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| 09/08/2022 | Leadership shakeup at Shopify |
Stories
Shopify Capital Finishes 2025 With $4.2B in MCAs and Business Loans
February 18, 2026Shopify revealed its full year MCA & business loan origination figures. $4.2 billion. That’s $1.2 billion over the previous year. Only 91.9% of these deals were considered “current” as of December 31, 2025. That’s down slightly from last year when 93.7% of deals were considered current at year-end.
For clarity, Shopify Capital offers funding in 8 total countries. The product is considered a value-add to its e-commerce platform and only offered to merchants who use it. Shopify Capital is in the same league as Square Loans and Enova in terms of origination volume.
Shopify Capital: Repeat Originations Performance Quarter over Quarter
November 4, 2025
Shopify Capital originated ~$1B in business loans and merchant cash advances in Q3, the same as the previous quarter. The total for the first nine months of 2025 now sits at ~$2.8B, which means they will surpass 2024’s total of $3B. deBanked has been tracking originations of more than a dozen of the largest online small business lenders since 2014.
Shopify Capital is not limited to the US and in Q3 it added Ireland and Spain to the list of countries it funds in.
Technically speaking, “Certain loans and merchant cash advances are facilitated by the Company and originated by a bank partner, from whom the Company then purchases the loans and merchant cash advances obtaining all rights, title and interest or discount,” the company explains in its SEC documents.
A snapshot of payment status from their Q3 report:
Shopify Capital: Business Loan & MCA Originations Grow, Loss Rates Consistent
August 6, 2025Shopify Capital purchased $1B worth of business loans and MCAs in Q2, bringing the total to $1.8B for the first half of 2025.
“Our capital business continues to grow, supported by recent product innovations that enhanced our suite of credit offerings and expanded our geographic reach, including launching Capital in Germany and the Netherlands,” said Shopify CFO Jeff J. Hoffmeister. “We’ve introduced new tools that give merchants more choice in how they manage and select loan options, providing greater flexibility to meet their financing needs. Note that loss rates have remained consistent with prior quarters. This is about the successful, thoughtful expansion of capital.”
The company is on pace to outperform last year’s estimated originations of $3B. The company held ~$1.6B in business loans and MCAs on its balance sheet as of June 30.
Certain loans and merchant cash advances are facilitated by Shopify and originated by a bank partner, from whom Shopify then purchases the loans and merchant cash advances obtaining all rights, title and interest or discount. deBanked is able to estimate originations from these figures.
Shopify Continues to Grow its Merchant Funding Business
May 8, 2025“We continue to grow our capital business and have recently introduced several product innovations that give merchants more choice for how they manage their loans, and how they choose among various loan options,” said Jeff Hoffmeister, CFO of Shopify during the Q1 earnings call.
The company had ~$1.4B in business loan & merchant cash advance receivables on its balance sheet as of March 31, 2025. It purchased & originated $805M worth of business loans in Q1, putting it on pace to surpass the $3B total for all of 2024.
“Shopify Capital is a financing program that offers merchant cash advances and loans to eligible businesses based on the store’s location, history, use and interaction with the Shopify platform,” the company states. It is offered in the US, Australia, Canada, and the UK.
Shopify Capital Originates ~$3 Billion in Merchant Funding in 2024
February 11, 2025
Shopify Capital originated ~$3 billion worth of MCAs and business loans in 2024, up by 50% over the prior year. For the sake of comparison, online small business lender Enova originated $4 billion in 2024. Shopify is an e-commerce platform first, however, and is growing on all fronts
“2024 was a stand-out year for Shopify,” said Shopify President Harley Finkelstein. “We seized every opportunity to fuel our growth and it showed in the results quarter after quarter. Heading into 2025, we are committed to making entrepreneurship more common and further establishing Shopify as the go-to commerce platform for businesses of all sizes. With our proven track record, the agility of our platform, and our relentless focus on merchant success, we like our odds in this evolving technology landscape, and are excited about the opportunities it brings for Shopify and our merchants.”
Shopify Capital Originates $837M in Business Loans & MCAs in Q3
November 15, 2024Shopify Capital originated $837 million in business loans and merchant cash advances in Q3, putting the grand total at $2.1B for the first 3 quarters. During the earnings call, Shopify said that loss ratios remained within the consistent range.
Compared to some of their competitors in the online space, Shopify Capital ranks third:
Q3 originations:
Square Loans: $1.38B
Enova: $1B
Shopify Capital: $837M
Shopify Capital’s Funding Business Grows in Q2
August 14, 2024Shopify Capital originated ~$700M in business loans and merchant cash advances in Q2. During the earnings call, Shopify CFO Jeff Hoffmeister referred to its Capital division as a “growth business” that had increased in volume. Shopify has otherwise seemed to downplay mention of this division since early last year. In terms of origination volume, the company is still not as big as Enova or Square Loans.
Shopify’s rival, Amazon, used to offer funding to its clients directly as well, but switched to referring its clients to third party lenders earlier this year.
Shopify Capital MCA, Loan Origination Growth Appears to Slow Down
May 9, 2024Shopify Capital, the funding arm of Shopify that provides merchant cash advances and loans to merchants on its platform, experienced no increase in these related receivables in Q1 compared to Q4 2023. The company typically records significant growth in this figure each quarter. Shopify used to broadcast its origination figures far and wide in each quarterly earnings report and call but has since gotten shy about this segment of its business and no longer discloses originations. Instead, its balance sheet line item for “Loans and merchant cash advances” is virtually all there is to go by now and they were listed at $815M in Q1 vs $816M the prior quarter. This, of course, only reflects anything they’ve kept on balance sheet and could be a misleading indicator if those receivables are being sold off or taken on by a third party.
Shopify’s major rival, Amazon, never disclosed origination figures for its Amazon lending program, and in March announced that it was discontinuing its in-house lending program altogether after a 12-year run.
Shopify is still among the largest online small business lenders in the US.
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