Capital flex account eligibility

Capital flex account funding is available to businesses with ongoing growth needs and strong financial performance. A Shopify Capital flex account has different eligibility requirements from Capital one-time loans because of the different calculations that are made when applying for funding.

Requirements for Capital flex accounts

Your business must meet specific requirements and demonstrate strong performance to be eligible for Capital flex account funding. Review the following eligibility requirements before applying for a Capital flex account:

Your business must be based in the United States.
Your principal place of business must be within the United States.
Your bank account must be located in the United States.
Your business entity must be properly verified and meet standard Shopify Capital compliance requirements.
Your business must not be operating as a trust or partnership. Only the following business types are supported for Capital flex account funding:
- Sole proprietorships
- Limited liability companies (LLCs)
- Corporations (C-Corp, S-Corp)
- Limited partnerships where the business entity is properly structured

The business entity must be properly verified and meet standard Shopify Capital compliance requirements.

Business performance criteria

To qualify for Capital flex account funding, your business must demonstrate strong performance metrics and maintain a low-risk profile. The following sections explain the performance requirements and risk assessment criteria.

Performance metrics

Your business must meet the following performance criteria:

Your business must have generated at least $50,000 USD in gross merchandise value (GMV) over the trailing twelve months (TTM). This requirement ensures that your business has sufficient scale to benefit from continuous funding access.
Your business must demonstrate consistent sales patterns and growth potential, as evaluated through Shopify's automated underwriting process.

Risk profile assessment

In addition to the GMV threshold and consistent sales, your merchant profile must be classified as low or medium risk based on the following factors:

Payment history: Strong record of timely payments for Shopify services and other financial obligations, including any previous Shopify Capital funding or Shopify Credit usage.
Dispute rates: Low chargeback and dispute rates relative to your sales volume and industry standards.
Business stability: Demonstrated operational stability and compliance with Shopify's Terms of Service and platform policies.
Return patterns: Reasonable return rates that align with industry standards for your business type.

In addition to the eligibility criteria for the Shopify Capital flex account, you must also meet the standard Shopify Capital eligibility requirements. Learn more about Shopify Capital eligibility requirements.

Applying for a Shopify Capital flex account

Capital flex account eligibility is evaluated through Shopify's automated underwriting system, which assesses your business weekly. If you meet the eligibility criteria, then you receive an offer in your Shopify admin. The following sections explain the verification process and approval timeline.

Apply for a Capital Flex account

You can access your Capital Flex offer directly from your Shopify admin.

Steps:

From your Shopify admin, go to Finance.
In the Accounts section, click Capital.
Select Flex account financing.
Enter the amount that you want to withdraw and choose a repayment rate.
Click Apply for funding.

After your application is submitted, your Capital Flex dashboard displays your borrowing capacity, outstanding balance, available funds, and recent activity.

Enhanced verification

Due to the continuous access nature of Capital flex account, the application process includes the following enhanced verification steps:

Identity verification: Confirmation of beneficial owners and authorized signatories
Business verification: Validation of business structure and operational details
Financial documentation: For larger borrowing capacities, additional financial documents might be required.

Approval timeline

The following timeline displays the events that occur after you apply for Capital flex account funding:

Initial review: 1-3 business days for standard applications
Enhanced review: Additional 2-5 business days if further documentation is required
Funding availability: 1-3 business days after approval for funds to be available for drawing

Borrowing capacity determination

Your borrowing capacity is determined by multiple factors that assess your business performance and risk profile. The following factors are considered when determining your borrowing capacity:

Business performance: GMV, sales patterns, and growth trajectory
Risk assessment: Overall risk profile and historical performance
Platform engagement: Usage and engagement with Shopify services
Industry factors: Business type and seasonal considerations

Capital funding limits are reviewed regularly and can be adjusted based on business performance and changing risk factors.

Maintaining your eligibility for a Shopify Capital flex account

To maintain access to your Capital flex account, your business must continue meeting performance standards and compliance requirements. The following criteria must be maintained:

Performance standards: Continue meeting minimum performance thresholds.
Compliance requirements: Maintain compliance with all Shopify policies and agreements.
Risk profile: Keep your business within acceptable risk parameters.
Account status: Maintain an active Shopify plan subscription and ensure your billing is in good standing.

Improving your eligibility for a Shopify Capital flex account funding

If you don't currently meet the Capital flex account eligibility requirements, then you might qualify for one-time loans or other Capital products. The following practices can help you increase your eligibility potential for future Capital flex account funding:

You can continue building your business to increase your eligibility, which is evaluated weekly.
You can focus on increasing GMV, reducing risk factors, and improving business metrics.

Completing these actions doesn't guarantee that you receive a Shopify Capital flex account funding offer in the future, but can increase your eligibility.