FlexShopper, Inc. (NASDAQ: FPAY) is a leading financial technology company specializing in lease-to-own (LTO) payment solutions for consumers, particularly those with subprime credit or limited cash access. The company operates an e-commerce marketplace that allows customers to acquire brand-name durable goods through flexible payment schedules without requiring traditional credit checks. Retailers may expand their addressable market by bridging the gap for underserved consumers who might otherwise be excluded from purchasing high-quality products.
Let us explain.
FlexShopper’s business model revolves around their lease-to-own platform, which enables consumers to lease products with the option to own them after completing payments. This model is appealing to subprime consumers, as it avoids the need for large upfront payments or high credit scores. FlexShopper operates in two primary channels: B2C, where it directly sells to consumers via its website (www.flexshopper.com), and B2B, where it provides LTO technology platforms to third-party retailers and e-tailers. In the B2C segment, the company purchases goods from retailers and leases them to customers, collecting payments under lease agreements. The B2B arm helps merchants increase sales by offering LTO options at no risk to the retailer, effectively targeting customers who don’t qualify for traditional financing.
FlexShopper operates both B2C and B2B channels, enabling the Company to effectively engage with its customers while fostering opportunities for cross-selling and repeat transactions. For instance, 23% of in-store purchasers who use FlexShopper are also active participants in the B2C online marketplace. Notably, the www.flexshopper.com website maintains a repeat customer rate of 50%. The company dropships orders, eliminating inventory risk on its 77k most common SKU purchases. On the B2B side, merchants enjoy a 40% lift in financed orders and a 36% repeat customer purchase pattern over the LTM.
Speed, automation, and strategic partnerships.
FlexShopper is a forward-thinking, asset-light consumer finance payment provider that holds five issued patents. The company achieves 99% fully automated decision-making, with a median decision time of just five seconds. FlexShopper collaborates with leading technology partners such as Synchrony, paypossible, Terrace Finance, Versatile Credit, and paytomorrow. Its distribution partnerships include reputable organizations like Synchrony, CitiBank, Own, Vernance, and Bread Financial.
Financial Statistics.
In 2024, the company reported revenue of nearly $140 million, a 20% increase compared to the previous year. The organization facilitated $383 million in lease-to-own transactions, reflecting 79% growth, and served 500,000 customers at 7,900 retail partner locations. These metrics provide an overview of the company’s recent performance in the buy now pay later (BNPL) market. Industry participants should note the following points below.
Some things to sort out.
Observers may refer to the 8K filed on October 3 of this year concerning the company’s credit agreement with Basepoint. Additionally, the company received a notice on October 14, 2025, from The Nasdaq Stock Market LLC (“Nasdaq”) indicating that Nasdaq has initiated a process to delist the company’s common stock. According to Nasdaq, the delisting is due to the company not filing its Annual Report on Form 10-K for the period ended December 31, 2024, Quarterly Report on Form 10-Q for the period ended March 31, 2025, and Quarterly Report on Form 10-Q for the period ended June 30, 2025, with the Securities and Exchange Commission by October 13, 2025, which was the final deadline pursuant to Nasdaq Listing Rule 5250(c)(1).
