What is SpotOn Capital?

SpotOn Capital gives their small business clients commercial capital access faster and easier than traditional commercial loans or merchant cash advances. 

SpotOn Capital loans are fixed-fee and repaid via a percentage of your daily card sales. There are no periodic interest charges, monthly bills, late fees, or early payment penalties. Funds are deposited as soon as the next business day, so you can invest in your business immediately to increase inventory, purchase equipment, hire employees, and more. 

How do SpotOn Capital clients access loan offers?

We designed the entire flow to be simple:

1. Check your SpotOn Dashboard or email for notification of a SpotOn Capital pre-approved offer. If one is available, you’ll see an Apply Now button on the welcome page.

2. Submit a quick application in your SpotOn Dashboard. Applications are typically approved within one business day. If approved, we’ll get back to you with the final loan range from which you’ll select your final amount to accept.

3. Once you accept, we’ll fund your bank account – typically within one business day. Begin using your funds!

4. Repay automatically starting the day you receive funding via a percentage of daily card sales. You can also make manual payments –  or pay the loan in full – with no early payment fee!

The exact terms of your loan are always displayed on your Dashboard and can be found in the Pricing and Repayment Table in your loan agreement.

How does applying for a SpotOn Capital loan affect my personal credit score?

It doesn’t! We run a soft pull, which does not create an inquiry on your credit report. Though your personal credit score plays a role in qualifying, your offer is based primarily on your business’ sales history. 

Will my offer expire?

Yes. Your SpotOn Capital offer is good for a limited time with a specific expiration date. Once your offer expires, you can email support through the Capital section of the Dashboard.

What can I use my loan for?

SpotOn Capital loans are for business and commercial purposes only. Our clients use their loans to buy inventory or equipment, hire staff, open new locations, or help with temporary business cash flow needs.

How do I sign my agreement?

After you select your desired loan amount in the SpotOn Dashboard, you will be directed to digitally accept (and download) your agreement. 

Can I cancel my loan?

If you would like to cancel your loan before it has been funded, you can do so in the SpotOn Dashboard.

Does applying for a SpotOn Capital loan require collateral?

SpotOn Capital requires a Performance Guaranty where Owners are personally responsible for ensuring that the business meets the obligations of the loan agreement. If your loan is over $500,000, additional performance guarantees are required by any affiliated companies to your business or by your beneficial owners’ affiliated companies (as defined in the loan agreement). If your company does not have any affiliated companies, then beneficial owners will be required to submit a Personal Guarantee. These conditions are subject to the specific terms of the loan agreement. Additionally, as part of the agreement, you grant the lender a first-lien security interest in the assets of the business. 

My credit report is locked. What should I do? 

If your credit is locked or frozen, please contact Experian to allow our servicer, jaris, to run the soft credit pull at the time you are completing the application. If they cannot perform the pull, the jaris servicing team will contact you for assistance. 

Additionally, if you have a Fraud Alert on your credit report, the jaris servicing team will reach out to verify your identity. 

Do I need to change anything about how I receive my sales?

No. With SpotOn Capital, repayments occur automatically as a percentage of daily card sales, so as long as you are processing as usual, your loan should be paid in full on time.

What interest charges or fees do I pay with SpotOn Capital?

Unlike traditional loans, SpotOn Capital only charges a single, fixed fee that you’ll know before you sign an agreement. No ongoing interest charges, no hidden fees, and no late fees.

What is that fee?

The fee is the total borrowing cost, which is a one-time fixed fee. This fee is the difference between your loan balance and the loan amount.

Example:

Loan Amount - $2,000.00

Fixed Fee - $300.00 

Total Amount Owed - $2,300.00

How is my fee calculated?

The fee is based on your sales history, your loan amount, and the repayment percentage.

How do I repay my loan?

Much like your card processing fees, repayments are automatically deducted from your settlement account as a percentage of card sales, until the loan amount and fee are paid in full.

This means repayment matches your business’s cash flow – you pay more when business is strong; less if things slow down. The total amount owed (loan amount plus fixed fee) never changes. You may also make manual payments to repay the loan from the SpotOn Dashboard (with no penalties).

What is the repayment percentage?

The repayment percentage is the share of card sales that automatically goes toward repaying your loan.

Is there a minimum payment?

Your loan agreement includes the minimum amount you must repay each payment period (30 or 60 days). If your cumulative daily payments for that payment period happen to not meet or exceed the required minimum payment, you will need to make a manual payment in the dashboard to make up the difference. 

What happens if I make no payment and don’t meet the minimum?

If no payment is made your loan will enter Default. If a payment isn't made within 5 days of Default, we will auto-debit your account the difference owed.

Can I make additional payments toward my loan balance, independent of my sales?

Yes. You are welcome to make additional payments or even pay the loan in full with no early repayment fee. You can make manual payments at any time in the SpotOn Dashboard. Automatic payments as a percentage of your sales will continue, even if you make additional payments through the SpotOn Dashboard until your balance is paid in full.

Can I pay off my loan early?

Yes, you can submit prepayments or pay off your loan at any time at no additional cost in the SpotOn Dashboard.

Will I see savings or have to pay an early repayment fee if I make additional payments?

No. Your fixed fee is determined at the time of application and won’t change as a result of additional payments. 

What is the difference between the loan maturity and the estimated payback period?

The loan maturity is the date on which the loan is due and can be found in your loan agreement. The estimated payback period is the period of time within which most loans are repaid, given the automatic deductions from card sales. Any outstanding balance due at the end of the term will be collected automatically via ACH.

Once I pay off this loan am I eligible for a new one?

SpotOn Capital will automatically evaluate your business for new offers once your loan is paid in full  – no need to even ask! Rest assured, we are routinely reviewing your account for eligibility. Eligibility is based on a variety of factors related to your SpotOn account, including payment processing volume, account history, and payment frequency.

How long does it take to receive loan funds?

Once your application is approved, funds are transferred to your merchant bank account as soon as the next business day.

When does repayment begin?

Repayment begins the same day funds are deposited into your account. A fixed percentage of your daily card sales is automatically deducted and applied toward your loan balance as soon as sales occur, making repayment simple.

Why don’t I see an offer in my SpotOn Dashboard?

If you don’t see an offer, your business isn’t currently eligible for SpotOn Capital. Accounts are reviewed for eligibility on a daily basis; we will automatically update your Dashboard and notify you by email if you have an offer. Eligibility is based on a variety of factors related to your SpotOn account, including payment processing volume, account history, and payment frequency.

Why was my application declined after receiving an offer?

After you receive an offer to apply for a loan through SpotOn Capital, your information goes through a verification process. The reason your loan was declined can be found in the email notification you received from servicing@jaris.io.

We understand being declined can be disappointing, and we’d like to do our best to increase transparency behind this process.

What are the reasons for being declined?

There are various requirements that must be met in order to qualify for a loan. Some of the reasons for a loan to be declined include material changes in the company's health – such as delinquencies, drops in transaction frequency, bankruptcy, or significant drop in credit scores. 

Why was I declined for an additional loan?

We review every offer on a case-by-case basis, independently from any current loan. Even though your most recent request for a loan through SpotOn Capital has been declined, it does not prevent you from becoming eligible for another one through SpotOn Capital in the future. We routinely review the eligibility of our clients and if your business becomes eligible to apply for a loan again, you will see a pre-approved offer in your SpotOn Dashboard. Offers are based on a variety of factors including payment processing volume, account history, and payment frequency.

Do you offer loans in all 50 states?

We provide loans to 49 states and Washington D.C., Loans will be available in Vermont shortly. If you are a Vermont business interested in a loan please contact us.

Why can’t I obtain a loan for less than $25,000 if my business is in Rhode Island?

Rhode Island requires additional obligations for companies offering loans of $25,000 or less. We are working with state regulators to offer smaller loans but until then we can only offer loans greater than $25,000 to sole proprietors.

Why can’t I obtain a loan for less than $5,000 if my business is in New Mexico?

New Mexico requires additional obligations for companies offering loans of $5,000 or less. We are working with state regulators to offer smaller loans but until then we can only offer loans greater than $5,000.

What if my business is having difficulty?

Please contact our servicing partner, jaris Lending, LLC, immediately at support@jaris.io or by phone at (888) 802-2858 between 8 a.m. - 5 p.m. PST, Monday - Friday.