Hi @Citystarz1. Square is giving out loans right now. However the lending market is still really, really tight and conservative, and this includes merchant-advance type loans such as Square’s, PayPal’s, Clover’s, etc. Interest rates for these companies to borrow are still crazy high and even if Square is not borrowing to give us our loans they still have to answer to shareholders and such for the health of their balance sheets, especially where lending is involved. Also, many businesses (even ones who were never in trouble before) are defaulting on loans at an unprecedented rate currently. All lenders of all types are being very cautious and deliberate. Those are just the facts.
I’ve seen enough threads here in the Community to know that many sellers (and if I were a better man I’d say most sellers) are noticing two things. First they are having to wait much longer than usual for a new offer, and quite a few are waiting long (weeks, months) after they have paid off a loan before a new offer comes. Second, even when new offers come they are often lower than usual/expected. This is true even if our sales are the same or better than in the past, mostly because inflation is now eating into our profits and Square does not want to see us get into trouble with loans we ultimately can’t handle. I’ll even add that I’ve seen a few threads recently where sellers complained about getting a “pre-approved” offer (which means nothing from any lender and never has!) and then being rejected once the application was submitted. This is just the reality of the current lending market.
My only suggestion would be to look around and see if a local bank (yours would be best) is willing to lend you the money. Of course, the same things I said will apply to them, obviously. But otherwise all you can do is wait for the offer. It will come eventually. We did get some good national news yesterday and Fed kept the prime lending rate steady, even indicating that they expect a few rate decreases this year! So, there does seem to be some light at the end of this tunnel.
I wish you well.
Chip A.
Square Expert & Innovator and member of the Square Champions group. (But NOT a Square employee, just a seller like you)
Was my post helpful? Take a moment to mark it as a solution. Marked solutions help other sellers find possible resolutions to similar problems. Also, if you find your solution elsewhere (say, through Support), it is helpful to come back to your post and tell us about it, then mark that as a Solution. Solutions are what this Community is all about!
