New loan offer

[Mistylh4]

Has anyone received a new loan offer recently? I am just curious if square had offered any loans with a percentage still left on balance like they have before. I am currently at 84% all green markers this is my 6th loan and still nothing. The loans have really helped me in the past but if they are changing things I may look into a different processing system. Any suggestions?

[TheRealChipA]

HI @Mistylh4.  Since this is your 6th loan, you are probably well aware that the process of “the next loan” is rather mysterious.  Having said that, I can say that 84% is probably iffy right now.  I’ve read numerous posts/replies of people waiting until the high 80s and even 90s, and have also seen a higher number than usual of sellers who don’t receive their next loan offer until they’ve paid off the current one.  I won’t go into all the reasons why that might be happening, because I’m sure that you read the news. Also, it seems that even when sellers are getting offers, the amounts are often lower or flat, unless that seller’s card processing trends are significantly up.  That is mostly a function of persistent stubborn inflation, since flat sales with high inflation are the equivalent of lower sales with low inflation.  Ugh.

I’ve not heard that Square is changing anything, really.  But given the persistent inflation, high interest rates, and the increasing numbers of businesses that are defaulting on loans, Square like other lenders is being very cautious, as they should be.  I know that’s not what you want to hear, but as a fellow seller and someone who has watched things this year it is the way that it is.  Of course, Square might surprise me and everyone else and suddenly start making offers like they used to, but I can’t recommend “betting the farm” on that possibility.  Better to be prepared with a backup plan.  Square is not the only lending game in town, and it always pays to have a contingency plan if you absolutely must borrow money.

I wish you well.

[TheRealChipA]

@Mistylh4 I should have added to switching processors probably won’t help.  You’ll have to start over building a sales history and all lenders and processors are being just as cautious as Square is.  It’s the reality of things right now in the lending market.