If Fintech Is Making Credit Flexible for Consumers — Who’s Doing It for Business Owners?

The fintech revolution is rapidly reshaping how consumers borrow. In just the past year, firms like Klarna and Affirm have released Visa-backed hybrid debit/credit cards that let consumers choose at the point of sale whether to pay now or later — often with interest-free installment plans. It’s intuitive, sleek, and built for the modern consumer.

Affirm’s Debit+ card alone has over 1.4 million users. Klarna’s new card just rolled out with access to over 150 million merchants, allowing consumers to toggle between debit and “Pay in 4” from their phone.

This kind of innovation has revolutionized access to credit at the checkout line.

So why are business owners still stuck waiting on the bank?

The SMB Credit Landscape is Still Outdated

For small and mid-sized business owners, accessing capital in 2025 still feels like it’s stuck in 1995. Want an SBA loan or a line of credit from a bank? You’re looking at:

• 30–90 days of waiting
• Multiple underwriting reviews
• Reams of documentation
• Potential collateral requirements

According to DeFacto, the average bank loan application goes through 25 to 30 separate steps. SBA loan timelines are often months long. Meanwhile, approval rates for SMBs at large banks hover at just 15–20%.

Even more frustrating? The need for capital usually happens fast — when an opportunity or emergency pops up, not after six weeks of waiting.

Fintech’s First Steps into SMB Credit

To be fair, the fintech world has started building tools for business owners:

• Square Loans funded $5.7B in 2024, offering repayment via daily sales.
• Shopify Capital hit over $3B in funding volume with streamlined merchant cash advances.
• Stripe Capital and PayPal Working Capital offer fast access based on payment history.

But the catch is that these are platform-specific. If you’re not using their system, you’re out.

So What’s Missing?

Here’s the real issue: consumers have dozens of flexible, transparent credit options. Business owners have a handful — and most are still clunky.

Small businesses — especially in industries like construction, restaurants, and retail — need:

• Fast approvals
• Flexible repayment options
• Clear ROI-based lending
• Capital tailored to the real-world timing of their operations

If Klarna can let consumers split a $200 coat into four equal payments at checkout, why can’t a contractor get fast working capital to start a $200,000 job?

Proactive Capital Strategy for Business Owners

Here’s how forward-thinking operators can stay ahead:

1. Plan Capital Access Ahead of Time — Don’t wait until cash is tight. Line up options when things are steady.
2. Diversify Sources — Don’t rely solely on a bank or card. Explore fintech and brokered capital.
3. Invest in Growth, Not Survival — Use funding to capture margin, expand, or streamline. Not just to tread water.
4. Track Real Returns — Know what a dollar of capital can earn you. If it costs $1 to make $3, that’s leverage.
5. Understand Your Funding Partners — Work with providers who explain terms clearly and structure capital around your needs.

What We’re Building at SCG Funding

At Sereno Capital Group, we believe business funding should work like the modern tools consumers already enjoy — fast, intuitive, and ROI-focused.

Our working capital solutions are designed to:

• Bridge cash flow gaps (e.g., contractors waiting on pay apps)
• Cover urgent expenses (like equipment failure or payroll)
• Fuel seasonal or growth opportunities (before the window closes)

With access to up to $1 million, fast approvals, and flexible term structures, we’re helping businesses move at the speed of opportunity — not bureaucracy.