Squarespace Capital Launches In-House Business Funding—And It Was Only a Matter of Time

Squarespace Capital is a new financing option for entrepreneurs using Squarespace, offering fast, flexible funding with a streamlined application process and no collateral or fixed repayment schedules, the company recently announced. This move mirrors trends across the website builder landscape, as seen with Wix and GoDaddy, and builds on Squarespace’s previous partnership with Novo as a preferred vendor for loans and banking solutions.

What is Squarespace Capital?

Squarespace Capital enables eligible U.S. and U.K. sellers to access business funding with the structure of revenue-based/sales-based/merchant cash advances with financing offered by Celtic Bank and YouLend, respectively, powered by Stripe, and plans to expand to further geographies. Funds can be used for business growth, from expanding physical locations to investing in marketing or hiring staff, with an emphasis on easy access and simple procedures. Instant Payouts were also introduced, allowing quick access to earnings for eligible customers in several markets.

Key Points

• Fast access to working capital based on payment history with Squarespace, with approvals and funds typically delivered in days, not weeks.

• No traditional hurdles like lengthy applications, fixed schedules, or collateral.

• 1 set fee, no interest or other fees.

• Financing is initially available in the U.S. and U.K., with other regions to follow in 2025.

• Partnership with Celtic Bank/YouLend for financing and Stripe powers it.

• Broad early adoption among retail, wellness, service, nonprofit, education, and consulting businesses.

  
  

Industry Trend and Comparisons

Squarespace’s fintech push follows industry patterns:

• Wix also began offering working capital to its users, aligning with the shift toward platform-driven financial services for small businesses.

• Squarespace previously listed Novo as a preferred vendor in Dec 2023, giving users access to Novo’s working capital loans and banking tools directly on the platform, a strategic move to integrate financial services that are essential for business growth.

• GoDaddy has also expanded financial services, reflecting a wider trend of website builders partnering with banks and fintechs to form comprehensive business ecosystems.

Why This Was Inevitable

This evolution was bound to happen as website builders, including those powered by AI, continually compete to offer “one-stop-shop” solutions for small business owners. The next logical step for platforms with an active merchant base is to leverage user data, from payments and store activity, to offer uniquely tailored financing. As new AI-driven site builders gain traction, expect every major platform to integrate working capital, instant payout, and tailored business banking features as baseline offerings for business customers. Even if they don't build their own capital platform, there are plenty of embedded capital companies that make it fairly simple to implement.

These advancements represent a shift in how small businesses access capital: not from banks or slow-moving institutions, but directly within the platforms they use to run and grow their businesses daily.