QuickBooks Capital

QuickBooks Capital
Name	QuickBooks Capital
Industry	Financial technology
Founded	0 2017
Founder	Intuit
Headquarters	Mountain View, California
Products	Business loans, Line of credit
Website	https://quickbooks.intuit.com/capital/

QuickBooks Capital is a financial technology platform offering business loans and lines of credit to small businesses. It is a product of Intuit, the financial software giant best known for its QuickBooks accounting software. The service leverages proprietary data analytics from a company's QuickBooks account to assess creditworthiness and provide funding decisions rapidly, aiming to simplify access to capital for small business owners.

Overview

Launched by Intuit in 2017, the platform operates within the broader small business finance ecosystem. It distinguishes itself by deeply integrating with the QuickBooks suite, which includes QuickBooks Online and QuickBooks Desktop. This integration allows the platform to analyze real-time business data—such as cash flow, accounts receivable, and sales tax history—to make lending decisions. The service is part of a trend toward embedded finance, where financial products are offered directly within software platforms used for other business operations, competing with other fintech lenders like Kabbage and OnDeck.

Features and Services

The primary products offered are term loans and business lines of credit. Loan amounts typically range, and funds can be used for various business purposes such as purchasing inventory, covering payroll, or financing equipment. A key feature is the speed of the application process, with many applicants receiving decisions within minutes. The platform also provides tools for business owners to simulate how different loan amounts and terms might affect their cash flow projections within their QuickBooks data. This aligns with Intuit's broader strategy of becoming an artificial intelligence-driven expert platform.

Eligibility and Application Process

Eligibility is primarily determined by the health and history of a business's financial data within QuickBooks. Generally, businesses need an active QuickBooks Online account with at least six months of transaction history. The application process is conducted entirely online through the Intuit ecosystem. Applicants must connect their QuickBooks account, and the platform's algorithms analyze factors like revenue, profit margin trends, and outstanding invoices. This data-driven approach aims to serve businesses that may be overlooked by traditional banks like JPMorgan Chase or Bank of America.

Funding and Repayment Terms

If approved, funds can be deposited into a business's bank account as soon as the next business day. Repayment terms vary by product but typically involve fixed weekly or monthly payments deducted automatically. The cost of capital is presented as a fixed fee rather than a traditional interest rate, calculated as a percentage of the loan amount. Repayment activity is reported to major credit bureaus, including Experian and Equifax, which can help businesses build their business credit history. This structure is common among alternative lenders in the fintech sector.

Integration with QuickBooks

The deep integration with QuickBooks is the platform's defining characteristic. Financial data flows seamlessly between the accounting software and the lending platform. This allows for features like one-click pre-qualification checks and dynamic loan offers that adjust as a business's financial situation changes within QuickBooks. Furthermore, once a loan is received, payments and their impact on cash flow are automatically tracked within the user's chart of accounts, simplifying bookkeeping and financial management for the borrower.

History and Development

The service was officially announced by Intuit in March 2017, following a period of internal development and testing. Its creation was a strategic move by Intuit to expand beyond accounting software into the lucrative small business lending market, leveraging its vast dataset on millions of small businesses. The development was led by Intuit's former Senior Vice President, Alex Chriss. Since launch, the platform has originated billions of dollars in funding to small businesses across the United States, evolving its algorithms and product offerings in response to market needs and competitive pressures from other Silicon Valley fintech firms.

Category:Financial technology companies of the United States Category:Intuit Category:Companies based in Mountain View, California