Fergus Partners with Stripe for Trade Capital

Fergus has launched Fergus Capital for eligible Australian businesses, developed in partnership with Stripe. The financing offer is aimed at trade businesses with uneven payment patterns, with offers based on the volume of payments processed through Fergus Pay, the company’s Stripe-built payment gateway.

According to the report, funds carry a fixed flat fee, with repayments taken as a percentage of sales until the full amount is repaid. Funds can become available within days.

Access to finance has long been a challenge for smaller operators in the trades sector, where income can vary by project and payment timing can leave businesses covering labour, materials, and other costs before customer invoices are settled.

Lenders also often rely on extensive paperwork, trading history, and security when assessing borrowers, which can make borrowing harder for newer businesses. Mark Bartels, Chief Executive Officer of Fergus, said the new product was designed around that pattern of uneven income and upfront costs.

Mark Bartels stated that cash flow is one of the biggest challenges facing trade businesses. Businesses often need to pay for materials, tools, or staff before they get paid themselves. Fergus Capital is designed to help bridge that gap, giving customers fast, simple access to funding when they need it most.

Stripe will determine financing offers using trading activity flowing through Fergus Pay rather than relying only on conventional lending metrics. This approach is intended to reflect real sales activity from businesses using the software and payment system.

Bartels said the partnership could simplify access to funding for businesses whose revenue changes from one job to the next. Traditional lenders often struggle to assess trade businesses because income can fluctuate from project to project. By partnering with Stripe, they are able to use real trading activity to make the process much simpler and more accessible.

Some customers may be able to receive offers after only a relatively short trading history through the platform, reducing the amount of documentation needed compared with more traditional borrowing processes. Bartels noted that for many of their customers, months of trading history is enough to receive a financing offer. That means less paperwork, faster decisions, and more time focused on serving customers and growing their business.

The launch of Fergus Capital extends the company’s relationship with customers beyond workflow and billing tools into business finance.

The platform also connects with accounting software including Xero, MYOB, and QuickBooks. It also integrates with suppliers such as Bunnings, Reece, Rexel, Tradelink, MMEM, AWM, CNW, Haymans, and Samios.

The launch of Fergus Capital is likely to depend on whether funding can be accessed quickly enough to cover gaps between paying suppliers and receiving payment from customers. Repayment through a share of sales also means the amount collected can move in line with incoming revenue, rather than follow a fixed repayment schedule.

Bartels said the company sees a gap in the market for finance designed around active trade businesses.

For trade businesses, this development could be a significant step forward, providing them with the financial flexibility they need to succeed in a competitive market, particularly when considering entering new markets.