Introduction
Stripe Capital is a financing offer available to eligible Ignition customers starting in February 2026. The financing is offered via our partner, Stripe Capital.
This article will help you understand the prerequisites and steps needed to take advantage of this product.
Click here for more information and FAQ’s on Stripe Capital.
Eligibility
Eligibility is reviewed regularly by Stripe and determined based on a combination of factors, including overall sales volume and history with Ignition.
Eligible US businesses will receive an email if they have an offer available. Only the Principal user (account owner) for your Ignition account will have access to view the offer and submit an application.
In order to take advantage of Stripe Capital, you will be required to switch from gross settlement to net settlement payouts in Ignition. Read about the differences between how Ignition payouts are settled below.
How Stripe Capital works
Stripe Capital provides fast, flexible financing based on your Ignition payment history. If you’re eligible, you’ll receive an offer directly in your Home or Payouts tabs in Ignition and be notified via email.
If your application is accepted, funds are typically available as soon as 2 business days after approval, and payments happen automatically as a percentage of your Ignition sales.
There’s no interest; instead, you pay a single flat fee that’s included in your total payment amount. Because payments flex with your sales, you pay more when business is busy and less when it’s quiet*
Application
Check eligibility
Stripe regularly reviews eligibility based on factors like overall sales volume and your history with Ignition.
If you are an eligible US business, you will receive an email and see the offer in the Home tab of your Ignition account.
Verify your identity
Enter in the details for verification purposes.
Select your financing amount
Your offer includes the maximum financing amount, the single flat fee, and the payment rate (percentage of sales).
Use the slider in the application to choose a custom amount up to your maximum; the fee and payment rate adjust based on the amount you select.
Review your details
In the next screen, review your personal details as well as management and ownership of your company.
Confirm financing summary & submit application
Review and accept the terms.
After approval, funds are typically deposited within 2 business days.
You will also automatically switch to net settlement.
For more information, see this section here.
Payments
Automatic, percentage-based
A fixed percentage of your Ignition sales is collected automatically toward your payment total.
Payments will adjust with your sales: more during busy periods, less during slower ones.
Single flat fee, no interest
You pay one flat fee (not interest). This fee is included in the total payment amount and does not change.
Minimum payment requirement
For Stripe Capital loans, each payment period has a minimum amount due. If automatic deductions from sales don’t meet the minimum by the end of the period, Stripe will automatically debit your bank account or account balance for the remaining amount. No action is needed on your part.
Early payment
You can opt to make additional payments or pay in full anytime via the Make Payment button in your Ignition Stripe Dashboard. There are no additional fees for early payment.
Offer renewal
Once your total financed amount is repaid, your business is automatically evaluated for a new offer. Paying early does not automatically qualify you for a new offer.
How your payouts will change
Gross settlement
When you collect payments from clients, Ignition batches them together and pays them out to your bank account. Payment fees are then added up and billed to you once a month.
This is currently how your payouts are processed.
Example:
$100 (total invoice amount) x
3.6% + $0.30 (US Premium credit card rate)
= $3.60 + $0.30
= $3.90 total payment fee
Your payout will be $100. The payment fee is then added to your monthly Ignition invoice and you will see the $3.90 payment fee marked on your invoice, in addition to other payment fees.
Net settlement
Net settlement is our new payment fee processing method, where your payment fees for each payment collection are processed separately and immediately on each payout, rather than compiling them each month on your Ignition invoice.
This means that you will no longer pay fees at the end of the month. Instead, they will be deducted from each payment collection.
Example:
$100 (total invoice amount) x
3.6% + $0.30 (US Premium credit card rate)
= $3.60 + $0.30
= $3.90 total payment fee
Your payout will be $96.10. The payment fee is deducted immediately from that payout.
Your monthly Ignition invoice remains the same flat subscription fee that you pay, depending on your plan.
Changing from Gross to Net Settlement
The calculations of your payouts will now occur immediately when you move to net settlement. Note that the calculation of your payment fees remains exactly the same.
This offers an advantage by providing the precise post-fee calculation amounts, which simplifies reconciliation and improves accuracy.
Please note: When you move from gross settlement to net settlement, you will need to set up an expense account in your connected ledger for account reconciliation.
How to move from gross to net settlement
When your Stripe Capital application is approved, the system will automatically move you to net settlement. However, if your application is rejected, you will remain on gross settlement.
First invoice after moving to net settlement
When your Stripe Capital financing is approved and your account is moved to net settlement, your next Ignition invoice will still include gross settlement transactions that happened prior to moving net settlement since the start of their billing cycle.
For example, if your billing cycle started on Jan 1 and they are migrated to net settlement on Jan 15, all transactions that happened from Jan 1 until net settlement enablement on Jan 15 will show up on your next Ignition invoice with gross settlement.
These payment transaction fees will be the final gross settlement charges on your account, and every transaction fee onward from there will be charged separately per transaction as per net settlement calculations.
Stripe Capital payments
When you have successfully been approved for Stripe Capital financing, you will see your Stripe Capital payments in your Ignition Home and Payouts tab.
Click into them to see your full payment history.
Each payout will have a section detailing the amount that was taken as a payment for Stripe Capital.
How does invoice reconciliation work?
Example:
Export your payouts by clicking Export in your Payouts tab.
Select the date range you would like → Collections & Clawbacks → Generate Report.
Find the invoice(s) related to each payout and split out the net value of each invoice using the gross amount less the fee.
Reconcile the net amount against your bank account.
Credit the gross value of the invoice to sales (less GST if relevant) and the GST (if relevant) to your GST Control Account.
Debit the fee to a merchant fee expense account in your ledger.
Alternatively, you can import these if your accounting software accepts CSV files. (Your accounting software may use
Surcharging considerations
If you are surcharging your clients, you must consider the amount that you will surcharge.
If your client’s payment processing fee ends up higher than the Ignition payment fee, then your client will only be charged enough to cover the Ignition payment fee.
Example:
If your surcharge rate is 2.5% but Ignition charges you 2%, then your client will only pay the 2% surcharge fee.
Stripe Capital
Surcharging will not apply to any Stripe Capital payments that you make. Surcharging will only calculate the payment collection from your client and charge your client that amount.
FAQ’s
Ignition partners with Stripe Capital to unlock fast, flexible financing for eligible Ignition customers. As of February 2026 it is only available to U.S customers. Financing is offered through our Partner, Stripe Capital, not Ignition. For additional questions about the Stripe Capital financing program, contact capital-support@stripe.com.
How do you determine who qualifies for an offer?
Eligibility is reviewed regularly by Stripe and determined based on a combination of factors, including overall sales volume and history with Ignition.
Eligible US businesses will receive an email if they have an offer available.
Do I have to pay interest?
No, you’ll pay one flat fee that does not change.
You won’t pay any interest on top of this fee.
What is the flat fee?
Your offer is based on specific eligibility criteria and is unique to you
Stripe Capital charges a single, flat fixed fee that is based on the financed amount, and the specific fee depends on your business's risk profile, revenue, and payment history.
You can see financing examples on the Stripe Capital website: https://stripe.com/capital
Will applying for an offer affect my personal credit rating?
No, applying for financing will not impact your personal credit rating.
Can I request a different offer amount?
When you log into your Ignition Stripe Dashboard, you can use a slider to choose a custom amount (up to the maximum offer amount).
The financing fee and payment rate adjust based on the amount you choose.
When do I need to pay the flat fee?
The flat fee is included in your payment total.
You’ll automatically pay it through a percentage of your sales until the total amount is paid.
How does payment work?
Payment is collected automatically through a percentage of your Ignition sales as they are processed.
This means you pay more when business is busy and less if things slow down.
For Stripe Capital financing, as long as you meet your minimum payment requirement, what you pay each day adjusts to your sales.
What is a minimum payment?
For Stripe Capital financing, a minimum payment is the minimum amount you’re expected to pay every payment period.
The payment period is determined during underwriting and based on the total term of your financing offer.
If your automatic payments do not meet this minimum, you’ll be required to pay the remaining amount at the end of the period.
You can view your minimum payment amount in the Dashboard or in your financing agreement.
How do I make my minimum payment?
If payments deducted from sales cover the minimum payment requirement for the payment period, no action is required.
If the minimum payment amount is not met by the end of the payment period, Stripe will automatically debit your bank account or account balance for the remaining amount.
There’s no action needed on your part.
After I accept my offer and my application is approved, how quickly will I get my funds?
If your application is approved, funds are typically deposited into your bank account in as soon as 2 business days.
To ensure successful disbursement, you must set a valid bank account as your primary payout method.
Can I have my Capital funds paid out to a card?
Disbursement of funds to a card is not currently supported.
You must set a valid bank account as your primary payout method.
What happens when my offer expires?
Each offer is available for 30 days.
After expiration, your business will automatically be re-evaluated for eligibility for a new offer.
Can I pay my financing early?
Yes, you can make additional payments or pay the full amount at any time by clicking the Make Payment button in your Ignition Stripe Dashboard.
There are no additional fees for early payment.
Will paying early qualify me for a new offer?
Once the total amount financed is paid, your business is automatically evaluated for a new offer.
Paying early does not automatically qualify you for a new offer.
How should I report these funds on my taxes?
Tax reporting depends on your specific situation, so you should consult a tax advisor.
In general, Stripe Capital funds are not considered taxable income at the time of receipt.
Amounts withheld to satisfy payment obligations are not tax deductible.
What happens if I leave Ignition?
If your business continues processing payments through Stripe, payments will continue without any action needed from you.
If your business stops processing payments through Stripe entirely, you can make manual payments via the weekly email you receive from Stripe about your current payment status.
You are still responsible for the entire payment amount.
Who can I contact to learn more about the Stripe Capital program?
For additional questions about the Stripe Capital financing program, contact capital-support@stripe.com.
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.
* Stripe Capital loans have a minimum amount due each payment period. If the amount paid through sales does not meet the minimum required, your bank account may be automatically debited for the remaining amount at the end of the period.