5 minutes Referring Customers
Overview
Not all businesses qualify for SAPI's payment-linked financing. This guide provides detailed eligibility criteria so you can pre-qualify businesses before referring, improving approval rates and commission success.
Core Eligibility Requirements
✅ Must Have (Non-Negotiable):
1. UK Business Registration
- Registered and operating in the United Kingdom
- Limited company (Companies House), sole trader (UTR), or partnership
2. Trading History
- Minimum 6 months active trading
- Consistent revenue generation
3. Payment Processing
- Process card payments through supported processor (Stripe, Square, Worldpay, etc. - see full list in "Connecting Your Payment Account" article)
- Minimum £10,000 monthly card payment volume (approximate threshold)
4. Not Insolvent
- Not in administration, liquidation, bankruptcy, or IVA
- Not subject to winding-up petitions
5. Bank Account
- Active UK business bank account for Direct Debit collections
Strong Likelihood of Approval
If the business has:
✅ £15k+ monthly card sales (well above minimum)
✅ 12+ months trading history (established business)
✅ Growing or stable revenue trend (not declining)
✅ Low refunds/chargebacks (<5% of sales)
✅ Clean credit (directors have no major CCJs, business has no defaults)
✅ Clear use of funds (inventory, equipment, growth—not covering losses)
Approval probability: 70-90%
Moderate Likelihood of Approval
If the business has:
⚠️ £10-15k monthly card sales (borderline minimum)
⚠️ 6-12 months trading (relatively new)
⚠️ Flat revenue trend (not growing, but stable)
⚠️ Moderate refunds (5-10% of sales)
⚠️ Minor credit issues (small CCJs under £5k, satisfied or being paid)
⚠️ Existing debts (other financing in place, but manageable)
Approval probability: 30-50% (depends on overall profile)
Low Likelihood of Approval
If the business has:
❌ <£10k monthly card sales (below threshold)
❌ <6 months trading (too new)
❌ Declining revenue (sales dropping month-over-month)
❌ High refunds/chargebacks (>10-15% of sales)
❌ Serious credit issues (CCJs >£10k unsatisfied, recent defaults, bankruptcy history)
❌ Existing SAPI advance in arrears (can't have second advance until first is resolved)
❌ Multiple outstanding debts (over-leveraged)
Approval probability: <20%
Recommendation: Don't refer unless circumstances are exceptional or improving.
Industry-Specific Considerations
✅ Generally Approved:
Retail (physical and online)
Restaurants, cafés, bars
Hospitality and accommodation
Events and catering
Beauty salons and spas
Fitness studios
Professional services
Healthcare (dental, physio, etc.)
Tradespeople and contractors
Wholesale and distribution
⚠️ Case-by-Case:
Startups (<6 months, but strong early revenue)
Franchises (depends on franchisor)
B2B with low card sales but strong invoicing
Businesses with recent credit issues (but now recovered)
❌ Typically Declined:
Gambling or betting
Adult entertainment
Crypto/speculative investments
Pawnbrokers
Businesses without proper licensing
[NEED-INFO: Complete restricted industries list]
Advanced Sizing (How Much They Can Borrow)
Rule of thumb:
Advance amount typically equals 40-80% of monthly card sales × factor.
Example:
Monthly card sales: £30,000 Potential advance: £12,000 - £24,000 Lower end (£12k): Newer business, moderate credit, higher risk Higher end (£24k): Established, growing, clean credit, low risk
Factors affecting advance size:
- Trading history length (longer = larger)
- Revenue trends (growing = larger)
- Credit profile (clean = larger)
- Existing debts (fewer = larger)
- Industry risk (lower risk = larger)
Pre-Qualification Checklist
Before referring, verify:
[ ] UK business registration confirmed (Companies House lookup)
[ ] Trading 6+ months (check business start date)
[ ] Processing £10k+ monthly card sales (ask for approximate volume)
[ ] Uses supported payment processor (check against SAPI's list)
[ ] Not insolvent (no court filings, insolvency notices)
[ ] Has UK business bank account (for Direct Debit)
[ ] Contact information is accurate (correct email/phone)
[ ] Business understands it's payment-linked (not a traditional loan)
If 8/8 checked: Strong referral—submit it!
If 6-7/8 checked: Moderate referral—submit with notes about concerns
If <6/8 checked: Weak referral—reconsider or improve eligibility before submitting
Frequently Asked Questions
Q: What if I'm not sure if they qualify—should I still refer?
A: Yes. Let SAPI decide. Provide full information and note any concerns. SAPI's underwriting may see strengths you don't.
Q: Can seasonal businesses qualify if their current sales are low but they'll be high soon?
A: Yes, but timing matters. If currently in off-season with £5k/month sales, they may not qualify NOW but could in 2-3 months when peak season starts. Advise them to apply during strong sales periods.
Q: What if a business has multiple payment processors—does that help or hurt?
A: Helps! More payment sources = more complete revenue picture. Mention all processors when referring.
Q: My client wants £100k but only has £20k monthly sales—will SAPI approve?
A: Unlikely. £100k advance requires significantly higher revenue (£50k-100k+ monthly sales typically). Suggest they apply for a smaller amount (£15-20k) initially and request top-up after repaying 50-70%.
Q: Can I refer businesses I'm also referring to other lenders?
A: Yes. Non-exclusive referrals are fine. Businesses can apply to multiple lenders and choose the best offer.
Q: How do I improve my referral approval rate?
A: Focus on quality over quantity. Refer businesses that meet all core criteria. Provide complete, accurate information. Learn from declined referrals and adjust your targeting.
Need Help?
Referral process: [email protected]
Eligibility questions: [email protected]
Partner support: Your partner success manager or [email protected]
Need Help?
Email: [email protected]
Phone: +44 20 3868 4990
Business Hours: Monday-Friday, 9am-5pm GMT