Working Capital
Editorial Team
At Working Capital, we believe access to funding should be simple, transparent, and designed around your business not the other way around. We’re committed to helping entrepreneurs make smart financial decisions with tools, guidance, and lending partners they can trust.
Cardiff and Square both aim to simplify small business financing, but they do it very differently. Cardiff is a diversified online business loan lender offering everything from quick revenue-based advances to long-term SBA loans, whereas Square embeds financing options into its payment processing system.
How do they compare? In short, Cardiff delivers more flexible and robust financing solutions with broader offerings, faster approvals, and more adaptable terms, while Square’s loans are tightly integrated with its platform and limited in scope. Keep reading for the full breakdown.
Single-focus: short-term business loans (merchant cash advance style) and a business credit card for Square sellers. No equipment financing, SBA, or LOC products.
Single-focus: short-term business loans (merchant cash advance style) and a business credit card for Square sellers. No equipment financing, SBA, or LOC products.
Cardiff’s Merchant cash advance (MCA) loan provides fast, flexible working capital in exchange for a portion of future revenue. The application is straightforward, and approval can happen in minutes for qualified businesses.
Cardiff offers a range of terms from three months to 24. Repayments may be daily, weekly, or monthly, often tied to your sales volume (ensuring payments are manageable even during slow periods). They may also be fixed. Cardiff does not set a minimum FICO score, but prefers a credit score of 500 or above, making it accessible for businesses in a broad range of industries and credit profiles that might not qualify for bank loans. Quotes give the total cost using a fixed factor rate (e.g., if you borrow $10K, you repay $11K), so you know exactly how much you’ll need to pay back upfront.2
Cardiff’s MCA loans for small businesses deliver speed and flexibility, which are ideal for covering immediate cash flow gaps like payroll, inventory buys, or unexpected expenses with minimal paperwork. Online loan applications and flexible criteria make funding attainable when needed.
Uniquely, Cardiff incentivizes borrowers to pay off advances early by forgiving the remaining interest at the time to pay off. If financial needs arise before you are able to repay the advance, you can secure an additional MCA, as long as cash flow and payment history are strong—a benefit other lenders may not allow.
Square’s core small business financing functions similarly to a merchant cash advance, though Square labels it a business loan. It automatically extends offers to merchants based on their Square sales. No application needed.
Loan amounts range from as little as $100 up to a maximum of $350,000, depending on your sales history. Loans come with a fixed fee (e.g., a $10K loan might have a $1K fee, so you owe $11K total). Square deducts a set percentage of your daily credit card sales until you repay the full amount. However, you must pay at least 1/18 of the loan every 60 days, and the full balance is due within 18 months.6
With no forms, credit checks, and fast funding (next-business-day deposit once you accept), Square’s model is extremely convenient for existing Square sellers. However, it’s not available to the wider market, and the loan’s size is strictly limited by your card sales. There’s also no ability to negotiate terms; the offer is take-it-or-leave-it.
Cardiff clearly lands among the top merchant cash advance companies. Unlike Square, Cardiff’s MCA is available to any small business (not just those on one payment platform). Tailored term lengths and repayment frequencies customize repayment schedules to suit the business’s situation.
Square’s embedded loan is convenient if you’re a qualifying seller, but Cardiff’s fast MCA business loan wins on flexibility and reach. It delivers similar funding speed while serving a far broader range of businesses and needs.
Cardiff’s business term loans function more like a standard bank loan and often feature multi-year repayment schedules and monthly payment plans. Loan terms average around three years (the typical approved term is 39 months), considerably longer than most online alternative lenders.
Loan sizes can be substantial, with term loans for business up to $500,000. Higher funding amounts are possible through specialized programs. Competitive interest rates on these loans can start around 5.99% when secured by collateral or under SBA programs.1
The approval process is fast (minutes to get an offer) and funding swift (often same day), reflecting Cardiff’s hallmark of speed. These loans may require more documentation than a simple MCA (e.g., proof of revenue, bank statements). Still, Cardiff doesn’t enforce a strict credit score cutoff, focusing instead on overall business health.
Cardiff’s term loans for small businesses provide scalable, longer-term financing for expansions, renovations, or major investments. They combine the agility of a fintech with the lower rates and longer terms offered by banks.
Square’s business financing is short-term (with the 18-month cap) with repayment tied to daily sales.6 In essence, Square’s financing focus is on short-term working capital, and it does not extend into longer-term loans for general business purposes.
The limitation is clear. Square loans top out under two years and are conditioned on payment processing volume. They’re not a fit for substantial, long-horizon financing needs.
Cardiff’s ability to offer long-term small business loans (with high dollar amounts and competitive rates) far exceeds Square’s short-term scope. Square doesn’t truly compete in this category; its model is geared toward quick, small infusions, not long-term capital. For a sizable loan with a reasonable repayment period, Cardiff is the go-to choice.
With a line of credit, Cardiff approves a maximum credit limit (based on your business’s financials), and you can draw funds as needed up to that limit. It is ideal for managing ongoing cash flow fluctuations or unexpected expenses. You only borrow (and pay interest or fees on) the amount you actually need at any given time. As you repay the balance, those funds become available to draw again, making it a reusable safety net for the business.
With terms designed for businesses with seasonal fluctuations or variable needs, repayment schedules for credit lines are typically monthly, and if you clear the balance, you owe nothing until you draw again. Cardiff does not charge draw, maintenance, prepayment, or closure fees. You only owe simple interest, which starts at 9.9%APR.
To qualify, you’ll need a healthy business track record, but not necessarily collateral. However, Cardiff will consider revenue consistency, time in business, and other factors. Cardiff’s credit lines give entrepreneurs ongoing financial flexibility that goes beyond a one-time loan. You may be eligible for auto annual renewal if your account is in good standing.
For best business line of credit, Cardiff wins decisively because Square simply doesn’t have a line of credit. Cardiff’s line of credit can be a lifeline for businesses with cyclical needs, providing access to funds on demand. Square offers no equivalent capability, making Cardiff the only choice in this matchup if a revolving credit line is what you need.
Cardiff’s commercial equipment financing and leasing program allows you to finance the purchase of equipment (vehicles, industrial machines, technology, etc.) over time, rather than paying the full amount upfront. Cardiff can finance both titled assets (like vehicles that require title registration) and non-titled equipment,3 which some general lenders avoid.
Typical terms for Cardiff’s loans for business equipment range from two to five years, with structured monthly payments. Loans can even include soft costs (such as installation, delivery, and training fees), so you truly cover the “all-in” cost of getting your equipment operational. At the end of the term, you either own the equipment (for finance leases or loans) or have the option to purchase it (for true leases).1
Cardiff’s rates for equipment financing can be as low as 5.99% to start since the equipment secures these. The application and approval process is fast compared to traditional bank equipment loans, meaning you can take advantage of a deal or replace broken equipment quickly.
Small business equipment loans are an invaluable resource for companies in industries like trucking, construction, medical/dental, etc. With Cardiff they are available to start ups with strong experience and industry knowledge.
Square does not offer any equipment financing or leasing products. If a business needs to buy equipment (say, a new restaurant oven or a delivery truck), Square may provide a generic loan offer. However, it wouldn’t be tailored for equipment and would max out at $350K, possibly less than what large equipment purchases require. Moreover, Square’s short loan terms (18 months) don’t align with the useful life of expensive equipment that one would normally finance over several years.
Essentially, Square’s financing doesn’t cover this category.
Cardiff is the only one of the two that offers financing for business equipment purchases. Its ability to fund equipment purchases (with appropriate term lengths and collateralized rates) gives businesses financing tailored to investing in tools, vehicles, or machinery, so Cardiff is the default winner by offering a solution where Square has none.
Cardiff facilitates SBA Loans, or loans partially guaranteed by the U.S. Small Business Administration. Coveted for their low interest rates and long terms, businesses can access loans for small business owners by working with Cardiff’s network of SBA-approved lenders. The advantage of going through Cardiff is speed and guidance.
Traditionally, SBA loans involve a very lengthy process, but Cardiff advertises swift decision-making and swift funding upon approval. They also handle much of the heavy lifting to streamline the paperwork for small businesses’ online loans.4
To qualify for an SBA loan via Cardiff, your business generally should meet standard SBA criteria (e.g., two or more years in business, solid revenues, decent credit, and a viable purpose for funding). While SBA loans do require good credit (Cardiff’s site notes a minimum score of 600 or higher for SBA programs4) and more documentation, they offer excellent terms. Interest rates can be in the single digits (often around prime plus a margin), which is lower than most non-bank loans, and repayment can span 10 years or more, keeping monthly payments low.
Cardiff’s inclusion of SBA options in its product suite means that a business looking for the lowest-cost, long-term capital (and that qualifies for it) can get those funds with Cardiff’s help. It’s a differentiator that positions Cardiff more like a full-spectrum financial partner, not just a short-term lender.
Square does not offer SBA loans or any kind of government-backed financing. During the COVID-19 pandemic, Square Capital participated in processing SBA Paycheck Protection Program (PPP) loans as a conduit (hence Square’s materials citing SBA PPP in their funded totals6), but that was a temporary emergency program.
Outside of that scenario, Square’s lending arm sticks to its own proprietary loan product. If a business owner specifically wants an SBA loan for the low rates and long term, they cannot obtain that through Square. SBA loans are a gap in Square’s lineup.
Cardiff is the outright winner by default. Its ability to help businesses secure low-interest SBA funding (with the convenience of an online fintech-style process) is a unique selling point.
For entrepreneurs who qualify and want the cheapest capital available, Cardiff offers a path to small business loans online that Square cannot match at all.
Cardiff offers two business credit cards for small businesses: a standard Business Card and a Business Rewards Card. Both come with a 0% introductory APR for 12 months on purchases (and even balance transfers). With options for no annual fee and cash back rewards, these cards help business owners keep costs low.5
They also include typical business card perks such as travel benefits, expense management tools (detailed statements, online account management), and the ability to separate personal and business expenses easily. The rewards version adds an exclusive rewards program, including cash back on spending, which incentivizes businesses to use the card for everyday purchases.5
In essence, Cardiff’s credit cards function like traditional bank-issued business credit cards and can be a useful complement to Cardiff’s loans.
By offering credit cards, Cardiff rounds out its financing suite, giving clients another tool to manage cash flow (and potentially save on interest during that intro period).
The Square Credit Card is a business credit card designed specifically for Square sellers. This card is unique in that its credit limit is determined by a number of factors, including the sales a business processes through Square. As your business grows, your credit limit can grow in tandem. It runs on the American Express network and carries no annual fee and no late fees, keeping costs predictable.7
The standout feature is the card’s rewards program. Every time you spend on the card, you earn free processing for your Square account.7 In other words, the rewards effectively reduce your payment processing costs.
The card integrates with Square Checking and the rest of Square Banking for convenient oversight through the dashboard.7 However, there’s no mention of a 0% intro APR or general travel rewards. Square’s card drives engagement within the Square ecosystem (i.e., encouraging you to spend on the card and get processing fee relief in return).
For a Square seller who frequently uses Square for payments, this card could be very beneficial. But if your business isn’t on Square or you prefer cashback or travel points, the Square Credit Card might not be appealing.
The best credit card for business expenses depends on your priorities. Cardiff’s business credit cards offer broad-based benefits (0% APR period, travel perks, cashback rewards) that any small business can take advantage of, regardless of which vendors or systems they use. This makes Cardiff’s cards a strong choice for general business spending and managing expenses.
Square’s credit card is a niche product that strongly benefits existing Square sellers through free processing rewards. If you use Square heavily, the value of waived processing fees could be significant.
For most businesses, Cardiff’s more universally applicable credit card options are clearly the better fit with its flexible, low-cost introductory financing and rewards structure.
Both Cardiff and Square bring useful financing solutions for businesses, but they serve different niches.
Square shines as a quick, easy capital option for businesses already using Square’s payment system. If you’re a Square merchant who needs a small boost to purchase inventory or bridge a short-term cash gap, Square Loans are incredibly convenient with their automatic repayment and lack of paperwork. Square’s credit card can also be a nice perk for loyal users, effectively discounting your processing fees. In its niche, Square provides a smooth, if limited, experience.
In contrast, Cardiff offers a far broader financing platform that can support a business through various stages and needs. From ultra-fast revenue-based advances to substantial multi-year loans (and even specialized products like equipment financing and SBA loans), Cardiff covers the spectrum. This breadth means the online business loan provider can likely tailor financing to your situation rather than offering a one-size-fits-all product.
Also, Cardiff’s willingness to work with newer businesses, offer same-day approvals, and build in flexible repayment options makes it a lifeline for companies that might not qualify elsewhere. You don’t need to be tied to any specific payment processor or service, either. Cardiff welcomes businesses across industries and platforms, which is a major advantage in accessibility.
For most small business owners who value flexibility, speed, and scalability, Cardiff is the stronger choice. Square’s financing is a convenient add-on if you happen to fit their mold, but Cardiff’s comprehensive offerings and custom solutions position it as a more powerful business capital lender for funding your business’s growth.
In the end, Cardiff’s ability to deliver quick cash flow relief and longer-term capital under one roof makes it a better pick for sustaining and expanding a small business.
Cardiff facilitates SBA-backed loans (like the 7(a) program) through its lending partners. With Cardiff’s help, qualified small businesses can get low-interest, long-term loans. While the application process may take longer than other funding options, SBA loans can offer significantly lower monthly payments and better terms. Cardiff helps guide businesses through the paperwork and lender requirements to improve their chances of approval.
Cardiff can approve applications in as little as five minutes and often provides funds within 24 hours of approval. This could mean same-day or next-day funding for many borrowers.1
Square’s process is a bit different as there’s technically no “application.” If you’re eligible, Square extends offers automatically. Once you accept a Square Loan offer, you could receive money by the next business day (or instantly into your Square Checking account).6
Both are fast, but Cardiff lets you actively apply and get money right away, whereas you must wait for Square to offer you a loan.
Cardiff’s MCA and term loans go up to $500,000 for regular financing. Equipment financing tops out at $250,000, but through SBA programs, you could potentially access even larger sums. SBA 7(a) loans can go up to $5 million.
Square’s loan amounts are capped at $350,0006, and that’s only for businesses with very high payment volume on Square. Many smaller sellers receive much lower offers (e.g., $10K, $50K, etc., depending on sales).
No. Square does not provide a line of credit or any dedicated equipment financing product. Square’s financing is limited to its short-term lump-sum loans and its business credit card. If your business needs a revolving credit line for ongoing access to cash or a loan specifically to purchase equipment, Square won’t be able to help. Consider a lender like Cardiff, which offers both those options.
Square loans are easy to qualify for in the sense that there’s no credit check or paperwork. However, you must meet Square’s internal criteria (consistent sales on their platform) and receive an invitation.
If you run a lot of revenue through Square and have been doing so for a while, you increase your odds of receiving an offer at some point. However, an offer is not a guarantee of approval. Changes to your account or activity can lead to a denial.
Cardiff, on the other hand, allows anyone to apply, but generally, you should have at least six months of business operations and some revenue. Cardiff doesn’t require a specific credit score, making it quite accessible, but they will evaluate your business health (revenues, time in business, etc.).
In short, Square’s loan is “easy” only for Square users, whereas Cardiff is open to a wider range of businesses with flexible criteria.
Cardiff may require a personal guarantee for its lines of credit, a common requirement with most non-bank business financing. Certain Cardiff products (like equipment loans) use the equipment as collateral, and SBA loans usually require collateral/personal guarantees as well.
Square does not require collateral or personal guarantees for its standard loans.
Cardiff offers a mix of interest-based and fee-based financing. For example, Cardiff’s term loans or SBA loans carry interest rates. However, its short-term advances have fixed fees via factor rates, which you can convert to an effective APR to compare costs.
Square doesn’t charge interest at all. Instead, it adds a fixed fee to the loan (typically 10%–15% of the amount, based on your risk profile and sales history6). The total payback amount is the loan amount plus a one-time fee, and that fee never changes. In practice, if you repay a Square loan quickly, the financing could be quite high because you paid that fixed 10–15% fee to borrow money for only a few months of use.
The key difference is that Cardiff can provide true low-interest loans, especially with collateral or SBA backing, whereas Square’s cost is a moderate fixed fee but not “cheap money” for longer durations.
No. Square Loans are exclusively for Square payment processing customers. They determine your eligibility by looking at your card sales through Square. If your business doesn’t process transactions with Square, you won’t receive any loan offers.
Cardiff, by contrast, will work with any eligible business regardless of how you get paid. So if you use Shopify, Stripe, cash/checks, or any other system for sales, you can still apply to Cardiff for financing. Square is not a general small business lender; it’s a perk for users of their platform.
Cardiff does not set a minimum credit score for many of its financing products. It strives to focus on business performance and cash flow. That said, having a better credit profile can help you get lower rates or qualify for larger amounts, especially for things like SBA loans (which generally require a credit score of 600 or greater4).
Square, on the other hand, doesn’t use your personal credit score at all when deciding on loan offers. Their algorithm looks at your transaction history (volume, consistency, customer mix, etc.). Because Square doesn’t look at credit, business owners with poor credit can get a Square loan if their sales numbers are strong.
Cardiff loans have much more variety in repayment terms, depending on the product. A merchant cash advance from Cardiff might have daily or weekly ACH payments over three to 24 months. A Cardiff term loan might have monthly payments over two, three, or four years. An equipment loan could be a 5-year, monthly loan.1 A line of credit is revolving. Cardiff tailors the schedule to the financing type and borrower preference.
Square’s loans all have a maximum term of 18 months and are repaid by taking a percentage of daily sales. They do require that borrowers pay at least 1/18 of the loan every 60 days to keep on track.6
Currently, Square’s financing is short-term only. The standard Square loan term is 18 months or shorter. For any truly long-term loan (say three, five, or 10 years), Square is not an option. Cardiff or other lenders would be the route to go for long-term capital.
The Square Credit Card is a business credit card Square launched for its users. Its credit limit grows with your Square sales, and it rewards you for spending by waiving Square payment processing fees. It has no annual fee and no late fees, making it straightforward to use.7 However, it’s only valuable if you use Square’s payment system because the rewards are for free processing.
Cardiff’s credit cards are more traditional business credit cards that are open to any business. They offer an introductory 0% APR for 12 months on purchases and rewards like travel benefits or cashback.5
The key difference is that any small business can use Cardiff’s cards for general spending rewards and interest-free financing for a year, whereas the Square Credit Card is best for Square sellers who want to reinvest rewards into offsetting transaction fees.
If you don’t use Square or you prefer cash back, Cardiff’s card options would make more sense for you.
Cardiff can work with relatively new businesses, though there are some baseline requirements. Typically, Cardiff likes to see at least six months of operating history.2 Applicants for SBA loans should have 12+ months in business, $20,000 in monthly revenue for some loans, status as a registered entity (LLC/Corp), and active bank accounts, etc.4 For very new startups with no revenue, Cardiff’s options would be limited (as with any lender). However, equipment financing may be an option.
Square doesn’t finance startups unless they quickly start using Square and generating sales. Square’s model requires you to process payments through them for some time so the algorithm can offer a loan.6 If you just launched and have minimal sales history (or you don’t use Square for sales), you won’t get a Square loan offer.
In short, neither Cardiff nor Square is likely to fund a brand-new pre-revenue startup. However, Cardiff might have an option (like a small working capital advance) for a young business with a few months of sales.
Square’s loans are actually very friendly to owners with poor personal credit because they don’t check credit at all. Approval is based on your sales performance with Square, not your FICO score. If you have a low credit score but strong revenues on Square, you can still get a Square loan fairly easily.
Cardiff also accommodates less-than-perfect credit. They explicitly state no minimum credit score required for many of their loans. Cardiff will consider the overall health of the business (revenues, cash flow, how long you’ve been operating) and can often fund companies that banks turn down due to credit.
The difference is that Cardiff might do a soft credit pull or at least take credit into account for certain products, especially larger or longer-term loans. Square ignores credit completely. So, if your credit is poor but your business is doing well financially, both Cardiff and Square could be viable options. Square might have an edge in that scenario because the issue of credit is totally moot for them.
But remember, Square is only an option if you use their system. If you have bad credit and you’re not a Square seller, Cardiff would be the better (and frankly, only) choice here, as they actively serve a broad range of credit profiles.
1https://cardiff.co/
2https://cardiff.co/business-loans/products/merchant-cash-advance/
3https://cardiff.co/business-loans/products/equipment-leasing/
4https://cardiff.co/business-loans/products/sba-loans/
5https://cardiff.co/business-loans/products/business-cards/
6https://squareup.com/us/en/banking/loans
7https://squareup.com/us/en/banking/credit-card
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