Lightspeed Capital’s MCA Revenue Grew by 73%

Capital revenue grew 73% year-over-year, while merchant cash advances outstanding grew a more modest 12% year-over-year, thanks to a payback period that declined to 7 months, a 13% improvement over last year,” said Lightspeed CFO Asha Bakshani during the company’s recently quarterly earnings call.

When Daniel Perlin of RBC Capital Markets asked if that growth might continue to accelerate, Bakshani said they were still being careful and to expect 35%+ growth going forward.

“What we have to keep in mind at the end of the day, Dan, is we want to make sure that our default rates remain in the low single digits,” Bakshani said. “We’ve done a really good job at accelerating ROI on Lightspeed Capital, reducing the months payback with which we get repaid (down to 7), and that’s resulted in very low default rates, the lowest we’ve seen in the industry, to be honest. So what’s important to us is to grow this business prudently and we expect to continue to do that with some nice 35-plus percent growth in fiscal ’27.”

Lightspeed funded about $350M in MCAs from March 31, 2025 – March 31, 2026.