You can't apply for a Square Loan. Square Loans are offered by invitation only: Square reviews your processing activity every day and, if you're eligible, contacts you by email and in your Square Dashboard with a customised offer of between $100 and $500K, on Square's US page as of October 2026.
That's the first catch. If there's no offer in your Dashboard, you aren't eligible today, and nothing you fill in changes that. The second catch is in the phrase "no interest". Square doesn't charge interest, but it does charge a single flat loan fee, so the thing to compare is that fee against the amount you'd borrow. These are Square's US terms; UK, Australian and Canadian readers will see other terms on their local Square site. This page is information, not financial advice.
If you searched for Square Capital, you're in the right place. Square's lending page still sits under the Capital name, and the product it describes is Square Loans.
Why you can't apply for Square Loans
Square Loans are only offered to sellers who process payments with Square. While you do, Square automatically reviews your processing activity each day. When you qualify, the offer appears without you asking for it. There's no form to fill in and no way to request one.
Square says the size of an offer depends on how your business performs, and names the factors it looks at:
- How long you've been using Square.
- Your processing volume and how often you process.
- Your customer mix.
- Other factors Square doesn't spell out.
So the only lever you have is the one you already pull: running your sales through Square. If you're new to it, an offer may simply not have appeared yet.
The flat fee instead of interest
Square's pricing model is simple to describe. The total cost of a loan is one flat fee, which is the difference between the total you owe and the amount you borrow. Square says that total cost never changes.
Two details follow from that. You can prepay at any time at no additional cost, but the total owed doesn't change when you prepay, so paying early clears the debt sooner without cutting the fee. And there are no late fees.
Each offer is customised, so the flat fee is set out on the offer itself. Read it there, and weigh it against what the funds will earn you back.
How repayment comes out of your sales
This is the part that makes Square Loans different from a bank loan. Repayment is automatic: a fixed percentage of your daily Square card sales is taken until the loan is repaid. On a busy day you pay more, and on a slow day you pay less.
There is a floor, though. Minimum payments are listed on your offer. If your daily card sales can't cover the minimum, Square Financial Services, Inc. may debit the remaining minimum from your Square balance or your linked bank account. So a quiet spell doesn't pause the loan; it moves the payment onto your balance or your bank.
| Question | Square's answer as of October 2026 |
|---|---|
| Who can get one | Invited Square sellers, based on processing history |
| Amount range | $100 to $500K |
| Cost | One flat loan fee, no interest |
| Repayment | A fixed percentage of daily card sales |
| Paying early | Allowed at no extra cost; total owed stays the same |
| Late fees | None |
| Effect of applying on your credit score | None |
Credit checks, collateral and guarantees
Square says applying doesn't affect your credit score. Beyond that, what Square asks for depends on the size of the loan, as of October 2026:
- $100,000 or less: no collateral.
- Above $100,000: Square may take a security interest in your business assets and file a UCC statement.
- Over $250,000: a personal guarantee is required.
That last point matters. With a personal guarantee you're on the hook personally, not only the business.
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How fast the funds arrive
Square says funds land the next business day, or instantly if you have Square Checking. Square Checking sits alongside Square Credit Card and Square Banking in the same family of Square products.
Checking whether you have an offer
- Process your sales with Square.
- Open the eligibility page in your Square Dashboard.
- If an offer appears, read the flat fee and the minimum payments.
- Accept it, and the funds arrive the next business day, or instantly with Square Checking.
The figures Square quotes about itself
Square backs the page with three numbers, each with its own footnote: $26.5B+ in funds extended globally (counting merchant cash advances, SBA PPP loans and business loans from October 2013 to September 2024), 900K+ businesses funded (internal Square data, 2025), and 88% of businesses with Square Loans reporting growth (Square survey data, 2025). They're Square's own figures about its own product, so read them that way. Rates for processing the card sales that repay the loan are in this breakdown of Square fees.
If you sell through other platforms, they run their own versions: see Stripe Capital and PayPal Working Capital.
My verdict
Square Loans are handy if an offer lands in your Dashboard and you've already got a clear use for the funds. Repayment that flexes with your daily sales is kinder on a slow week than a fixed monthly bill, and there are no late fees. But don't let "no interest" lull you. Price the flat fee against your margin, check the minimum payments, and remember that prepaying won't shrink the fee. And never borrow just because it's one click away.
A flat fee is easy to read, but to compare it with a standard repayment plan use working out a loan payment in Excel.
Frequently asked questions
How do I get a Square loan?
You can't apply. Square reviews your processing activity daily and, if you're eligible, contacts you by email and in your Square Dashboard with an offer.
Does Square Loans charge interest?
No. Square charges a single flat loan fee, which is the difference between the total you owe and the amount you borrow.
Does applying for a Square loan affect my credit score?
Square says applying doesn't affect your credit score.
How is a Square loan repaid?
Automatically. A fixed percentage of your daily Square card sales is taken until the loan is repaid, with minimum payments listed on your offer.
Can I repay a Square loan early?
Yes, at any time at no additional cost. The total owed doesn't change when you prepay.
How fast do I get the funds from a Square loan?
Square says the next business day, or instantly with Square Checking.
