Small businesses and retailers understandably put a lot of weight on seasonal sales events like Black Friday and Cyber Monday (BFCM). The opportunity is huge, with Black Friday shoppers spending almost $10 billion online alone in 2023. Making the most of these moments, however, requires months of preparation and investment—long before shoppers visit sites or stores to make their purchases.
Black Friday shoppers spent almost $10 billion online alone in 2023 —CNBC
Financing options can give retailers the flexibility to reap the benefits of holiday season spending sprees. One option is Shopify Capital, which is designed to help eligible businesses tackle their day-to-day challenges and invest in areas that help them reach, or even exceed, their holiday sales goals. Loan eligibility is based on insights from your Shopify store and business history rather than a hard credit check, which means loans are tailored specifically to your needs.
Regardless of your business’s financing needs, leveraging Shopify Capital will help you reach your goals. Let’s take a look at how retailers are using Shopify Capital to set themselves up for a successful holiday sales season and beyond.
Expand and invest in your inventory
US retailers stock $1.40 of inventory for every dollar they earn, making inventory one of the biggest expenses they face. On top of the typical costs of maintaining and managing inventory, retailers also need to consider their stock ahead of the holiday season. Without adequate capital to fuel these inventory-related purchases, retailers run the risk of straining their cash flow and struggling to reconcile their expenses.
Shopify Capital gives you the power to make purchases that work for your business. Putting your loan toward inventory can help you weather supply chain uncertainties, stock up on popular items, invest in new product development, and more.
The Buffalo Wool Co., which manufactures and sells high-quality bison products, leveraged Shopify Capital to shore up inventory ahead of peak sales season.
You need money to make money, and Shopify Capital was the lever we needed to 10X our business to seven figures. Our business would not be anywhere near where we are today without Shopify.
Spend on marketing when it matters most
BFCM and other holiday sales events are premier marketing opportunities for retailers. But beginning your advertising efforts too late can blunt your brand awareness and cause you to miss out on engaging new customers and markets.
Ad spend can consume a sizable portion of your budget, especially if you’re factoring in holiday-specific costs on top of your day-to-day marketing needs. But Shopify Capital can give you the flexibility to boost your ad spend well before key holiday sales moments, all without overextending your budget.
Porter Road, which sources sustainable, local meat, used Shopify Capital to build brand loyalty and beef up its marketing campaigns. The company has seen a sizable return on its ad spend as a result.
With funding through Shopify Capital, we invested in marketing initiatives to promote our brand. Our $1 million in marketing spend generated over $11 million in sales today.
Stabilize cash flow to support retail operations
The strength of your retail operations determines how prepared you’ll be to meet the holiday rush. Investments in point-of-sale systems, in-store promotional displays, and website enhancements like expanded payments acceptance can help you win customers and manage an increase in purchases. But with cash flow problems causing almost 82% of businesses to fail, it’s important to make sure that these investments don’t strain your cash flow.
Shopify Capital helps you support your business how you see fit. You can apply for and receive a Shopify Capital loan in as little as two business days—and you can put the funding toward the enhancements that make the most sense for you. Financing from Shopify can help you keep your cash flow steady without forgoing valuable investments in your retail operations.
Hell Babes, a lifestyle brand geared toward women motorcycle enthusiasts, harnessed Shopify Capital to weather gaps in the company’s cash flow.
Being a small business owner, there’s different problems to solve—from cash flow to finding customers, and Shopify Capital was crucial
Staff up for seasonal and long-term success
Your sales staff is your business’s front line during the holidays, and seasonal hiring is a core need for many retailers during the peak season. But the reality of seasonal workloads can put a serious strain on retailers’ budgets.
With a quickly approved Shopify Capital loan, you can meet your hiring needs fast. You can use the funds to hire additional staff during key moments and reward loyal employees who step up to make your holiday sales goals a reality.
The Public Pet, a community-centric pet store in Honolulu, used Shopify Capital to help grow the store’s team, increase employees’ hours, and offer more benefits.
Shopify Capital has made it easy to take advantage of more opportunities. Funding allowed me to grow my inventory, expand my team, and improve my retail store.
Beat the holiday rush with Shopify Capital
Strong holiday sales can make or break your business’s outlook for the year ahead. Investing in your inventory, advertising efforts, retail operations, and staffing can set you up for success for Black Friday and Cyber Monday. But significant upfront costs can strain your cash flows and make it difficult to support your day-to-day business needs.
Funding through Shopify Capital lets you meet seasonal sales moments. No hard credit checks are required, loans are approved quickly, and the process is managed through your existing Shopify account for ease and transparency. If you’re looking for a hassle-free financing option to kickstart your holiday sales plans, Shopify Capital is ready to help you reach your goals.
Available in select countries. Offers to apply do not guarantee financing. All financing through Shopify Capital is issued by WebBank in the United States.
* Shopify Capital loans must be paid in full within a maximum of 18 months, and two minimum payments apply within the first two 6 month periods. The actual duration may be less than 18 months based on sales.
