Lightspeed Capital expands in hospitality and retail verticals, increasing qualified merchants by integrating recent acquisitions
MONTREAL, QC, Oct. 22, 2021 /PRNewswire/ - Lightspeed Commerce Inc. (NYSE: LSPD) (TSX: LSPD), the one-stop commerce platform for merchants around the world to simplify, scale and create exceptional customer experiences, today announced the expansion of its popular Lightspeed Capital program. This expansion means the Lightspeed Capital program is now available to eligible U.S. customers along with recently integrated merchants from the acquisitions of Upserve, ShopKeep, and Vend. This latest expansion increases the portion of Lightspeed's merchant customer base to whom the offering is available by approximately 40%. Lightspeed currently anticipates further expanding the offering to retail and hospitality customers in APAC by the end of 2021.
Independent businesses continue to face barriers when trying to obtain capital. The expansion of Lightspeed Capital provides rapid access to funds, often as soon as the next business day. Lightspeed Capital is an extension of Lightspeed Payments, and this expansion puts Lightspeed in an opportune position to grow in international markets where it has successfully launched Payments. Lightspeed also aims to accelerate growth of its financial services to the Supplier Network (expanded via its acquisition of NuOrder). This next step will allow Lightspeed to power and integrate even more key business needs from a single commerce solution.
"Local businesses are the backbone of our communities, and Lightspeed's goal is to make owning a successful independent business easier than ever. We believe real-time access to capital is one of the largest challenges facing independent merchants today," said Lightspeed's GM of Global Payments Jona Georgiou. "This expansion of Lightspeed Capital provides a simple, streamlined opportunity for our merchants to invest in their business. Our goal is to help turbocharge their operations as we approach the holiday shopping season all through a single, integrated commerce solution."
With economies reopening, it's crucial for independent merchants to have access to liquid funds. Lightspeed Capital provides flexibility, supplying cash when merchants need it. As the company continues to integrate products and customers from its recent M&A activity, Lightspeed Capital will continue to expand, offering a leg up to merchants around the world.
Lightspeed Capital is offered seamlessly through the Lightspeed Commerce platform and can be used for any business-related expense such as new equipment, inventory, or staffing. Lightspeed Capital is not a loan, so applying does not affect the credit of the merchant. Merchants pay back a set percent of daily sales, so they pay more when the sale volumes are higher and lower as things slow down. The cost to a merchant never changes regardless of how long it takes to pay back the cash advance.
"When I first learned about Lightspeed Capital, it sounded good: easy approval, low fee, easy repayment terms," said Melissa Wilsman, owner of The Groom Room. "The money was in my checking account the very next day. I couldn't believe it. I was able to purchase new inventory that I had been on the fence about due to possibly running thin on operating capital. If I'm in need of some extra funds in the future, Lightspeed Capital will be my only go-to."
This sentiment was echoed by Aarf Pet Central owner Susan Leisure: "Lightspeed Capital has been fantastic for us. It has allowed us to have a large influx of funds to increase our inventory at strategic times during the year. We have also used it for larger equipment purchases. We don't have to worry about budgeting to make a payment every month, and it's so much more reasonable than other capital loans or credit cards."
About Lightspeed Powering the businesses that are the backbone of the global economy, Lightspeed's one-stop commerce platform helps merchants innovate to simplify, scale and provide exceptional customer experiences. Our cloud commerce solution transforms and unifies online and physical operations, multichannel sales, expansion to new locations, global payments, financial solutions and connection to supplier networks.
Founded in Montréal, Canada in 2005, Lightspeed is dual-listed on the New York Stock Exchange (NYSE: LSPD) and Toronto Stock Exchange (TSX: LSPD). With teams across North America, Europe and Asia Pacific, the company serves retail, hospitality and golf businesses in over 100 countries.
This news release may include forward-looking information and forward-looking statements within the meaning of applicable securities laws ("forward-looking statements"). Forward-looking statements are statements that are predictive in nature, depend upon or refer to future events or conditions and are identified by words such as "will", "expects", "anticipates", "intends", "plans", "believes", "estimates" or similar expressions concerning matters that are not historical facts. Such statements are based on current expectations of Lightspeed's management and inherently involve numerous risks and uncertainties, known and unknown, including economic factors. A number of risks, uncertainties and other factors may cause actual results to differ materially from the forward-looking statements contained in this news release, including, among other factors, those risk factors identified in our most recent Management's Discussion and Analysis of Financial Condition and Results of Operations, under "Risk Factors" in our most recent Annual Information Form, and in our other filings with the Canadian securities regulatory authorities and the U.S. Securities and Exchange Commission, all of which are available under our profile on SEDAR at www.sedar.com and on EDGAR at www.sec.gov. Readers are cautioned to consider these and other factors carefully when making decisions with respect to Lightspeed's subordinate voting shares and not to place undue reliance on forward-looking statements. Forward-looking statements contained in this news release are not guarantees of future performance and, while forward-looking statements are based on certain assumptions that Lightspeed considers reasonable, actual events and results could differ materially from those expressed or implied by forward-looking statements made by Lightspeed. Except as may be expressly required by applicable law, Lightspeed does not undertake any obligation to update publicly or revise any such forward-looking statements, whether as a result of new information, future events or otherwise.