Challenge

Jobber knows that cash flow is critical for small businesses to operate, whether they need to cover a receivables gap to meet payroll or invest in supplies or new equipment for an upcoming job. Uncertainty surrounding liquidity could be the difference between long-term success and failure. And many small businesses in the home service industry find it challenging to secure traditional bank loans. Jobber saw this challenge as an opportunity to help its users quickly gain access to much needed finances and, in turn, grow by adding a new revenue stream to its platform.

“Sometimes it takes a financing injection for service businesses to seize new opportunities,” says Laura Collinson, Director of Fintech. “Getting financing is often a frustrating and stressful process involving weeks or months of communication with a bank and providing multiple years of financial statements —simply to unlock a business loan that would have an immediate, transformative impact.” Jobber’s big question was: How can we provide our customers with access to capital with minimal risk and limited development resources?

Solution

Stripe's financial services products reduce gaps in cash flow for home service businesses. Business owners access Instant Payouts straight from their Jobber dashboard, and receive the money they've earned within seconds instead of days. With Stripe Capital, business owners can receive funding typically within two days of approval. “The first Stripe Capital loan was approved in 3 hours and 21 minutes, which is radically different from weeks of back and forth with a bank,” Collinson says. “Business owners sign up with a simple application, and pay the financing as a percentage of daily sales."

Results

By offering financial services to address its users cash flow needs, Jobber has expanded and differentiated its platform, and further cemented its role as the primary tool used by its customers to both run and grow their businesses. "Capital and Instant Payouts are especially valuable in the current environment - where credit card borrowing limits and lines of credit are being cut,” Collinson says. “For some, it means filling a short term cash flow gap, for others it unlocks the ability to invest in new employees, equipment or marketing.” It’s a win-win for both Jobber and its home service businesses: by monetizing financial tools, Jobber grows its revenue from each business on its platform, makes its product offering even stickier, and solves a crucial challenge for its customers.

Since launching Stripe Capital for their users, Jobber has seen hundreds of millions in lifetime financing originations, generating millions in revenue for their platform. And recently, Jobber implemented the promotional cards embedded component in the user dashboard, resulting in a 100% increase in Capital originations.

“The promotional card was a game-changer for our Capital integration. Users immediately understood the financing options available to them without having to navigate to a separate section.” Collinson says.