{"id":11999,"date":"2023-07-18T10:27:10","date_gmt":"2023-07-18T07:27:10","guid":{"rendered":"https:\/\/adoric.com\/blog\/?p=11999"},"modified":"2024-03-26T14:57:21","modified_gmt":"2024-03-26T11:57:21","slug":"how-to-fund-your-business-with-shopify-capital","status":"publish","type":"post","link":"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/","title":{"rendered":"How to Fund Your Business with Shopify Capital\u00a0"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">Funding, among other things, is one of the leading factors that determine how well a business performs or how far it runs. In 2022, <\/span><a target=\"_blank\" href=\"https:\/\/www.shopify.com\/blog\/percentage-of-businesses-that-fail\"><span style=\"font-weight: 400;\">48.4%<\/span><\/a><span style=\"font-weight: 400;\"> of small businesses in the US failed. And one of the leading causes of this failure is poor funding.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Without a doubt, more businesses will thrive if there are adequate finances to support the business expenditure. But, getting financial support is far from being easy.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That is why Shopify created Shopify Capital &#8211; a funding platform that offers eligible merchants loans to finance their businesses.\u00a0<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_66_1 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#What_is_Shopify_Capital\" title=\"What is Shopify Capital\">What is Shopify Capital<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#How_Does_Shopify_Capital_Work\" title=\"How Does Shopify Capital Work?\">How Does Shopify Capital Work?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#Shopify_Capital_Loan\" title=\"Shopify Capital Loan\">Shopify Capital Loan<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#How_to_Apply_for_Shopify_Capital_Loan\" title=\"How to Apply for Shopify Capital Loan\">How to Apply for Shopify Capital Loan<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#How_to_Repay_Shopital_Capital_Loan\" title=\"How to Repay Shopital Capital Loan\">How to Repay Shopital Capital Loan<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#Shopify_Capital_Merchant_Cash_Advance\" title=\"Shopify Capital Merchant Cash Advance\">Shopify Capital Merchant Cash Advance<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#How_To_Apply_for_Shopify_Capital_Merchant_Cash_Advance\" title=\"How To Apply for Shopify Capital Merchant Cash Advance\">How To Apply for Shopify Capital Merchant Cash Advance<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#Remitting_The_Merchant_Cash_Advance\" title=\"Remitting The Merchant Cash Advance\">Remitting The Merchant Cash Advance<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#How_to_Use_Shopify_Capital_Fund\" title=\"How to Use Shopify Capital Fund\">How to Use Shopify Capital Fund<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#1_Pay_Off_Existing_Debts\" title=\"1. Pay Off Existing Debts\u00a0\">1. Pay Off Existing Debts\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#2_Determine_Your_Business_Needs\" title=\"2. Determine Your Business Needs\u00a0\">2. Determine Your Business Needs\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#3_Inventory_Management\" title=\"3. Inventory Management\">3. Inventory Management<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#4_Marketing_and_Advertising\" title=\"4. Marketing and Advertising\">4. Marketing and Advertising<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#5_Improve_Your_Website_or_Online_Store\" title=\"5. Improve Your Website or Online Store\u00a0\">5. Improve Your Website or Online Store\u00a0<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-15\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#The_Pros_and_Cons_of_Shopify_Capital\" title=\"The Pros and Cons of Shopify Capital\u00a0\">The Pros and Cons of Shopify Capital\u00a0<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#Pros\" title=\"Pros:\u00a0\">Pros:\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#Cons\" title=\"Cons;\">Cons;<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-18\" target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#Wrapping_it_Up\" title=\"Wrapping it Up\">Wrapping it Up<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"What_is_Shopify_Capital\"><\/span><span style=\"font-weight: 400;\">What is Shopify Capital<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><img decoding=\"async\" loading=\"lazy\" class=\"alignleft wp-image-12000 size-full lazyload\" data-src=\"https:\/\/adoric.com\/blog\/wp-content\/uploads\/2023\/07\/image1-2.png\" alt=\"Shopify Capital made easy.\" width=\"1249\" height=\"585\" data-srcset=\"https:\/\/adoric.com\/blog\/wp-content\/uploads\/2023\/07\/image1-2.png 1249w, https:\/\/adoric.com\/blog\/wp-content\/uploads\/2023\/07\/image1-2-300x141.png 300w, https:\/\/adoric.com\/blog\/wp-content\/uploads\/2023\/07\/image1-2-768x360.png 768w\" data-sizes=\"(max-width: 1249px) 100vw, 1249px\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" style=\"--smush-placeholder-width: 1249px; --smush-placeholder-aspect-ratio: 1249\/585;\" \/><noscript><img decoding=\"async\" loading=\"lazy\" class=\"alignleft wp-image-12000 size-full\" src=\"https:\/\/adoric.com\/blog\/wp-content\/uploads\/2023\/07\/image1-2.png\" alt=\"Shopify Capital made easy.\" width=\"1249\" height=\"585\" srcset=\"https:\/\/adoric.com\/blog\/wp-content\/uploads\/2023\/07\/image1-2.png 1249w, https:\/\/adoric.com\/blog\/wp-content\/uploads\/2023\/07\/image1-2-300x141.png 300w, https:\/\/adoric.com\/blog\/wp-content\/uploads\/2023\/07\/image1-2-768x360.png 768w\" sizes=\"(max-width: 1249px) 100vw, 1249px\" \/><\/noscript><\/p>\n<p><span style=\"font-weight: 400;\">Shopify Capital is a funding platform developed by Shopify for the sole aim of helping Shopify business owners finance their businesses. It is a great way to get financial support without the exorbitant interest rates from commercial banks.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Note that there are other ways to <\/span><a target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-shopify-business-without-a-loan-in-2023\/\"><span style=\"font-weight: 400;\">finance your Shopify business without loans<\/span><\/a><span style=\"font-weight: 400;\">, but they are not without hurdles.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">You can fund your Shopify business with any of the two types of Shopify Capital funds, which are;<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Shopify Capital Loan<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Shopify Capital Merchant Cash Advance.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">However, only eligible stores can receive either of them.\u00a0<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"How_Does_Shopify_Capital_Work\"><\/span><span style=\"font-weight: 400;\">How Does Shopify Capital Work?<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">To qualify for Shopify Capital, your store must meet the eligibility criteria. You can check your eligibility status from the <\/span><a target=\"_blank\" href=\"https:\/\/admin.shopify.com\/capital\/offers?utm_source=dotcom&amp;utm_medium=helpdocs&amp;utm_campaign=cro&amp;utm_content=shopify_capital\"><span style=\"font-weight: 400;\">Capital page<\/span><\/a><span style=\"font-weight: 400;\"> of your Shopify admin.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If your store is eligible, Shopify will notify you via email and on the homepage of your Shopify store.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Here are some criteria you must meet to qualify for Shopify funding\u00a0<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">You have a Shopify store\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Your store is located in the US, UK, and Canada<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Your store generates a specific amount of sales<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Your store has a low-risk profile<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Your store has a payment provider enabled\u00a0<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Businesses in the U.S. are eligible for Shopify Capital loans and merchant cash advances, while those in the U.K. and Canada can only access the Shopify Capital merchant cash advance.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">When you apply for the Shopify Capital fund, Shopify will review your application, and there are three likely outcomes:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Reject your application<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Give you a lesser fund\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Give you the amount you requested\u00a0<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Shopify_Capital_Loan\"><\/span><span style=\"font-weight: 400;\">Shopify Capital Loan<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">A Shopify Capital loan also called a <\/span><b>loan amount<\/b><span style=\"font-weight: 400;\">, is a specific amount of money Shopify offers to eligible merchants for business purposes. It is only available to Shopify businesses in certain states in the U.S. Repayment spans over 12 months with 60 days per milestone.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">As with traditional banks, you need to pay back the loan amount with interest, called the <\/span><b>fixed borrowing cost<\/b><span style=\"font-weight: 400;\">. The loan amount plus the fixed borrowing cost is called the<\/span><b> total owed.<\/b><span style=\"font-weight: 400;\">\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If your business scales through after your loan application, Shopify will deposit the amount necessary into your business account. And within two business days after getting the loan, a specific amount will be deducted from your daily sales until the total owed is repaid in full.\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"How_to_Apply_for_Shopify_Capital_Loan\"><\/span><span style=\"font-weight: 400;\">How to Apply for Shopify Capital Loan<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">To apply for a Shopify capital loan, go to the<\/span><b> Capital<\/b><span style=\"font-weight: 400;\"> page from your Shopify admin and apply directly for the loan.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Steps involved;<\/span><\/p>\n<ol>\n<li><span style=\"font-weight: 400;\"> From your Shopify admin, go to <\/span><b>Settings<\/b><span style=\"font-weight: 400;\">, then<\/span><b> Capital<\/b><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li><span style=\"font-weight: 400;\"> Open the eligibility message from Shopify Capital and click on <\/span><b>View funding offers.<\/b><\/li>\n<li><span style=\"font-weight: 400;\"> From the Capital page, select one out of the three options and click on <\/span><b>Request<\/b><span style=\"font-weight: 400;\">.<\/span><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">Note that each option will include details like the loan amount, total owed, and daily repayment rate.<\/span><\/p>\n<ol start=\"4\">\n<li><span style=\"font-weight: 400;\"> If required, verify your identity and business details for Shopify Capital.\u00a0<\/span><\/li>\n<li><span style=\"font-weight: 400;\"> Carefully review your loan terms in the <\/span><b>Review loan terms and submit your application<\/b><span style=\"font-weight: 400;\"> page, then click<\/span><b> Merchant Loan Agreement<\/b><span style=\"font-weight: 400;\"> to open it in another browser tab.\u00a0<\/span><\/li>\n<li><span style=\"font-weight: 400;\"> After reviewing your <\/span><b>Merchant Loan Agreement<\/b><span style=\"font-weight: 400;\">, click on Submit application<\/span><b>.<\/b><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">It takes 1-3 business days for the loan to be approved. But if you switch your payment provider before approval, then approval could take five or more business days.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"How_to_Repay_Shopital_Capital_Loan\"><\/span><span style=\"font-weight: 400;\">How to Repay Shopital Capital Loan<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">You can repay the Shopify loan in blocks &#8211; starting with $20 &#8211; or as a lump sum. The payment is deducted from the business account associated with your Shopify account.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Also, Shopify does not deduct money from any sales made when Shopify payment is still in test mode.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Follow these steps to repay your Loan;<\/span><\/p>\n<ol>\n<li><span style=\"font-weight: 400;\"> From your Shopify admin, go to <\/span><b>Settings<\/b><span style=\"font-weight: 400;\">, then <\/span><b>Capital<\/b><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li><span style=\"font-weight: 400;\"> Click <\/span><b>Make a payment<\/b><\/li>\n<li><span style=\"font-weight: 400;\"> Select the amount you want to pay<\/span><\/li>\n<\/ol>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">To make a manual payment, enter the amount you want to pay in the <\/span><b>custom amount <\/b><span style=\"font-weight: 400;\">space.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">To pay the full amount, click <\/span><b>Full remaining balance<\/b><span style=\"font-weight: 400;\">.\u00a0<\/span><\/li>\n<\/ul>\n<ol start=\"4\">\n<li><span style=\"font-weight: 400;\"> Click <\/span><b>Next step<\/b><span style=\"font-weight: 400;\"> and review the amount<\/span><\/li>\n<li><span style=\"font-weight: 400;\"> Click on <\/span><b>Make a payment.<\/b><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">And there you have it, you are either debt free or close to it.\u00a0<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Shopify_Capital_Merchant_Cash_Advance\"><\/span><span style=\"font-weight: 400;\">Shopify Capital Merchant Cash Advance<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Shopify Capital Merchant Cash Advance is a large sum of money Shopify offers to its users to grow their businesses. But unlike the Capital loan, it is accessible to merchants in the US, UK, and Canada. And the terms of payment are more flexible.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Shopify takes a fixed percentage from your daily sales which determines the daily remittance amount. After you have repaid 25% of your total owed, there is no deadline to complete the rest of the payment.\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"How_To_Apply_for_Shopify_Capital_Merchant_Cash_Advance\"><\/span><span style=\"font-weight: 400;\">How To Apply for Shopify Capital Merchant Cash Advance<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">To apply for a Shopify capital merchant advance visit the <\/span><b>Capital<\/b><span style=\"font-weight: 400;\"> page from your Shopify admin and apply directly for the loan.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Follow the steps below to apply for a merchant cash advance<\/span><\/p>\n<ol>\n<li><span style=\"font-weight: 400;\"> From your Shopify admin, go to <\/span><b>Settings<\/b><span style=\"font-weight: 400;\">, then<\/span><b> Capital<\/b><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li><span style=\"font-weight: 400;\"> Open the eligibility message from Shopify Capital and click on <\/span><b>View funding offers.<\/b><\/li>\n<li><span style=\"font-weight: 400;\"> From the Capital page, select one out of the three options and click on <\/span><b>Request<\/b><span style=\"font-weight: 400;\">.<\/span><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">Note that each option will include details like the loan amount, total owed, and daily repayment rate.<\/span><\/p>\n<ol start=\"4\">\n<li><span style=\"font-weight: 400;\"> In the <\/span><b>Review and accept terms dialog<\/b><span style=\"font-weight: 400;\">, carefully review the <\/span><b>Terms and Conditions<\/b><span style=\"font-weight: 400;\"> sections, then click on the <\/span><b>Shopify Capital Agreement<\/b><span style=\"font-weight: 400;\"> to open it in another browser.\u00a0<\/span><\/li>\n<li><span style=\"font-weight: 400;\"> After reviewing the <\/span><b>Shopify Capital Agreement<\/b><span style=\"font-weight: 400;\"> and the <\/span><b>Pre-authorized debit agreemen<\/b><span style=\"font-weight: 400;\">t, return to the <\/span><b>Review and accept terms<\/b><span style=\"font-weight: 400;\"> dialog and click <\/span><b>Accept terms<\/b><span style=\"font-weight: 400;\">.\u00a0<\/span><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">Your cash advance request will take 2 to 5 business days to be reviewed by Shopify Capital to determine whether or not your quality for the loan.\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Remitting_The_Merchant_Cash_Advance\"><\/span><span style=\"font-weight: 400;\">Remitting The Merchant Cash Advance<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">After you receive the merchant cash advance, Shopify Capital starts deducting a certain amount from your daily sales. Once you have remitted 25% of your total, the option of paying off the rest in one lump becomes available. But you can also decide to keep paying through daily remittance.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Follow the steps below to remit the balance;<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">From your Shopify admin, go to <\/span><b>Settings<\/b><span style=\"font-weight: 400;\">, then click on <\/span><b>Capital<\/b><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Click on <\/span><b>Remit balance<\/b><span style=\"font-weight: 400;\">.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Review the sum to be remitted. If you want to remit the full balance, check the authorization box and click <\/span><b>Remit balance<\/b><span style=\"font-weight: 400;\">.\u00a0<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Note that it takes up to 3 days for the process to complete. And daily remittance will be paused during the processing period.\u00a0<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"How_to_Use_Shopify_Capital_Fund\"><\/span><span style=\"font-weight: 400;\">How to Use Shopify Capital Fund<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">If you have received a Shopify Capital fund, what you use it for will depend majorly on your business goals and sales rate. Here are a few suggestions on how to utilize the fund.\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"1_Pay_Off_Existing_Debts\"><\/span><span style=\"font-weight: 400;\">1. Pay Off Existing Debts\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">If you have outstanding debts or bills, consider offsetting them first, especially if the borrowed fee accumulates interest. Depending on the amount of Capital loan you received, you can pay off your debt at once or a\u00a0 large chunk of it.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Offsetting outstanding debt gives you a fresh start. It allows you to plan your finances properly and focus on growing your business without additional financial burdens.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"2_Determine_Your_Business_Needs\"><\/span><span style=\"font-weight: 400;\">2. Determine Your Business Needs\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Now that you have cleared outstanding bills, you can process assessing your current business goals, challenges, needs, and opportunities to identify areas that need additional funds.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">We suggest allocating money for inventory management, marketing campaigns, <a target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/shopify-partner-program-how-does-it-work\/\">seeking expert business counsels<\/a>, hiring new employees, or expanding your product line.\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"3_Inventory_Management\"><\/span><span style=\"font-weight: 400;\">3. Inventory Management<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">If you sell physical products, you can use this fund to replenish or expand your inventory. Buying inventory in large quantities often reduces overhead costs. You can purchase new products or restock popular items with a portion of the Shopify Capital funds.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Having a well-managed inventory will help you meet customers\u2019 demands and maximize sales. If you sell apparel, you can source your inventory from these <\/span><a target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/15-best-clothing-suppliers-to-use-in-2023\/\"><span style=\"font-weight: 400;\">clothing suppliers<\/span><\/a><span style=\"font-weight: 400;\">.\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"4_Marketing_and_Advertising\"><\/span><span style=\"font-weight: 400;\">4. Marketing and Advertising<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">A wider audience scales your business and increases customer retention rates. Investing in marketing will help you broaden your reach and increase brand awareness.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Some vital marketing and advertising strategies that require funding include online advertising campaigns, social media marketing, <\/span><a target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/a-comprehensive-guide-to-sms-marketing\/\"><span style=\"font-weight: 400;\">SMS marketing<\/span><\/a><span style=\"font-weight: 400;\">, influencer marketing, content creation, search engine optimization (SEO), <\/span><a target=\"_blank\" href=\"https:\/\/adoric.com\/blog\/10-tips-to-grow-shopify-sales-with-email-marketing\/\"><span style=\"font-weight: 400;\">email marketing<\/span><\/a><span style=\"font-weight: 400;\">, or partnerships with other businesses.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"5_Improve_Your_Website_or_Online_Store\"><\/span><span style=\"font-weight: 400;\">5. Improve Your Website or Online Store\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">If you want to increase conversion, customer retention, and sales then you need a website that is aesthetic and user-friendly.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">These are two factors that influence your customers\u2019 behaviours on your website. According to Hubstop,<\/span><a target=\"_blank\" href=\"https:\/\/blog.hubspot.com\/marketing\/compelling-stats-website-design-optimization-list\"><span style=\"font-weight: 400;\"> 38%<\/span><\/a><span style=\"font-weight: 400;\"> of people will stop engaging with a website if it is not attractive.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Given the importance of your website\u2019s appearance and performance, we advise that you invest in enhancing these aspects of your website.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Invest in design updates, mobile optimization, or functionality improvements. <\/span><a target=\"_blank\" href=\"http:\/\/adoric.com\/shopify-adoric\/\"><span style=\"font-weight: 400;\">Adoric <\/span><\/a><span style=\"font-weight: 400;\">allows you to gamify your Shopify website, making it more engaging.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This can help increase conversions, improve customer satisfaction, and reduce bounce rates.\u00a0<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"The_Pros_and_Cons_of_Shopify_Capital\"><\/span><span style=\"font-weight: 400;\">The Pros and Cons of Shopify Capital\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Though Shopify Capital is an excellent source of funding for Shopify merchants in need of extra cash, it may not be a good fit for everyone. As a business owner, your needs may or may not align with what Shopify Capital offers. This is why you should consider the pros and cons before making a decision.\u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Pros\"><\/span><span style=\"font-weight: 400;\">Pros:\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Trusted Source: Shopify is a respectable business and only offers professional services. So you can trust their funding program.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Easy application: The process of applying for the Shopify Capital fund is straightforward, and Shopify notifies you if you are eligible for the fund. Also, you don\u2019t have to jump over several hurdles when applying since Shopify already has business details and can quickly determine your eligibility.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Repayment is simple: after setting up your payment provider, Shopify automatically deducts a certain amount from your revenue. This means you don\u2019t have to worry about defaulting in payment or calculating what\u2019s left.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Your credit score is irrelevant: you can qualify for Shopify Capital even with a bad credit score as long as your business is low-risk.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Affordable rates: when comparing the Shopify Capital borrowing fee against that of traditional banks, you will agree that the Shopify rates are more affordable.\u00a0<\/span><\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Cons\"><\/span><span style=\"font-weight: 400;\">Cons;<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Repayment is confusing: the repayment rates vary depending on several factors so knowing your exact remittance rate can be a tad difficult.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Exclusivity: Shopify Capital is limited to Shopify businesses operating within specific countries like the UK, US, and Canada. So if you use any other e-commerce platform or are located outside these countries, this offer is not for you.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The repayment method is discouraging: Shopify only gives you a grace period of two days, after which a certain percentage is deducted from your daily sales. This can make you feel discouraged, especially if your sales are still trickling.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Unclear eligibility criteria: aside from the aforementioned generic criteria, Shopify does not state clearly what it takes to qualify for the fund. You either qualify or you don\u2019t. But you can\u2019t know what you are doing wrong.\u00a0\u00a0<\/span><\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Wrapping_it_Up\"><\/span><span style=\"font-weight: 400;\">Wrapping it Up<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">There you have it. The loan process is hassle-free and only takes a maximum of five days to receive the fund if your store meets the eligibility criteria.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">After receiving the run, an excellent way to use it is by allocating funds to tools and functionalities that can help increase conversion. And <\/span><a target=\"_blank\" href=\"https:\/\/apps.shopify.com\/adoric-popups?search_id=6d86619f-5de1-4980-97f9-f27049b40558&amp;surface_detail=adoric&amp;surface_inter_position=1&amp;surface_intra_position=5&amp;surface_type=search\"><span style=\"font-weight: 400;\">Adoric<\/span><\/a><span style=\"font-weight: 400;\"> is the best tool in the market for Shopify users.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The popup and website gamification features on Adoric reduce bounce rates and increase conversions. We\u2019re all for helping you serve your users better and faster.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Funding, among other things, is one of the leading factors that determine how well a business performs or how far<\/p>\n","protected":false},"author":67,"featured_media":12001,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false},"categories":[32],"tags":[52,51,42],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v20.11 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How to Fund Your Business with Shopify Capital\u00a0 - Adoric Blog<\/title>\n<meta name=\"description\" content=\"Shopify Capital, a Shopify funding scheme designed to help business owners access more cash, is a life-saver for many businesses.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How to Fund Your Business with Shopify Capital\u00a0 - Adoric Blog\" \/>\n<meta property=\"og:description\" content=\"Shopify Capital, a Shopify funding scheme designed to help business owners access more cash, is a life-saver for many businesses.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/\" \/>\n<meta property=\"og:site_name\" content=\"Adoric Blog\" \/>\n<meta property=\"article:published_time\" content=\"2023-07-18T07:27:10+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-03-26T11:57:21+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/adoric.com\/blog\/wp-content\/uploads\/2023\/07\/How-to-Fund-Your-Business-with-Shopify-Capital_Blog.png\" \/>\n\t<meta property=\"og:image:width\" content=\"706\" \/>\n\t<meta property=\"og:image:height\" content=\"540\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Agnes Ike\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Agnes Ike\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"10 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"How to Fund Your Business with Shopify Capital\u00a0 - Adoric Blog","description":"Shopify Capital, a Shopify funding scheme designed to help business owners access more cash, is a life-saver for many businesses.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/","og_locale":"en_US","og_type":"article","og_title":"How to Fund Your Business with Shopify Capital\u00a0 - Adoric Blog","og_description":"Shopify Capital, a Shopify funding scheme designed to help business owners access more cash, is a life-saver for many businesses.","og_url":"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/","og_site_name":"Adoric Blog","article_published_time":"2023-07-18T07:27:10+00:00","article_modified_time":"2024-03-26T11:57:21+00:00","og_image":[{"width":706,"height":540,"url":"https:\/\/adoric.com\/blog\/wp-content\/uploads\/2023\/07\/How-to-Fund-Your-Business-with-Shopify-Capital_Blog.png","type":"image\/png"}],"author":"Agnes Ike","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Agnes Ike","Est. reading time":"10 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/","url":"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/","name":"How to Fund Your Business with Shopify Capital\u00a0 - Adoric Blog","isPartOf":{"@id":"https:\/\/adoric.com\/blog\/#website"},"datePublished":"2023-07-18T07:27:10+00:00","dateModified":"2024-03-26T11:57:21+00:00","author":{"@id":"https:\/\/adoric.com\/blog\/#\/schema\/person\/c64d511d95ee3e275a667e6f1e73b9bb"},"description":"Shopify Capital, a Shopify funding scheme designed to help business owners access more cash, is a life-saver for many businesses.","breadcrumb":{"@id":"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/adoric.com\/blog\/how-to-fund-your-business-with-shopify-capital\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/adoric.com\/blog\/"},{"@type":"ListItem","position":2,"name":"How to Fund Your Business with Shopify Capital\u00a0"}]},{"@type":"WebSite","@id":"https:\/\/adoric.com\/blog\/#website","url":"https:\/\/adoric.com\/blog\/","name":"Adoric Blog","description":"Conversion rate optimization blog","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/adoric.com\/blog\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/adoric.com\/blog\/#\/schema\/person\/c64d511d95ee3e275a667e6f1e73b9bb","name":"Agnes Ike","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/adoric.com\/blog\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/961e2631cb533442c98fe701d0eac3f6?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/961e2631cb533442c98fe701d0eac3f6?s=96&d=mm&r=g","caption":"Agnes Ike"},"description":"Agnes Ike is a content and copywriter at Adoric with 5+ years of writing experience. Agnes specializes in crafting engaging content across various niches such as e-commerce and tech.","sameAs":["https:\/\/www.linkedin.com\/in\/agnes-ike-1273a8188"],"url":"https:\/\/adoric.com\/blog\/author\/agnes\/"}]}},"_links":{"self":[{"href":"https:\/\/adoric.com\/blog\/wp-json\/wp\/v2\/posts\/11999"}],"collection":[{"href":"https:\/\/adoric.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/adoric.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/adoric.com\/blog\/wp-json\/wp\/v2\/users\/67"}],"replies":[{"embeddable":true,"href":"https:\/\/adoric.com\/blog\/wp-json\/wp\/v2\/comments?post=11999"}],"version-history":[{"count":4,"href":"https:\/\/adoric.com\/blog\/wp-json\/wp\/v2\/posts\/11999\/revisions"}],"predecessor-version":[{"id":13542,"href":"https:\/\/adoric.com\/blog\/wp-json\/wp\/v2\/posts\/11999\/revisions\/13542"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/adoric.com\/blog\/wp-json\/wp\/v2\/media\/12001"}],"wp:attachment":[{"href":"https:\/\/adoric.com\/blog\/wp-json\/wp\/v2\/media?parent=11999"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/adoric.com\/blog\/wp-json\/wp\/v2\/categories?post=11999"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/adoric.com\/blog\/wp-json\/wp\/v2\/tags?post=11999"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}