Stripe expands small business lending with new Australia launch

Global payments company Stripe is making its move into small business financing in Australia, introducing Stripe Capital as a rapid lending solution integrated with its payments platform. The launch, announced during Stripe Tour Sydney, comes as nearly half of Australian small business owners face challenges securing funding amid climbing costs.

Stripe also marked a significant milestone, reporting one million users across Australia and New Zealand, with tens of thousands of new businesses joining the platform monthly, ranging from sole operators to large multinational brands.

A Faster Lending Alternative for Small Businesses

Stripe Capital aims to simplify and accelerate the lending process for small businesses. Using existing payment data from businesses, Stripe pre-approves funding offers without requiring cumbersome paperwork or prolonged waiting periods. Once approved, funds are available in one to two business days, with automated repayments tied to sales performance. The service charges a clear, flat fee, with no additional costs for early repayments or penalties for late payments.

Karl Durrance, Stripe’s managing director for Australia and New Zealand, highlighted how Stripe Capital aligns with the challenges faced by local small businesses. "SMBs are the backbone of the Australian economy, but the cost of doing business has risen sharply and around half report difficulty securing funding", he said. "Stripe Capital is designed to tackle their challenges head-on. We’re giving businesses fast access to financing with a clear, flat fee and flexible repayment terms that adjust to their sales."

In addition to direct users, platforms built on Stripe, such as the hospitality ordering app me&u, will be able to offer Stripe Capital to their own customers, further extending access to this new financing option.

Meeting Small Business Needs Amid Economic Challenges

Stripe’s entry into the Australian small business lending market comes at a time of heightened economic uncertainty. According to the company’s recent research, 92% of Australian business leaders anticipate a challenging year ahead. Rising costs (51%), economic uncertainty (38%), and customer loyalty struggles (28%) dominate their list of concerns.

For businesses navigating these pressures, quick access to funding could provide a critical lifeline for managing cash flow, paying suppliers, or seizing growth opportunities without the administrative burdens typical of traditional financing options.

Technology Adoption Remains Robust

Despite economic worries, Australian businesses are embracing technology at a notable pace. Stripe’s survey revealed that 85% of business leaders feel confident adopting new tools, with 70% already leveraging AI to enhance efficiency in areas such as customer service (39%), fraud detection (32%), sales and marketing (31%), and product development (30%). Larger companies are also exploring emerging technologies, with 30% adopting agentic AI.

The survey also pointed to growing interest in cryptocurrency, with over half of respondents (53%) either using or planning to use stablecoins for cross-border transactions. Stripe reported a 30% increase in cross-border transactions on its platform year-over-year, as Australian businesses increasingly look overseas for growth opportunities.

"Agentic AI and stablecoins aren’t just Silicon Valley topics anymore", said Durrance. "They’re reshaping the fundamentals of internet commerce. Stripe is making this future accessible for Australian businesses, helping them transform how they serve customers and operate in an increasingly AI-driven and global economy."

Growing Presence in ANZ

Stripe’s one million–user milestone underscores its established presence in the Australia-New Zealand market, where it launched a decade ago. The company’s integrated approach to payments, lending, and other financial services has resonated with local businesses, fueling its rapid growth.

At Stripe Tour Sydney, the company also announced over 50 product upgrades, including the Stripe Reader S710, a cellular-enabled card reader designed to maintain transactions during Wi-Fi outages, and Stripe Orchestration, a tool for managing multiple payment processors from a single dashboard. Additionally, Stripe introduced Stripe Startups, a program offering tailored resources and support for early-stage, venture-backed companies.

With Stripe Capital, the company is positioning itself as a key partner for Australian small businesses seeking agile financial solutions in an increasingly challenging economic environment.

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