Square wants to be a one-stop shop for small businesses, and with the launch of industrial bank Square Financial Services, the new bank will offer businesses deposits and loans.

Why should we care?
The launch of Square Financial Services comes nearly a year after securing regulatory approvals. Square’s bank is the fruit of a larger effort to move beyond payments and become a full-suite partner for businesses seeking support for all financial services, logistics, and business workflows. Its CEO, Louis Goodwin, is a former CEO of Green Dot. The company, which previously offered loans through a partnership with Celtic Bank, will now operate as a direct lender aiming to reach underserved customers. The goal will be to become the primary provider of financing for Square sellers across the U.S. By launching a bank, Square differentiates itself from other e-commerce platforms, though it’s not exactly going head to head with Amazon or Shopify. “Bringing banking capability in-house enables us to operate more nimbly, which will serve Square and our customers,” Ahuja said.