Netherlands-based payments provider Mollie has announced the launch of a new product to offer lending services.

Called Mollie Capital, the offering marks Mollie’s foray into financial services.

The new offering is an in integrated business financing service, which will allow eligible customers to access cash advances of up to €250,000.

Mollie claimed that in most cases, businesses will be able to access funds on the same day by paying a fixed one-time fee, and the firm will automatically take repayments as a portion of their daily sales.

The firm said its new offering is an alternative to traditional financing that businesses can use to unlock growth potential.

Initially, Mollie Capital will be available to select businesses in the Netherlands and Belgium.

The payments provider plans to launch its financing offering in the other parts of Europe later this year.

Mollie CEO Shane Happach said: “Mollie Capital is a milestone product launch for us. It marks our first step towards becoming a financial services provider whilst aligning with our goal to help small- and medium-sized merchants compete with the industry’s biggest players.

“At Mollie, we believe in the success of SMEs and want to help them grow. With lengthy, cumbersome requirements to get financing, the big banks have continually underserved them. Mollie Capital will ensure they can access fast, flexible, and easy funding that they need to flourish.”