Challenge

Through testing, learning, and merchant feedback, Shopify understood that the specific money management needs of independent entrepreneurs building commerce businesses were not being met. In fact, Shopify research found that two in five merchants use their personal bank accounts and cards for business. By combining personal and business finances, it was difficult for merchants to measure the true financial health of their business. Shopify wanted to better serve the needs of these merchants by giving them access to a critical financial product to help start, run, and grow their business.

Solution

Shopify had already been partnering with Stripe for years to power its Shopify Payments offering, so it was natural to work with Stripe to launch this new offering, Shopify Balance. Shopify Balance would give entrepreneurs a transparent, trustworthy, and easy-to-use money management tool that is customised for the needs of commerce businesses. Using Stripe Treasury, Shopify Balance was built so merchants could seamlessly manage their funds on the same platform where they run and grow their business. Shopify also leveraged Stripe Issuing so merchants could easily create, manage, and distribute virtual and physical cards to control expenses, reduce operational burden, and quickly access their Shopify balance funds with no hidden fees.

Results

Shopify trusted Stripe’s architecture, APIs, and speed, which eliminated complexity and helped Shopify quickly offer a financial product that allows merchants to access their funds faster without paying annual card fees, monthly account fees, or minimum balance fees, among many other benefits. It was an instant success, with more than 100,000 US small businesses opening Shopify Balance accounts in the first four months after launch.