A Nigerian fintech business called Flutterwave offers a payment infrastructure to international retailers and payment service providers all over the continent. A few days ago, they launched a program called "Flutterwave Capital," designed to help you with loans to boost your business. You may get fast and flexible business financing from Flutterwave Capital. With no need for security. But how does Flutterwave Capital?

Flutterwave has often committed to assisting business owners by providing solutions to global payment processing, internet sales, and invoice generation issues. Their products and services have always been designed to help businesses reach their full potential.
 

The new Flutterwave Capital is laser-focused on resolving the most pressing issues that all business owners encounter. To help its merchants succeed, Flutterwave has launched a business loan platform called Flutterwave Capital in partnership with CashConnect Microfinance Bank, Indicina Bank, Keystone Bank, Migo Bank, Wema Bank, Zenith Bank, and Sterling Bank are among Flutterwave's lending partners powering this product.

Loans are made available to Flutterwave firms through Flutterwave Capital without collateral, extensive paperwork, or other demanding requirements. With a loan from Flutterwave Capital, you may get the money you need in less than 24 hours if you qualify. Every entrepreneur has a vision for their company's future before they go out on their own, and Flutterwave Capital wants to assist in funding that vision.

Advantages of Flutterwave Capital

A few years ago, after introducing and implementing the Bank Verification Number(BVN) in Nigeria, many platforms started offering Nigerian loans, which didn't go down well for some companies while others are standing out to date. Getting a loan for business in Nigeria is not easy. Still, with the Flutterwave Capital program, you can access a reasonable amount for your business with friendly repayment opinions. Below are the advantages of Flutterwave Capital.

1. Easy Access

Flutterwave made getting a loan as easy as possible because they know how stressful applying for a loan from other platforms can be. There is no requirement for collateral, and the application process is quick and easy. The eligibility checks, the application process, and disbursement only take less than 24 hours.

2. Effortlessly Low Costs

Since the loans are predicated on a company's previous business dealings with Flutterwave, the lenders view these companies as having a low chance of defaulting on their obligations, which results in a more favorable interest rate for the loans.

3. Easy Repayment Structure

Repayment processing is made simple by automatically deducting a portion of daily sales, with the repayment rate capped at 75%.

What's so special about Flutterwave Capital?

Financial constraints are a common issue for enterprises. Twenty-two percent of micro, small, and medium enterprises (MSMEs) cited access to Capital as their top challenge in the PwC 2020 MSME Survey. The same poll found that only 15% of firms could secure financing through traditional means. 

Flutterwave Capital is ready to help company owners get the Capital they need to expand their businesses. These funds allow business owners to invest in growth strategies such as stocking up on supplies, adding staff, increasing advertising, and boosting sales.

How Can I Get Flutterwave Capital?

To access loans from Flutterwave Capital, this is what you need to do the following:

Confirm Your Eligibility: Visit your Flutterwave dashboard to confirm your eligibility. If you're eligible, you will see available offers.
Choose offer : When you see the offers, choose one that best fits your business needs. Once you choose an offer, you've applied for a loan.
Receive Funds: We review your offer and pay the money into your Flutterwave For Business account in less than 24 hours.

What are the eligibility requirements for Flutterwave Capital

Your processing volume is only one of several account-related elements determining whether you receive a loan offer from Flutterwave. They constantly monitor your company's eligibility for a loan offer automatically. You will be notified by email if you become qualified, and your offer will appear on the Dashboard's Capital page. To qualify for a loan from Flutterwave Capital, your business must:

Be based in Nigeria: Flutterwave Capital only supports businesses located or incorporated in Nigeria.

Be processing payments via Flutterwave: You must have received payments using Flutterwave for six (6) months or more.

Be in good standing with Flutterwave Capital: If your business previously applied for a loan from Flutterwave Capital and got rejected, you won't be eligible to receive a new loan offer for the subsequent 30 days.

Be a growing business: The size of your loan offer is determined by how many transactions we process for you. Businesses that collect high payments through Flutterwave are more likely to be eligible for an offer.

Have a consistent processing record

A consistent and reliable processing record with short periods of low or no volume indicates a stable business which increases the possibility of getting a loan offer from Flutterwave Capital.

Have a low dispute rate
Businesses with low rates of unresolved chargebacks are more likely to qualify for funding.

Frequently Asked Questions Flutterwave Capital

Below are the frequently asked questions about Futterwave Capital as provided on their page here you can go through them to be sure that you understand everything you need to know.

How does repayment work?
Repayment will occur daily. A fixed repayment amount will be deducted from your daily collections before they are settled into either your Flutterwave for Business Payout balance or registered bank account, starting from the day after the loan disbursement.

What happens if I cannot repay my loan after it matures?
For our small-to-medium business merchants, a 1% per month penalty charge will be applied to the outstanding principal amount starting three days after maturity. If our bank partner still hasn't recovered the full outstanding debt 30 days after maturity, your loan account will be handed over to external recovery agents for further engagements.

What is my interest rate?
The interest rate may vary depending on the lender, but we will always display the exact interest rate each bank partner charges after receiving your loan application.

What is the maximum loan amount available?
The maximum loan offer from our bank partners depends on your monthly transaction value. For SMBs, it can go as high as 50% of your monthly transaction value, while mid-to-enterprise businesses may be eligible for up to 90%.

How is eligibility for a loan offer determined?
Eligibility is determined based on a combination of factors, including your active period, overall processing volume, and history on Flutterwave. Eligible businesses with at least six months of processing history will receive an email and in-app notification if an offer is available. Newer businesses can expect to see an offer very soon.

Will getting a loan from Flutterwave Capital hurt my credit score?
No. We base all offer solely on the transaction history and processing volume of your Flutterwave account, and only loan accounts in default could affect your credit rating.

Can I change my loan offer?
Once we display loan offers from our bank partners on the Capital tab, you can choose a custom amount up to the maximum offered amount. The loan fee and repayment amounts will adjust based on your chosen amount.

How quickly will I receive my funds after accepting an offer?
Once you accept an offer, our bank partner will disburse the funds within one hour. Typically, you will see the funds in your Flutterwave for Business Payout balance within that same hour.

What happens when my offer expires?
If your offer is not accepted, it will remain available for 30 days after your loan application. After this period, our bank partners will re-evaluate your business to see if you're eligible for another offer. If you want to check if you have another offer later, go to the Capital tab of your dashboard. We'll also send you an email if you have an offer.

Can I pay off my loan early?
Absolutely. You can pay the full amount you owe, or a portion of it, at any point by clicking the Make Repayment button in the Capital tab of your dashboard. There are no fees charged for early repayment.

Can I get a new offer if I pay off my loan early?
Paying off your loan does not automatically guarantee a new offer. We will evaluate your eligibility before extending a new loan offer.

What if my revenue slows down?
Your daily repayment amount is a set percentage of your collections' value. If your collections for the day are insufficient to cover your repayment amount, we will deduct a maximum of 75%. However, any unpaid amounts will carry over to the next day.

Can I take more than one loan at a time?
Unfortunately, you cannot. You have to finish paying off your current loan before accessing another one.

Finally, Flutterwave Capital currently exclusively provides loans to Nigerian firms that use Flutterwave. We'll let you know as soon as our efforts to expand the availability of Capital to enterprises in additional African nations bear fruit.

As a result, we're committed to developing solutions that help organizations expand their operations and realize their full potential.

Also read

* Flutterwave receives 2023 Fintech Infrastructure Award
* 10 Nigerian CBN-licensed digital microfinance banks
* (Quickteller) How to Check your Transaction Status
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