- 1Lightspeed Capital originated $257M in MCAs in nine months of 2025, up from $207M
- 2$106M in MCAs outstanding; average factor rate is 1.14
- 3MCAs are typically repaid within seven months, and Lightspeed wants to shorten that
Lightspeed Capital originated $257M in merchant cash advances in the last nine months of 2025, up from $207M over the same period in 2024. Lightspeed operates in point-of-sale and e-commerce, competing with companies such as Shopify, Square, Toast and Clover, and Lightspeed Capital is its MCA business.
A priority for cash
“Aside from potential buybacks, our largest use of cash will be growing our merchant cash advance business,” CFO Asha Bakshani said on the company's recent quarterly earnings call. She said $106 million in MCAs are currently outstanding and that Lightspeed intends to keep growing what she called a high-margin business.
The company has repeatedly talked up the profit margins on MCAs. Last quarter it called them a “super popular upsell.”
Remittance time and pricing
Lightspeed MCAs are typically satisfied by merchants within seven months, and the company wants to shrink that. “Our goal is to target a shorter remittance time frame, and we are making great progress towards that end,” Bakshani said. The average factor rate is 1.14.
Source reporting: deBanked.
