yardline to be an invaluable resource for securing the capital they need to order more inventory, expand their product lines, or increase marketing efforts.

How Yardline Stands Out

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In contrast to Shopify Capital loans, which offer fixed repayment terms based on sales, Yardline's flexibility allows businesses to choose from different financing options tailored to their specific circumstances. Yardline’s ability to offer larger funding amounts and more diverse financial products gives businesses room to grow without being constrained by one-size-fits-all funding models.

Moreover, the application process is quick and hassle-free, providing an approval decision in as little as 24 hours. This is a critical advantage for merchants who need to move fast in today’s competitive market. Businesses looking for flexible, high-growth funding should seriously consider Yardline as a smart alternative to Shopify Capital.

Conclusion

Whether you’re just learning about how to qualify for Shopify Capital or you’ve already been offered funding, it’s essential to explore all available options to find the right financing solution for your business. While Shopify Capital offers integrated and fast funding based on your sales data, its limitations may not suit every business. That’s where Yardline comes in, providing a wider range of funding solutions with better terms and more flexibility.

If you’re ready to grow your business, Yardline offers some of the best rates and terms available. Apply for funding today and get approved in as little as 24 hours by visiting Yardline.