Square launches new banking & spend management solutions for US sellers

By Delisha Fernandes

Square announced the beta launch of new banking and spend management solutions for its US sellers, including new credit tools and features that help businesses simplify their cash flow management and consolidate their finances.

The Square Credit Card, running on the American Express network, gives sellers a new yet familiar tool with more spending flexibility when needed and a rewards program that helps them reinvest in their business. With no late or annual fees, the Square Credit Card features a credit limit determined by the sales a seller processes through Square, growing as their business grows, and rewards them with free card processing every time they spend.

The company is also broadening the functionality of its popular Square Loans product. To better serve large sellers, it is providing these businesses with loans that can be repaid on a fixed monthly schedule rather than through daily repayments – offering a more predictable repayment schedule – and the option to use external data to improve loan offer size.

Both Square Credit Card and the new loan options are currently in beta but have seen strong usage already, including among upmarket sellers. Since these products entered beta, 25% of Credit Card spending and 30% of originations from loans with fixed monthly payments have come from upmarket sellers.

“Square Banking’s integrated suite of software and financial services was designed to help small businesses gain efficiency and peace of mind when it comes to managing their finances,” said Christina Riechers, General Manager of Square Banking. “But businesses of all sizes face challenges managing cash flow, and those struggles can become more complex as a business grows, their revenues diversify, and their expenses multiply.”