Running a practice means constantly weighing what you could do next against what you can actually afford right now. Maybe you want to bring on a second practitioner, invest in new equipment, or run a marketing campaign to fill your calendar. Or maybe a slow season has left you short on cash and you need a bridge to get through it. Either way, getting access to financing has traditionally been one of the most painful parts of running a small business.
That's the gap Practice Better Capital, powered by Stripe Capital, was built to close. We launched the program in May this year, and to help explain how it works, we sat down with Mac Rechan, a Capital Product Specialist on the Stripe Capital team, for a webinar covering what capital actually means for practitioners, how the program works behind the scenes, and the impact it's had on businesses like yours.
Here's what you need to know.
Watch the Practice Better Capital Deep Dive
Getting small business financing has historically been a slow, frustrating process. Over the past year, only 41% of Small Business Administration loan applications were approved in the U.S., down from 50% the year before.¹ Even for well-qualified applicants, the paperwork alone (KYC, KYB, tax returns, ownership documentation) can take four to five weeks to get access to funding , and that timeline stretches even longer for a newer business without an established bank relationship.²
That timeline is a real problem when you consider that the average small business only has 27 days of cash on hand.³ If you need funding to solve a cash flow gap or capitalize on a growth opportunity, a five-week approval process doesn't help you when you need it.
Stripe built its capital program on a simple insight: it already has access to a business's real payment processing data, including revenue, seasonality, growth trends, and cash flow patterns. Rather than requiring years of tax returns, Stripe uses that processing history to proactively identify businesses that qualify for financing and to extend pre-qualified offers directly, without the back-and-forth of a traditional financing application.
The result is a process built for speed and clarity:
Because Practice Better already has your business information on file, most of the application is pre-filled. You're mainly confirming that nothing has changed, reviewing your offer terms, and signing if approved.
Stripe continuously evaluates Practice Better accounts in the background, looking at payment volume, consistency, growth trends, seasonality, business longevity, and account standing. If your business qualifies, you'll see a prequalified offer inside Practice Better under the Capital tab in your Payments Dashboard, visible only if you use Practice Better Payments.
A few things worth knowing about how offers are structured:
If you're not yet eligible, the most common reason is limited processing history. Stripe generally needs to see about 90 days of processing volume through Practice Better Payments, along with at least $1,000 a month (or $5,000 over a three-month period) in volume, before an offer can be extended.² You can also connect an outside bank account to give Stripe a fuller picture of your business activity, which can improve your eligibility or the terms of your offer.
Stripe recently studied its Capital program across thousands of businesses and found that companies accepting capital offers grew 27% faster, on average, than similar businesses that didn't take financing, even after controlling for businesses that were already on a strong growth trajectory.⁴
The numbers on satisfaction are just as strong: 95% of users rate their experience highly, and 85% of users who take one offer go on to accept another, suggesting capital tends to become an ongoing growth tool rather than a one-time transaction.2
One example Mac shared: when Stripe launched Capital with The Cut, a booking platform for barbers, 167 barbers accepted a combined $790,000 in financing within the first 24 hours, using the funds for everything from supplies to marketing to inventory.²
Interestingly, 63% of users who accept an offer weren't actively looking for financing when it appeared, but already had an idea of how they'd use it.² That's exactly why we wanted to walk through this now: even if you're not actively shopping for financing, it's worth knowing what's possible so you're ready if and when an offer shows up.
Based on Stripe's experience across its platform partners, three types of practices tend to see the biggest impact from capital:
Practice Better Capital is only available to eligible US practitioners using Practice Better Payments. If you haven't set that up yet, you can do so under Settings & Preferences > 3rd Party Integrations > Practice Better Payments. The application typically takes 5 to 10 minutes.²
Once you're set up, head to your Payments Dashboard > Practice Better Capital tab. If you're eligible, you'll see your maximum offer amount there and can view full terms before accepting anything. If you're not yet eligible, you'll see what's needed to get there, along with the option to share additional financial accounts to help Stripe build a fuller picture of your business.
If you have questions about your specific offer, payment structure, or application status, Stripe's dedicated Capital support team is available to answer your account-specific questions.
We've put together a full breakdown of how Practice Better Capital works, including ideas for how to put financing to use, in our Help Center article, Financing with Practice Better Capital. If you haven't set up Practice Better Payments yet, start with Getting Started with Practice Better Payments to make sure you're ready to go.
Capital isn't the right fit for every practice at every stage, but for practices ready to grow, it's designed to get you funding in days, not weeks, on terms that are clear from the start and never change.
Disclaimer: Stripe Capital offers financing types that include loans and merchant cash advances. All financing applications are subject to review prior to approval. In the US, Stripe Capital loans are issued by Celtic Bank, and YouLend provides Stripe Capital merchant cash advances. See your Dashboard for the terms of your offer. Practice Better Capital is available to eligible US practitioners on Practice Better Payments.
*Stripe Capital loans have a minimum amount due each payment period, and if the minimum amount that you pay through sales doesn't meet the minimum, your account will be automatically debited the remaining amount at the end of the period. If your loan has a fixed payment, Stripe stops withholding from your Stripe sales when you meet the fixed payment amount. The payment terms for your offer will be detailed during the application process.
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Running a practice means constantly weighing what you could do next against what you can actually afford right now. Maybe you want to bring on a second practitioner, invest in new equipment, or run a marketing campaign to fill your calendar. Or maybe a slow season has left you short on cash and you need a bridge to get through it. Either way, getting access to financing has traditionally been one of the most painful parts of running a small business.
That's the gap Practice Better Capital, powered by Stripe Capital, was built to close. We launched the program in May this year, and to help explain how it works, we sat down with Mac Rechan, a Capital Product Specialist on the Stripe Capital team, for a webinar covering what capital actually means for practitioners, how the program works behind the scenes, and the impact it's had on businesses like yours.
Here's what you need to know.
Watch the Practice Better Capital Deep Dive
Getting small business financing has historically been a slow, frustrating process. Over the past year, only 41% of Small Business Administration loan applications were approved in the U.S., down from 50% the year before.¹ Even for well-qualified applicants, the paperwork alone (KYC, KYB, tax returns, ownership documentation) can take four to five weeks to get access to funding , and that timeline stretches even longer for a newer business without an established bank relationship.²
That timeline is a real problem when you consider that the average small business only has 27 days of cash on hand.³ If you need funding to solve a cash flow gap or capitalize on a growth opportunity, a five-week approval process doesn't help you when you need it.
Stripe built its capital program on a simple insight: it already has access to a business's real payment processing data, including revenue, seasonality, growth trends, and cash flow patterns. Rather than requiring years of tax returns, Stripe uses that processing history to proactively identify businesses that qualify for financing and to extend pre-qualified offers directly, without the back-and-forth of a traditional financing application.
The result is a process built for speed and clarity:
Because Practice Better already has your business information on file, most of the application is pre-filled. You're mainly confirming that nothing has changed, reviewing your offer terms, and signing if approved.
Stripe continuously evaluates Practice Better accounts in the background, looking at payment volume, consistency, growth trends, seasonality, business longevity, and account standing. If your business qualifies, you'll see a prequalified offer inside Practice Better under the Capital tab in your Payments Dashboard, visible only if you use Practice Better Payments.
A few things worth knowing about how offers are structured:
If you're not yet eligible, the most common reason is limited processing history. Stripe generally needs to see about 90 days of processing volume through Practice Better Payments, along with at least $1,000 a month (or $5,000 over a three-month period) in volume, before an offer can be extended.² You can also connect an outside bank account to give Stripe a fuller picture of your business activity, which can improve your eligibility or the terms of your offer.
Stripe recently studied its Capital program across thousands of businesses and found that companies accepting capital offers grew 27% faster, on average, than similar businesses that didn't take financing, even after controlling for businesses that were already on a strong growth trajectory.⁴
The numbers on satisfaction are just as strong: 95% of users rate their experience highly, and 85% of users who take one offer go on to accept another, suggesting capital tends to become an ongoing growth tool rather than a one-time transaction.2
One example Mac shared: when Stripe launched Capital with The Cut, a booking platform for barbers, 167 barbers accepted a combined $790,000 in financing within the first 24 hours, using the funds for everything from supplies to marketing to inventory.²
Interestingly, 63% of users who accept an offer weren't actively looking for financing when it appeared, but already had an idea of how they'd use it.² That's exactly why we wanted to walk through this now: even if you're not actively shopping for financing, it's worth knowing what's possible so you're ready if and when an offer shows up.
Based on Stripe's experience across its platform partners, three types of practices tend to see the biggest impact from capital:
Practice Better Capital is only available to eligible US practitioners using Practice Better Payments. If you haven't set that up yet, you can do so under Settings & Preferences > 3rd Party Integrations > Practice Better Payments. The application typically takes 5 to 10 minutes.²
Once you're set up, head to your Payments Dashboard > Practice Better Capital tab. If you're eligible, you'll see your maximum offer amount there and can view full terms before accepting anything. If you're not yet eligible, you'll see what's needed to get there, along with the option to share additional financial accounts to help Stripe build a fuller picture of your business.
If you have questions about your specific offer, payment structure, or application status, Stripe's dedicated Capital support team is available to answer your account-specific questions.
We've put together a full breakdown of how Practice Better Capital works, including ideas for how to put financing to use, in our Help Center article, Financing with Practice Better Capital. If you haven't set up Practice Better Payments yet, start with Getting Started with Practice Better Payments to make sure you're ready to go.
Capital isn't the right fit for every practice at every stage, but for practices ready to grow, it's designed to get you funding in days, not weeks, on terms that are clear from the start and never change.
Disclaimer: Stripe Capital offers financing types that include loans and merchant cash advances. All financing applications are subject to review prior to approval. In the US, Stripe Capital loans are issued by Celtic Bank, and YouLend provides Stripe Capital merchant cash advances. See your Dashboard for the terms of your offer. Practice Better Capital is available to eligible US practitioners on Practice Better Payments.
*Stripe Capital loans have a minimum amount due each payment period, and if the minimum amount that you pay through sales doesn't meet the minimum, your account will be automatically debited the remaining amount at the end of the period. If your loan has a fixed payment, Stripe stops withholding from your Stripe sales when you meet the fixed payment amount. The payment terms for your offer will be detailed during the application process.
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