Square Loans

Hi there,


Is anyone using Square Loans and do you find it increasingly stressful as you scale? We really utilize it to grow our business and really liked it when our growth strategy wasn't as big...but recently have some frustrations with it.


I guess first of all it seems that growth really hurts your eligibility. 2022 Q3 and Q4 I think we had 2 loans, one was paid back in under 30 days if I recall...we had an explosive growth for Q4 which is good. Roll around to 2023 and it's basing the eligibility of future loans on our average month...so, if you have a really good Q4 like we did that basically wipes you out of the running until Q3 of this year. To me it seems a little bit silly to not be comparing it to the same month year-over-year (which we are double at 100% growth) instead of "Hey your sales took a dip from December"...well, yeah it does that...to almost everyone.


Secondly, is anyone else finding the offers to be somewhat demoralizing? My spouse owns a small business as well and runs transactions through Paypal. My processing on Square (which is only a facet of our business) was equal to their entire business revenues, but they received offers of 2-3x as much as I did at a much lower interest rate (but much larger repayment %). It almost has me rethinking who I use as a payment processor. And it's also frustrating that there isn't really a great way to speak with Square about this kind of stuff.

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Just wanted to share as well. Square Capital has been good to us. It helped us grow tremendous over the years. We never took a traditional bank loan through out the years.  

But yes, I agree it's frustrating that we can't talk or hard to contact someone to speak on eligibility and such matters. Our restaurant was doing 80-90/month last year and was offered 85k loan but my friend;s restaurant was only doing 40-50k but he was offered 120k loan.  Haha. I was so mad. 


But I still love Square Capital of course, just confused about all this eligibility and amount offered calculation.

Message 2 of 9

Square loans have always been great helping with my business but I am getting aggravated. I could use a loan now and I am 75% paid and everything in green and still no offers. I usually have one by 65 to 70%. 

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Hi to you! 


I am sharing my experience in hope that it will give some insight and be validating. Some unexpected, sudden, high expenses came up for me this week and Square loans have always been helpful. I could use one now more than ever. 


I recently paid off a Square loan about a week ago completely. I also have all green variables for my business. I have received approximately 5-6 offers in the past which I took, all loans were paid off ahead of time and I was usually offered one loan after another quickly. This is not the pattern this time. As of yet, I have not been offered a loan and my business is up and again my last loan is paid off 100% 


I contacted customer service a week ago by email and was told I had a couple of pending payments which cleared the next day. I was also told it could take up to 10 business days to be considered for another loan. As of yet, it is not happening, so I feel your concern and frustration. It is stressful. I think the pattern is different right now and it is taking longer to get an offer. I know it is hard to be patient with financial stressors. 


I hope you and I both get an offer soon. 


Please let me know any updates and I will do the same. 



Message 4 of 9

Thank you for the insight! Yes I will keep you updated.

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It’s hard to understand exactly how they decide if you are eligible and how much for.  I have paid off all my loans early without issue.  Current loan is at 99% paid off, literally 15.92 away from paid off and no more offers.  I’ve called and emailed and get a very generic response.  I had one loan application not approved (for pretty bogus reason) and because of that everything is in the green but prior loan app status says “needs work” they said it will eventually go away but can’t tell me when….anyone have and personal experience with this? Square loans has been super helpful for my business and it’s frustrating I’ve paid them all SUPER ahead of schedule and can’t get one now which is preventing me from growing my business.  Already lost a huge marketing opportunity because of it 

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What's the biggest offer you guys have gotten? What are your average monthly sales?  

Our last offer was $87,000 , we were doing average of 75-80k/month . But the funny thing, my friend's restaurant was only doing 50k/month but he was offered almost 100k !!    I don't understand it.   Anyone have an insight on this?   Does it matter too what your personal credit is? I'm confused lol. 


We are 70% paid back for the 87k loan now,  im curious to see what our next offer will be hehe

Message 7 of 9

The only thing I can think regarding this particular scenario is are you talking card sales solely? Thats what they're basing it off of. For instance is your friend processing $45k out of $50k in card sales whereas you are doing $35k/80k cards?


If we're talking card sales only yeah it doesn't make sense at all...but my original description of how my wife's business on PayPal processed less and got more at better rates goes hand in hand with that. There's definitely room for improvement in clarity for how offers are generated.

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Ours is all card sales.  Last month we did 85k. this month might hit 100k. let's see what the next offer will be. lol

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