{"title":"How Capital works","category":"default","creationDate":1776961628,"content":"

This page covers the basics of Adyen Capital. You can learn about the eligibility requirements, financing process, and the structure of financing offers.<\/p>\n

Eligibility<\/h2>\n

To offer business financing to your users, they must meet specific requirements regarding their location, business type, and processing history<\/p>\n

Minimum eligibility requirements<\/h3>\n

To qualify for a financing offer through Capital, your users must:<\/p>\n

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  1. Be located in a supported country or region<\/a> and have an eligible legal entity type.<\/li>\n
  2. Have processed payments with Adyen for at least three consecutive months (90 days).<\/li>\n
  3. Maintain a processing volume of at least 1,000 EUR, GBP, USD, or AUD for a minimum of three consecutive months.<\/li>\n
  4. Not operate in a high-risk industry as defined by payment risk categorization.<\/li>\n<\/ol>\n

    Note that meeting these minimum eligibility requirements does not guarantee qualification for a Capital offer.<\/p>\n

    Eligible legal entity types<\/h3>\n

    The following table shows the legal entity types that are eligible for financing through Capital.<\/p>\n\n\n\n\n\n\n\n\n\n\n\n
    Country\/Region<\/th>\nOrganization<\/th>\nUnincorporated partnership<\/th>\nSole proprietorship<\/th>\nTrust<\/th>\n<\/tr>\n<\/thead>\n
    Australia<\/td>\n\"-white_check_mark-\"<\/td>\n\"-white_check_mark-\"<\/td>\n\"-white_check_mark-\"<\/td>\n\"-white_check_mark-\"<\/td>\n<\/tr>\n
    Canada (excluding Saskatchewan)<\/td>\n\"-white_check_mark-\"<\/td>\n\"-white_check_mark-\" (excluding Quebec)<\/td>\n\"-white_check_mark-\" (excluding Quebec)<\/td>\n\"-x-\"<\/td>\n<\/tr>\n
    Finland<\/td>\n\"-white_check_mark-\"<\/td>\n\"-white_check_mark-\"<\/td>\n\"-white_check_mark-\"<\/td>\n\"-x-\"<\/td>\n<\/tr>\n
    France<\/td>\n\"-white_check_mark-\"<\/td>\n\"-white_check_mark-\"<\/td>\n\"-white_check_mark-\"<\/td>\n\"-x-\"<\/td>\n<\/tr>\n
    Sweden<\/td>\n\"-white_check_mark-\"<\/td>\n\"-white_check_mark-\"<\/td>\n\"-white_check_mark-\"<\/td>\n\"-x-\"<\/td>\n<\/tr>\n
    United Kingdom (including the Channel Islands and Isle of Man)<\/td>\n\"-white_check_mark-\"<\/td>\n\"-x-\"<\/td>\n\"-x-\"<\/td>\n\"-x-\"<\/td>\n<\/tr>\n
    United States (including Puerto Rico)<\/td>\n\"-white_check_mark-\"<\/td>\n\"-white_check_mark-\"<\/td>\n\"-white_check_mark-\"<\/td>\n\"-x-\"<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

    Financing process<\/h2>\n

    The process of offering business financing through Adyen Capital follows a specific lifecycle, from risk assessment to repayment. The following table outlines each phase of this process:<\/p>\n\n\n\n\n\n\n\n\n\n
    Phase<\/th>\nDescription<\/th>\n<\/tr>\n<\/thead>\n
    Risk assessment and underwriting<\/strong><\/td>\nAdyen configures the required capabilities for your user and assesses the risk of their account. This assessment, based on your user's payments data, determines which financing offers are available to your user.<\/td>\n<\/tr>\n
    Offers<\/strong><\/td>\nAdyen generates financing offers for your user based on the risk assessment. Depending on your integration (API or UI components), users are presented with specific options or a maximum limit.<\/td>\n<\/tr>\n
    Terms of Service<\/strong><\/td>\nAfter selecting their preferred financing offer, the user accepts Adyen's Terms of Service<\/a>. Upon acceptance, the required capabilities are enabled on the user's account.<\/td>\n<\/tr>\n
    Fund disbursement<\/strong><\/td>\nThe grant amount specified in the offer is disbursed to the user's balance account. The funds can also be transferred to the user's verified bank account (transfer instrument) if provided in the API request.<\/td>\n<\/tr>\n
    Repayment<\/strong><\/td>\nRepayments are primarily handled through scheduled repayments, where Adyen automatically deducts a fixed percentage from the user's daily net captured volume. Users in certain regions can also make unscheduled repayments. Adyen monitors progress against a minimum 30-day threshold to ensure timely repayment.<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

    The following sections provide more details about each phase of the financing process.<\/p>\n

    Risk assessment and underwriting<\/h3>\n

    Adyen Capital requires users to have specific capabilities<\/a>. In most cases, Adyen automatically configures and requests the necessary capabilities for your business when you design your implementation<\/a>.<\/p>\n

    After the necessary capabilities are requested, Adyen assesses financing risks based on the user's payments data. This risk assessment defines which financing offers are available to your users.<\/p>\n

    Financing offer<\/h3>\n

    Based on the results of the risk assessment, Adyen generates financing offers for your users. Each offer includes the following information:<\/p>\n