Maximizing Your Profits With Shopify Financing

E-commerce is a challenging industry to break into. Ensuring your storefront runs efficiently is the first step to becoming a successful e-commerce entrepreneur. Shopify is a viral tool for e-commerce sellers that provides access to tools and offers an omnichannel strategy that does not limit online sales. To get started with Shopify, you may require financing and there are several options for Shopify financing, such as Shopify Capital, grants, crowdfunding, and 8Fig. Read more about each option to determine which method is best for your e-commerce store.

Shopify offers a built-in financing option called Shopify Capital, but it has pros and cons. Because it is built into the software, eliminating any middlemen, long wait times, and paperwork. Checking eligibility is as easy as logging into your account; there is no credit check, and Shopify does not claim any equity in your business. 

However, Shopify determines how much funding you can receive, and repayment is taken from a percentage of your sales. This model may not work for you depending on how much capital you need and what type may need a different prod. Shopify Capital is a fast and easy way to secure financing, but consider other options before committing to it. Several other methods fit your business model better.

Traditional funding options like grants and equity loans could be the best financing options for your e-commerce store. These methods have successfully provided small businesses with capital for decades, and they are tried and true for a reason. Grants are usually given to further a specific goal or support a particular industry. If you can find a grant that fits your needs, applying is a great start to achieving your goals. Unfortunately, grants are never guaranteed, and decision-making can take time and effort. Applying for grants can be tricky as well. You will want the advice of an expert to help you ensure that your application is the best it can be.

Equity loans are another financing type often used for brick-and-mortar storefronts. You will need a partner or a backer to invest in your business to secure an equity loan. Finding a trusted partner and investors you can rely on to provide capital when needed can be not easy. Giving someone else equity in your business makes them integral to success, which is only sometimes good. People you trust implicitly might not be ideal investors, and ideal investors often are not people you trust. If you can find a perfect partner, this arrangement is excellent, but if not, you are better off finding a different financing solution.

8Fig is a Shopify capital loan option that is easy to use and apply for and requires no wait times. Unlike other funding solutions, 8Fig allows you to receive capital regularly to support your business instead of a one-time payment. This ensures maximum profit and potential. The flexible service lets users change their payment schedule and receive additional funds when needed. You can get approved, funded, and up and running in days.

Shopify financing is a key element to starting your e-commerce store. Ensure success by choosing the best option for you and secure your financial future as soon as possible.

This post was authored by an external contributor and does not represent Benzinga’s opinions and has not been edited for content. The information contained above is provided for informational and educational purposes only, and nothing contained herein should be construed as investment advice. Benzinga does not make any recommendation to buy or sell any security or any representation about the financial condition of any company.