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Amazon Lending vs. Payability and Other Alternatives

amazon lending alternatives
April 19, 2024 9 mins to read

Ready to invest in your Amazon business, but don’t have enough cash? 

It might be time to consider financing. 

If you’ve done any amount of research on the topic, you know that there are a LOT of financing options for business owners like you. From invite-only programs to eCommerce-designed solutions to credit cards, there’s enough to make your head spin.

Fortunately, we have done the heavy lifting for you so you can easily compare the top financing options for eCommerce sellers (like Amazon Lending, Payability, etc.) and more confidently invest in your next big opportunity — whether it’s inventory, marketing, a new product, or personnel.  

Disclaimer: This post is meant to be an introduction to a handful of common financing options for Amazon sellers. It is not intended to be financial advice. We always recommend that you supplement your own research before making a funding decision for your business. All products are subject to change. 

Let’s get started:

Amazon Lending

Amazon Lending is an invite-only loan program providing top-tier Amazon sellers with short-term loans up to $750,000. If you qualify, Amazon will send you a loan offer via email and/or in Seller Central. The loan offer isn’t a loan guarantee, however, so you’ll still have to apply.

There are some restrictions on how an Amazon Lending loan is used (more on that in the breakdown below). 

Recently, Amazon announced its partnership with Marcus by Goldman Sachs to offer the Marcus Business Line of Credit to Amazon sellers based in the United States. It is a fixed-interest line of credit program that, like Amazon Lending loans, is invite-only.

Here’s more about how it all works:

  • Loan terms: $1,000 – $750,000 with payment terms up to 12 months
  • Application: Simple application process. You need an online application that may require information like proof of sales, A-z guarantee claims, etc. You can only apply if you get a loan offer from Amazon.
  • Turnaround time: You should get a decision and funding within five business days of submitting your application. If you have to provide additional information, you will likely have to wait longer.
  • Eligibility: Amazon does not provide its minimum lending criteria. In general, though, you should have consistently excellent customer metrics, sales volume, and selling history of at least 12 months.
  • Restrictions: When Amazon Lending was first launched in 2011, its loans could only be used to invest in inventory to sell on Amazon. Sellers can now use funds to also invest in new products or promotions.
  • Interest: According to Amazon seller forums, rates range from 3% to 16.9% APR.
  • Payments: Your payments are deducted automatically from the Amazon payout that falls after your due date. If the payout does not have enough to cover the payment, the outstanding loan balance will be deducted from the next payout. 
  • Origination Fees: No.
  • Prepayment Penalty: No.
  • Early Repayment Benefits: You’ll pay interest until you pay off the loan. If you pay back early, your interest charges will be prorated.
  • Credit Check: No.
  • Accelerated Daily Payout Option: No.
  • Multichannel Funding Options: No.
  • Customer Support Team: No. The entire process — getting an offer, applying, and paying back — is entirely automated.
  • Why use Amazon Lending: If you’re a top-tier seller with a proven and consistent track record and you ONLY sell on Amazon, then Amazon Lending and/or the Marcus Business Line of Credit might be a good fit for your business. That is if you qualify. Be on the lookout in Seller Central for an offer.

Payability Instant Advance

Payability offers a variety of funding products that are specifically designed for marketplace sellers and eCommerce businesses. One such product — Instant Advance — provides up to $250,000 for sellers who do business on Amazon as well as many other eCommerce channels. 

There will never be a single credit check or compounding interest charge — instead, Payability makes decisions based on the account health and sales performance of your Amazon data and/or the performance of your entire eCommerce portfolio, and they charge a flat fee. What’s more – you could get funds in as fast as 24 hours. Let’s break things down:

  • Funding Amount: Up to $250,000. In general, you’d get 75% – 150% of one month’s worth of total sales revenue. They can also go as low as $1,000.
  • Application: A 10-minute online application. Fill out some basic information then connect your Amazon account and any other eCommerce channels you sell on. Payability understands that sellers often diversify their portfolio and will look at your entire eCommerce business to make a funding decision.
  • Turnaround time: You can get a decision and funding in as fast as 24 hours.
  • Eligibility: Minimum requirements for Instant Advance are 9 months of Amazon selling history and an average of $10,000/month in sales.
  • Restrictions: None.
  • Interest: Instant Advance is not a loan, but a purchase of your future sales, so there is no interest. Instead, there is a fixed flat fee starting at 0.50% per week.
  • Payments: A fixed percentage of your sales will remit to Payability each time Amazon releases a payment until the full balance is collected.
  • Origination Fees: No.
  • Prepayment Penalty: No.
  • Early Repayment Benefits: Yes. You’ll get a fee rebate for every week the advance is collected early.
  • Credit Check: No
  • Accelerated Daily Payout Option: Yes, with Instant Access, Payability’s next-day payout option. Minimum qualifications include 3 months of selling history and $2,000 on average monthly sales. Learn more here.
  • Multichannel Funding Options: Yes. Payability works with sellers who do business on, Walmart, Shopify, Tophatter, Newegg, eBay, and more. You’ll be able to connect all your channels to give Payability a full picture of your selling history and performance.
  • Customer Support Team: Yes. You’ll be able to discuss your offer and account with a real person. Payability’s reps are entirely US-based and are available Monday-Friday from 9 a.m. to 6 p.m. EST.
  • Why use Payability: Whether you sell only on Amazon or have a diversified eCommerce portfolio to consider, Payability can help you take your business to the next level. If you’re looking for fast, flexible solutions that are designed for your unique needs as an online seller, and you want to talk to a dedicated support team along the way, then Payability would be a great fit. Apply directly at
  • While Amazon Lending and Payability are popular options for Amazon sellers, diving into the world of traditional loans like SBA loans can provide more structured financing solutions. Understanding the SBA loan qualification requirements is crucial before applying, to enhance your chances of approval and secure better terms for your eCommerce business growth.

How to Use Payability & Amazon Lending Together

If you get an Amazon Lending offer in your account, keep in mind that the loan amount is non-negotiable. If you are going to need more than they offer, you can always supplement the Amazon Lending loan with an Instant Advance or Instant Access from Payability — or see if Payability can give you the full amount that you actually need.

Whatever the case may be for your business, just keep in mind that you can use Payability’s solutions together, separately, or with another financing product like Amazon Lending, Shopify Capital, or other financing options. If you have questions, you can always discuss them further with Payability’s support team.

Other Financing Options

If you’re looking for other ways to boost cash flow and invest in growth opportunities, consider these other options:

  • Square Capital: An invite-only loan program for businesses that use Square for payment processing and meet their minimum lending criteria. While the criteria itself is not publicly available, it relies on your account health. If you are eligible, Square will send you an offer directly. There is a simple online application process with funding in as fast as 24 hours. As you sell, repayments are auto-deducted as a fixed percentage of your daily sales. 
  • Stripe Capital: Stripe’s loan program works exactly like Square’s, only it’s for sellers that use Stripe for their payment processing.
  • Fundbox: Fundbox offers financing options for you and your customers, including a revolving line of credit and net terms. To qualify, you need a minimum of $50,000 in annual revenue, three months of invoicing history, a business bank account, and, because they pull credit, a minimum credit score of 500.
  • Credit Cards: Depending on your credit limit, you could use a credit card for certain investments. Just remember that interest payments compound quickly if you’re not able to pay your balance in full and on time.

Recommended to Read: Debt & Equity Financing

Choosing the right financing solution for your eCommerce business

There are seemingly endless financing options for eCommerce sellers. How do you know which one is right for you? To help you narrow your options, consider the breadth of your portfolio (i.e. the various channels you sell on), how much money you need, what you’re investing in when you need the funds, and how your cash flow currently stands. Don’t forget to also factor in any existing financing offers you might have from Amazon, Square, Stripe, etc.

Once you’ve assessed these variables, you’ll be able to see which solution will have the biggest impact on your business. Curious what other eCommerce sellers are doing to boost cash flow and more confidently invest in growth? Thousands of them are using Instant Advance and Instant Access to grow faster than their competitors. Apply at and get a $200 sign-on bonus when you sign up for Instant Access. 

Additional Read:

Is Amazon Pay Good For Sellers?

Amazon Lending vs. Inventory Financing: Which Option is Right for you?

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4 Comments on “Amazon Lending vs. Payability and Other Alternatives”

  1. Moises Boker
    December 18, 2020

    Thanks for the Information.

    1. Arishekar N
      June 8, 2022

      Thank you for your feedback.

  2. fb88
    March 30, 2021

    Do we have to pay an origination fees for Amazon Lending?

    1. Arishekar N
      August 24, 2021

      No, there is no need to pay an origination fees for Amazon lending.

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