Pipe's new embedded finance product is a dressed up MCA/Revenue-based financing
The following article describes the new service as a "friendly version of merchant cash advances (MCA)". Kind of funny how people want to stray away from the word outright but it is indeed revenue based financing. It does not mention anything about factor rate pricing so we don't know how 'friendly' it will be to merchants, but since Pipe is well capitalized we assume the cost of capital to be in the range of what Square, Paypal, and Stripe offer in their lending products.
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