[Ed_CrestHill Capital]

http://www.inc.com/abigail-tracy/bus...h-caution.html

In one of its emails about Square Capital, Square offered a business a $7,300 loan and said it would charge the business an additional $1,022--an added cost of 14 percent. So in the end the total amount the business owner would owe Square in this scenario would be $8,322.

[Chambo]

"The importance of this is that merchant cash advances do not have a fixed annual percentage interest rate--a very important stipulation business owners should be aware of. Under this model, businesses could end up with an extremely high or low APR, depending on how much revenue they generate.

So while businesses might look at Square Capital as a great way to get a little extra cash in times of need, they should also be aware of what they are really signing up for."

[AndyYSCISOdept]

Wait a second, so you are saying that the overall cost of funds is variable? What determines what I 9the client) end up paying overall for the cash I receive? Sounds like a loan.

[Sean Cash]

no the apr equivalent is variable. the cost is fixed. its a textbook mca