Sezzle (SEZL) 10-Q 15 Nov 21 2021 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 30, 2021	Oct. 31, 2021
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2021
Document Transition Report	false
Entity File Number	000-56267
Entity Registrant Name	SEZZLE INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	81-0971660
Entity Address, Address Line One	251 N 1st Avenue
Entity Address, Address Line Two	Ste. 200
Entity Address, City or Town	Minneapolis
Entity Address, State or Province	MN
Entity Address, Postal Zip Code	55401
Country Region	+1
City Area Code	651
Local Phone Number	504 5402
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		203,875,648
Entity Central Index Key	0001662991
Amendment Flag	false
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer

Consolidated Balance Sheets (un

Consolidated Balance Sheets (unaudited) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Current Assets
Cash and cash equivalents	$ 43,967,044	$ 84,285,383
Restricted cash, current	2,907,872	4,798,520
Notes receivable, net	113,705,769	80,807,300
Other receivables, net	1,461,558	1,403,306
Prepaid expenses and other current assets	5,009,039	1,705,919
Total current assets	167,051,282	173,000,428
Non-Current Assets
Internally developed intangible assets, net	789,093	537,046
Property and equipment, net	651,597	375,186
Operating right-of-use assets	139,373	145,576
Restricted cash, non-current	20,000	20,000
Other assets	21,413	32,537
Total Assets	168,672,758	174,110,773
Current Liabilities
Merchant accounts payable	90,735,441	60,933,272
Operating lease liabilities	105,760	142,743
Accrued liabilities	11,307,410	6,680,870
Other payables	2,742,706	615,839
Total current liabilities	104,891,317	68,372,724
Long Term Liabilities
Long term debt	250,000	1,470,332
Line of credit, net of unamortized debt issuance costs of $1,279,082 and $173,773, respectively	3,720,918	39,826,227
Other non-current liabilities	0	4,483,073
Total Liabilities	108,862,235	114,152,356
Commitments and Contingencies
Stockholders' Equity
Common stock, $0.00001 par value; 750,000,000 and 300,000,000 shares authorized, respectively; 204,031,638 and 197,078,709 shares issued, respectively; 203,567,841 and 196,926,674 shares outstanding, respectively	2,036	1,970
Additional paid-in capital	163,246,863	112,640,974
Stock subscriptions: 56,559 and 64,000 shares subscribed, respectively	(38,306)	(69,440)
Treasury stock, at cost: 463,797 and 152,035 shares, respectively	(2,704,954)	(875,232)
Accumulated other comprehensive income	785,599	494,505
Accumulated deficit	(101,480,715)	(52,234,360)
Total Stockholders' Equity	59,810,523	59,958,417
Total Liabilities and Stockholders' Equity	$ 168,672,758	$ 174,110,773

Consolidated Balance Sheets (_2

Consolidated Balance Sheets (unaudited) (Parentheticals) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Unamortized debt issuance costs	$ 1,279,082	$ 173,773
Common stock par value (in usd per share)	$ 0.00001	$ 0.00001
Common stock authorized (shares)	750,000,000	300,000,000
Common stock issued (shares)	204,031,638	197,078,709
Common stock outstanding (shares)	203,567,841	196,926,674
Stock subscriptions (shares)	56,559	64,000
Treasury stock at cost (shares)	463,797	152,035

Consolidated Statements of Oper

Consolidated Statements of Operations and Comprehensive Loss (unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Income
Total income	$ 28,480,898	$ 15,919,973	$ 81,941,561	$ 36,702,894
Operating Expenses
Personnel	16,101,023	9,305,227	43,766,412	19,117,630
Transaction expense	11,556,891	6,079,802	29,638,462	14,786,681
Third-party technology and data	1,410,595	631,564	3,680,225	1,488,627
Marketing, advertising, and tradeshows	2,323,145	589,191	5,699,154	1,413,739
General and administrative	4,320,404	1,871,439	10,609,726	3,594,256
Provision for uncollectible accounts	10,456,447	4,480,679	32,880,630	9,615,268
Total operating expenses	46,168,505	22,957,902	126,274,609	50,016,201
Operating Loss	(17,687,607)	(7,037,929)	(44,333,048)	(13,313,307)
Other Income (Expense)
Net interest expense	(1,172,541)	(1,148,508)	(3,752,268)	(3,004,047)
Other income and expense, net	37,223	21,500	(16,682)	(32,511)
Loss on extinguishment of line of credit	0	0	(1,092,679)	0
Loss before taxes	(18,822,925)	(8,164,937)	(49,194,677)	(16,349,865)
Income tax expense (benefit)	11,201	(466)	51,678	7,909
Net Loss	(18,834,126)	(8,164,471)	(49,246,355)	(16,357,774)
Other Comprehensive (Loss) Income
Foreign currency translation adjustment	(212,357)	10,517	291,094	20,402
Total Comprehensive Loss	$ (19,046,483)	$ (8,153,954)	$ (48,955,261)	$ (16,337,372)
Net Losses per Share:
Basic loss per common share (in usd per share)	$ (0.09)	$ (0.04)	$ (0.25)	$ (0.09)
Diluted loss per common share (in usd per share)	$ (0.09)	$ (0.04)	$ (0.25)	$ (0.09)
Net Losses per Share:
Basic weighted average shares outstanding (shares)	202,326,434	192,767,120	199,069,123	183,661,507
Diluted weighted average shares outstanding (shares)	202,326,434	192,767,120	199,069,123	183,661,507
Sezzle income
Income
Total income	$ 24,474,900	$ 13,574,847	$ 70,460,583	$ 31,461,964
Account reactivation fee income
Income
Total income	$ 4,005,998	$ 2,345,126	$ 11,480,978	$ 5,240,930

Consolidated Statements of Stoc

Consolidated Statements of Stockholders’ Equity (unaudited) - USD ($)	Total	Common Stock	Additional Paid-in Capital	Stock Subscriptions	Treasury Stock, At Cost	Accumulated Other Comprehensive Income	Accumulated Deficit
Beginning balance (shares) at Dec. 31, 2019		178,931,312
Beginning balance at Dec. 31, 2019	$ 27,314,316	$ 1,789	$ 47,154,147	$ 0	$ 0	$ 0	$ (19,841,620)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Equity based compensation	3,553,790		3,553,790
Stock option exercises (shares)		932,283
Stock option exercises	153,236	$ 8	153,228
Restricted stock issuances and vesting of awards (shares)		125,000
Restricted stock issuances and vesting of awards	236,901	$ 1	236,900
Stock subscriptions receivable related to stock option exercises (shares)		180,416
Stock subscriptions receivable related to stock option exercises	0	$ 2	8,473	(8,475)
Stock subscriptions collected related to stock option exercises	8,475			8,475
Repurchase of common stock (shares)		(35,875)
Repurchase of common stock	(231,582)				(231,582)
Retirement of common stock (shares)		(343,750)
Retirement of common stock	(2,234)	$ (3)	(2,231)
Proceeds from issuance of common stock, net of issuance costs (in shares)		16,289,935
Proceeds from issuance of common stock, net of issuance costs	57,972,752	$ 162	57,972,590
Foreign currency translation adjustment	20,402					20,402
Net Loss	(16,357,774)						(16,357,774)
Ending balance (shares) at Sep. 30, 2020		196,079,321
Ending balance at Sep. 30, 2020	72,668,282	$ 1,959	109,076,897	0	(231,582)	20,402	(36,199,394)
Beginning balance (shares) at Jun. 30, 2020		179,249,866
Beginning balance at Jun. 30, 2020	20,714,194	$ 1,792	48,737,440	0	0	9,885	(28,034,923)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Equity based compensation	2,052,527		2,052,527
Stock option exercises (shares)		475,395
Stock option exercises	116,131	$ 4	116,127
Restricted stock issuances and vesting of awards (shares)		100,000
Restricted stock issuances and vesting of awards	198,214	$ 1	198,213
Stock subscriptions receivable related to stock option exercises (shares)		0
Stock subscriptions receivable related to stock option exercises	0		0	0
Stock subscriptions collected related to stock option exercises	0			0
Repurchase of common stock (shares)		(35,875)
Repurchase of common stock	(231,582)				(231,582)
Retirement of common stock (shares)		0
Retirement of common stock	0	$ 0	0
Proceeds from issuance of common stock, net of issuance costs (in shares)		16,289,935
Proceeds from issuance of common stock, net of issuance costs	57,972,752	$ 162	57,972,590
Foreign currency translation adjustment	10,517					10,517
Net Loss	(8,164,471)						(8,164,471)
Ending balance (shares) at Sep. 30, 2020		196,079,321
Ending balance at Sep. 30, 2020	72,668,282	$ 1,959	109,076,897	0	(231,582)	20,402	(36,199,394)
Beginning balance (shares) at Dec. 31, 2020		196,926,674
Beginning balance at Dec. 31, 2020	59,958,417	$ 1,970	112,640,974	(69,440)	(875,232)	494,505	(52,234,360)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Equity based compensation	8,746,439		8,746,439
Stock option exercises (shares)		1,179,669
Stock option exercises	411,422	$ 11	411,411
Restricted stock issuances and vesting of awards (shares)		1,044,164
Restricted stock issuances and vesting of awards	1,980,386	$ 10	1,980,376
Conversion of liability-classified incentive awards to stockholder's equity	9,293,035		9,293,035
Stock subscriptions receivable related to stock option exercises (shares)		169,826
Stock subscriptions receivable related to stock option exercises	0	$ 2	177,442	(177,444)
Stock subscriptions collected related to stock option exercises	208,578			208,578
Repurchase of common stock (shares)		(311,762)
Repurchase of common stock	(1,829,725)	$ (3)			(1,829,722)
Proceeds from issuance of common stock, net of issuance costs (in shares)		4,559,270
Proceeds from issuance of common stock, net of issuance costs	29,997,232	$ 46	29,997,186
Foreign currency translation adjustment	291,094					291,094
Net Loss	(49,246,355)						(49,246,355)
Ending balance (shares) at Sep. 30, 2021		203,567,841
Ending balance at Sep. 30, 2021	59,810,523	$ 2,036	163,246,863	(38,306)	(2,704,954)	785,599	(101,480,715)
Beginning balance (shares) at Jun. 30, 2021		198,320,795
Beginning balance at Jun. 30, 2021	44,907,089	$ 1,984	128,254,415	(43,993)	(1,656,684)	997,956	(82,646,589)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Equity based compensation	4,233,148		4,233,148
Stock option exercises (shares)		362,369
Stock option exercises	160,001	$ 3	159,998
Restricted stock issuances and vesting of awards (shares)		419,558
Restricted stock issuances and vesting of awards	530,595	$ 4	530,591
Conversion of liability-classified incentive awards to stockholder's equity	0		0
Stock subscriptions receivable related to stock option exercises (shares)		76,559
Stock subscriptions receivable related to stock option exercises	0	$ 1	71,525	(71,526)
Stock subscriptions collected related to stock option exercises	77,213			77,213
Repurchase of common stock (shares)		(170,710)
Repurchase of common stock	(1,048,272)	$ (2)			(1,048,270)
Proceeds from issuance of common stock, net of issuance costs (in shares)		4,559,270
Proceeds from issuance of common stock, net of issuance costs	29,997,232	$ 46	29,997,186
Foreign currency translation adjustment	(212,357)					(212,357)
Net Loss	(18,834,126)						(18,834,126)
Ending balance (shares) at Sep. 30, 2021		203,567,841
Ending balance at Sep. 30, 2021	$ 59,810,523	$ 2,036	$ 163,246,863	$ (38,306)	$ (2,704,954)	$ 785,599	$ (101,480,715)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (unaudited) - USD ($)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020
Operating Activities:
Net loss	$ (18,834,126)	$ (8,164,471)	$ (49,246,355)	$ (16,357,774)
Adjustments to reconcile net loss to net cash used for operating activities:
Depreciation and amortization			537,826	293,861
Provision for uncollectible accounts	10,456,447	4,480,679	32,880,630	9,615,268	$ 19,587,918
Provision for other uncollectible receivables			4,428,035	1,762,277
Equity based compensation and restricted stock vested			10,726,825	3,790,691
Amortization of debt issuance costs			500,202	312,791
Impairment losses on long-lived assets			5,474	7,850
Loss on extinguishment of line of credit	0	0	1,092,679	0
Changes in operating assets and liabilities:
Notes receivable			(65,794,390)	(42,445,378)
Other receivables			(4,486,106)	(1,789,186)
Prepaid expenses and other assets			(3,297,530)	(796,334)
Merchant accounts payable			29,848,199	37,034,661
Other payables			2,135,408	120,942
Accrued liabilities			9,456,969	6,284,030
Operating leases			(30,832)	(26,139)
Net Cash Used for Operating Activities			(31,242,966)	(2,192,440)
Investing Activities:
Purchase of property and equipment			(559,502)	(200,664)
Internally developed intangible asset additions			(515,023)	(234,660)
Net Cash Used for Investing Activities			(1,074,525)	(435,324)
Financing Activities:
Proceeds from long term debt			0	1,220,332
Payments on long term debt			(1,220,332)	0
Proceeds from line of credit			67,666,667	53,650,000
Payments to line of credit			(102,666,667)	(29,100,000)
Payments of debt issuance costs			(1,698,190)	0
Payment of debt extinguishment costs			(1,000,000)	0
Proceeds from stock option exercises			411,422	153,236
Stock subscriptions collected related to stock option exercises			208,578	8,475
Repurchase of common stock			(1,829,725)	(2,234)
Proceeds from issuance of common stock			30,000,000	60,457,256
Costs incurred from issuance of common stock			(2,768)	(2,484,504)
Net Cash (Used for) Provided from Financing Activities			(10,131,015)	83,902,561
Effect of exchange rate changes on cash			239,519	24,788
Net (decrease) increase in cash, cash equivalents, and restricted cash			(42,448,506)	81,274,797
Cash, cash equivalents, and restricted cash, beginning of year			89,103,903	36,624,618	36,624,618
Cash, cash equivalents, and restricted cash, end of period	$ 46,894,916	$ 117,924,203	46,894,916	117,924,203	$ 89,103,903
Noncash investing and finance activities:
Lease liabilities arising from obtaining right-of-use assets			142,597	0
Conversion of long-term incentive compensation from liability to equity			9,293,035	0
Withholding of restricted stock units to cover employee tax withholding			0	231,582
Supplementary disclosures:
Interest paid			3,611,852	2,709,578
Income taxes paid			$ 4,575	$ 0

Significant Accounting Policies

Significant Accounting Policies	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Significant Accounting Policies	Significant Accounting Policies These unaudited consolidated financial statements are prepared and presented in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP) and the rules and regulations of the Securities and Exchange Commission (SEC) applicable to interim financial statements. While these consolidated financial statements and the accompanying notes thereof reflect all normal recurring adjustments that are, in the opinion of management, necessary for fair presentation of the results of the interim period, they do not include all of the information and footnotes required by U.S. GAAP for complete consolidated financial statements. These consolidated financial statements and their accompanying notes should be read in conjunction with the consolidated financial statement disclosures in our 2020 annual consolidated financial statements. Sezzle Income in the fourth quarter has historically been strongest for the Company, in line with consumer spending habits during the holiday shopping season. Operating results reported for the three and nine months ended September 30, 2021 might not be indicative of the results for any subsequent period or the entire year ending December 31, 2021. Sezzle Inc. (the “Company” or “Sezzle”) uses the same accounting policies in preparing quarterly and annual consolidated financial statements. The consolidated financial statements include all the accounts and activities of Sezzle Inc. and its wholly-owned subsidiaries. All significant intercompany balances and transactions are eliminated during consolidation. Sezzle operates as a single segment that consists primarily of lending to consumers located in the United States and Canada who purchase goods from its affiliated merchants. The Company currently has startup operations in India, Europe, and Brazil. While distinct geographic locations, the operations in both countries are still in an early growth stage. Sezzle’s income and assets are primarily related to operations in North America. None of the recent accounting pronouncements issued by the Financial Accounting Standards Board during the nine months ended September 30, 2021 are within scope for the Company; therefore, it does not expect any of the recent accounting pronouncements issued to have a material effect on the Company’s consolidated financial statements. The Company has evaluated events and transactions occurring subsequent to the consolidated balance sheet as of September 30, 2021 for items that should potentially be recognized or disclosed in these consolidated financial statements. The evaluation was conducted through the date these consolidated financial statements were issued.

Fair Value

Fair Value	9 Months Ended
	Sep. 30, 2021
Fair Value Disclosures [Abstract]
Fair Value	Fair Value Fair values are based on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (i.e. an exit price). Fair value measurements are reported in one of three levels reflecting the valuation techniques used to determine fair value. The three levels of the fair value hierarchy are as follows: • Level 1 - Unadjusted quoted prices for identical assets or liabilities in active markets; • Level 2 - Inputs other than quoted prices in active markets for identical assets and liabilities that are observable either directly or indirectly for substantially the full term of the asset or liability; and • Level 3 - Unobservable inputs for the asset or liability, which include management’s own assumption about the assumptions market participants would use in pricing the asset or liability, including assumptions about risk. The Company measures the value of its money market securities on a regular basis. The fair value of its money market securities, totaling $12,035 and $9,996,155 as of September 30, 2021 and December 31, 2020, respectively, are based on Level 1 inputs and are included within cash and cash equivalents on the consolidated balance sheets.

Total Income

Total Income	9 Months Ended
	Sep. 30, 2021
Revenue from Contract with Customer [Abstract]
Total Income	Total Income Sezzle Income Sezzle receives its income primarily from fees paid by merchants in exchange for Sezzle’s payment processing services. These fees are applied to the underlying sales to consumers passing through the Company’s platform and are predominantly based on a percentage of the consumer order value plus a fixed fee per transaction. Consumer installment payment plans typically consist of four installments, with the first payment made at the time of purchase and subsequent payments coming due every two weeks thereafter. Additionally, consumers may reschedule their initial installment plan by delaying payment for up to two weeks, for which Sezzle earns a rescheduled payment fee. The total of merchant fees and rescheduled payment fees, less note origination costs, are collectively referred to as Sezzle income within the consolidated statements of operations and comprehensive loss. Note origination costs are comprised of costs paid to third-parties to obtain data for underwriting consumers which result in a successful transaction. Such costs which result in a declined order are recorded in third-party technology and data within operating expenses in the consolidated statements of operations and comprehensive loss. Sezzle income is initially recorded as a reduction to notes receivable, net, within the consolidated balance sheets. Sezzle income is then recognized over the average duration of the note using the effective interest rate method. Total Sezzle income to be recognized over the duration of existing notes receivable outstanding was $4,536,345 and $3,458,222 as of September 30, 2021 and December 31, 2020, respectively. Total Sezzle income recognized was $24,474,900 and $13,574,847 for the three months ended September 30, 2021 and 2020, respectively, and $70,460,583 and $31,461,964 for the nine months ended September 30, 2021 and 2020, respectively. Account Reactivation Fee Income Sezzle also earns income from consumers in the form of account reactivation fees. These fees are assessed to consumers who fail to make a timely payment. Sezzle allows a 48-hour waiver period where fees are dismissed if the installment is paid by the consumer. Account reactivation fees are recognized at the time the fee is charged to the consumer, less an allowance for uncollectible amounts. Account reactivation fee income recognized totaled $4,005,998 and $2,345,126 for the three months ended September 30, 2021 and 2020, respectively, and $11,480,978 and $5,240,930 for the nine months ended September 30, 2021 and 2020, respectively.

Notes Receivable

Notes Receivable	9 Months Ended
	Sep. 30, 2021
Receivables [Abstract]
Notes Receivable	Notes Receivable Sezzle’s notes receivable comprise outstanding consumer principal and account reschedule fees that Sezzle reasonably expects to collect from its consumers. As of September 30, 2021 and December 31, 2020, Sezzle’s notes receivable, related allowance for uncollectible accounts, and deferred net origination fees are recorded within the consolidated balance sheets as follows: As of September 30, 2021 December 31, 2020 Notes receivable, gross $ 135,147,310 $ 95,398,668 Less allowance for uncollectible accounts: Balance at beginning of year (11,133,146) (3,461,837) Provision (32,880,630) (19,587,918) Charge-offs, net of recoveries totaling $4,479,376 and $648,799, respectively 27,108,580 11,916,609 Total allowance for uncollectible accounts (16,905,196) (11,133,146) Notes receivable, net of allowance 118,242,114 84,265,522 Deferred Sezzle income (4,536,345) (3,458,222) Notes receivable, net $ 113,705,769 $ 80,807,300 Sezzle maintains an allowance for uncollectible accounts at a level necessary to absorb estimated probable losses on principal and reschedule fee receivables from consumers. Any amounts delinquent after 90 days are charged-off with an offsetting reversal of the allowance for doubtful accounts through the provision for uncollectible accounts. Additionally, amounts identified as no longer collectible—such as when a consumer becomes deceased or bankrupt—are charged off immediately. Principal payments recovered after the 90 day charge-off period are recognized as a reduction to the allowance for uncollectible accounts in the period the receivable is recovered. Sezzle has not changed the methodology for estimating its allowance for uncollectible accounts during the nine months ended September 30, 2021. The following table summarizes Sezzle’s gross notes receivable and related allowance for uncollectible accounts as of September 30, 2021 and December 31, 2020: As of September 30, 2021 December 31, 2020 Gross Receivables Less Allowance Net Receivables Gross Receivables Less Allowance Net Receivables Current $ 112,384,616 $ (4,032,714) $ 108,351,902 $ 79,673,073 $ (2,692,254) $ 76,980,819 Days past due: 1–28 11,088,499 (3,712,417) 7,376,082 9,574,902 (3,616,327) 5,958,575 29–56 5,851,547 (4,051,641) 1,799,906 3,576,255 (2,646,627) 929,628 57–90 5,822,648 (5,108,424) 714,224 2,574,438 (2,177,938) 396,500 Total $ 135,147,310 $ (16,905,196) $ 118,242,114 $ 95,398,668 $ (11,133,146) $ 84,265,522 Deferred Sezzle income is comprised of unrecognized merchant fees and consumer reschedule fees net of direct note origination costs, which are recognized over the duration of the note with the consumer and are recorded as an offset to Sezzle income on the consolidated statements of operations and comprehensive loss. Sezzle’s notes receivable had a weighted average days outstanding of 34 days, consistent with the prior year’s duration.

Other Receivables

Other Receivables	9 Months Ended
	Sep. 30, 2021
Receivables [Abstract]
Other Receivables	Other Receivables As of September 30, 2021 and December 31, 2020, the balance of other receivables, net, on the consolidated balance sheets is comprised of the following: As of September 30, 2021 December 31, 2020 Account reactivation fees receivable, net $ 675,320 $ 804,060 Receivables from merchants 786,238 599,246 Other receivables, net $ 1,461,558 $ 1,403,306 Account reactivation fees receivable, net, is comprised of outstanding account reactivation fees that Sezzle reasonably expects to collect from its consumers. As of September 30, 2021 and December 31, 2020, Sezzle’s account reactivation fees receivable and related allowance for uncollectible accounts are recorded within the consolidated balance sheets as follows: As of September 30, 2021 December 31, 2020 Account reactivation fees receivable, gross $ 1,941,884 $ 1,875,648 Less allowance for uncollectible accounts: Balance at start of period (1,071,588) (483,518) Provision (3,433,610) (2,347,733) Charge-offs, net of recoveries totaling $935,163 and $71,110, respectively 3,238,634 1,759,663 Total allowance for uncollectible accounts (1,266,564) (1,071,588) Account reactivation fees receivable, net $ 675,320 $ 804,060 Sezzle maintains the allowance at a level necessary to absorb estimated probable losses on consumer account reactivation fee receivables. Any amounts delinquent after 90 days are charged-off with an offsetting reversal of the allowance for doubtful accounts through the provision for uncollectible accounts. Additionally, amounts identified as no longer collectible—such as when a consumer becomes deceased or bankrupt—are charged off immediately. Payments recovered after the 90 day charge-off period are recognized as a reduction to the allowance for uncollectible accounts in the period the receivable is recovered. Sezzle has not changed the methodology for estimating its allowance for uncollectible accounts during the nine months ended September 30, 2021. Receivables from merchants primarily represent merchant fees charged, but not yet paid, to the Company. Additionally, during the three months ended September 30, 2021 and 2020, the Company recorded direct write-downs of $539,242 and $110,392, respectively, for uncollectible receivables from merchants, which is included in the provision for uncollectible other receivables. Such write-downs for the nine months ended September 30, 2021 and 2020 were $994,425 and $274,705, respectively.

Leases

Leases	9 Months Ended
	Sep. 30, 2021
Leases [Abstract]
Leases	Leases Sezzle is currently entered into operating leases for its corporate office spaces in the United States, Canada, India, Lithuania, and Brazil. Total lease expense incurred for the three months ended September 30, 2021 and 2020 was $88,958 and $163,546, respectively. Total lease expense incurred for the nine months ended September 30, 2021 and 2020 was $364,384 and $350,515, respectively. Lease expense is recognized within general and administrative expenses on the consolidated statements of operations and comprehensive loss. During the nine months ended September 30, 2021, Sezzle renewed a portion of its operating leases in the United States and Canada, which it had previously determined it was unlikely to renew. As a result, Sezzle recorded an increase in its operating right-of-use assets and its corresponding lease liabilities of $142,597. The expected maturity of the Company’s operating leases as of September 30, 2021 is as follows: 2021 $ 37,647 2022 70,388 Interest (2,275) Present value of lease liabilities $ 105,760 The weighted average remaining term of the Company’s operating leases is 0.7 years and its weighted average discount rate for all operating leases is 4.75%. As of September 30, 2021, Sezzle has not entered into any lease agreements that contain residual value guarantees or financial covenants.

Internally Developed Intangible

Internally Developed Intangible Assets, Property, and Equipment	9 Months Ended
	Sep. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract]
Internally Developed Intangible Assets, Property, and Equipment	Internally Developed Intangible Assets, Property, and EquipmentThe Company reviews the carrying value of long-lived assets, which includes property, equipment, and internally developed intangible assets, for impairment whenever events and circumstances indicate that the assets’ carrying value may not be recoverable from the future cash flows expected to result from its use and eventual disposition. In cases where undiscounted expected future cash flows are less than the carrying value, an impairment loss is recognized equal to an amount by which the carrying value exceeds the fair value of assets. The factors considered by management in performing this assessment include current operating results, trends, and prospects; the manner in which the asset is used; and the effects of obsolescence, demand, competition, and other economic factors. Impairment losses for the three months ended September 30, 2021 and 2020 were $5,474 and $2,556, respectively. Impairments for the nine months ended September 30, 2021 and 2020 were $5,474 and $7,850, respectively. Impairment costs are recorded within general and administrative operating expenses on the consolidated statements of operations and comprehensive loss.

Merchant Accounts Payable

Merchant Accounts Payable	9 Months Ended
	Sep. 30, 2021
Payables and Accruals [Abstract]
Merchant Accounts Payable	Merchant Accounts Payable Sezzle offers its merchants an interest bearing program in which merchants may defer payment from the Company in exchange for interest. Merchant accounts payable in total were $90,735,441 and $60,933,272 as of September 30, 2021 and December 31, 2020, respectively, as disclosed in the consolidated balance sheets. Of these amounts, $78,605,159 and $53,528,501 were recorded within the merchant interest program balance as of September 30, 2021 and December 31, 2020, respectively. Deferred payments retained in the program bear interest at the LIBOR daily (3 month) rate plus three percent (3.0%) on an annual basis, compounding daily. The weighted average annual percentage yield was 3.18% and 4.76% for the three months ended September 30, 2021 and 2020, respectively, and 3.23% and 6.15% for the nine months ended September 30, 2021 and 2020, respectively. Interest expense associated with the program totaled $620,353 and $441,986 for the three months ended September 30, 2021 and 2020, respectively, and $1,666,420 and $1,063,182 for the nine months ended September 30, 2021 and 2020, respectively.

Line of Credit

Line of Credit	9 Months Ended
	Sep. 30, 2021
Debt Disclosure [Abstract]
Line of Credit	Line of Credit On February 10, 2021, Sezzle entered into an agreement with Goldman Sachs Bank USA (the ‘Class A’ senior lender), and Bastion Consumer Funding II LLC and Bastion Funding IV LLC (the ‘Class B’ mezzanine lenders) for a $250,000,000 receivables funding facility. The funding facility has a maturity date of June 12, 2023 (a 28-month term from the agreement date). Fifty percent of the total available funding facility ($125,000,000) is committed while the remaining fifty percent is available to the Company for expanding its funding capacity. The loan agreement is subject to both affirmative and negative covenants. The Company had an outstanding line of credit balance of $5,000,000 as of September 30, 2021 and is recorded within line of credit, net, as a non-current liability on the consolidated balance sheets. The agreement is secured by the Company’s consumer notes receivable it chooses to pledge. Borrowings are generally based on 90% of eligible notes receivable pledged, or 85% if the weighted average FICO scores of the pledged receivables fall below 580. Eligible notes receivable are defined as notes receivable from consumers in the United States or Canada that are less than 15 days past due. As of September 30, 2021, Sezzle had pledged $129,512,429 of its notes receivable. Sezzle had an unused borrowing capacity of $87,769,996 as of September 30, 2021. The funding facility carries an interest rate of 3-month LIBOR+3.375% and 3-month LIBOR+10.689% (the LIBOR floor rate is set at 0.25%) for funds borrowed from the Class A and Class B lender, respectively. As of September 30, 2021, the weighted average interest rate was 5.250%. Interest on borrowings is due on collection dates as specified in the loan agreement, typically fortnightly. For the three and nine months ended September 30, 2021, interest expense relating to the utilization of the line of credit was $185,035 and $1,172,366, respectively. Additionally, any unused daily amounts incurred a facility fee at a rate of .50% per annum until May 11, 2021. Beginning May 11, 2021, the facility fee rate became variable, dependent on the percentage of the line of credit utilized. If less than one-third of the facility is used, the rate is .65% per annum; if between one-third and two-thirds of the facility is used, the rate is .50% per annum; and if more than two-thirds of the facility is used, the rate is .35% per annum. In the event of a prepayment due to a broadly marketed and distributed securitization transaction with a party external to the agreement, an exit fee of 0.75% of such prepaid balance will be due to the lender upon such transaction. Additionally, the Company paid a $1,000,000 termination fee to exit its previous loan agreement. For the three and nine months ended September 30, 2021, amortization expense recorded for debt issuance costs on the line of credit totaled $189,727 and $500,202, respectively. Total cash payments for debt issuance costs relating to the new line of credit were $1,698,190 as of September 30, 2021.

Long Term Debt

Long Term Debt	9 Months Ended
	Sep. 30, 2021
Debt Disclosure [Abstract]
Long Term Debt	Long Term Debt On April 14, 2020, the Company received loan proceeds in the amount of $1,220,332 under the U.S. Small Business Administration’s (SBA) Paycheck Protection Program (PPP). The PPP, established as part of the CARES Act, provides loans to qualifying businesses for amounts up to 2.5 times of the average monthly payroll expenses of the qualifying business. PPP loans are uncollateralized and guaranteed by the SBA, and are forgivable after a “covered period” (eight or twenty-four weeks) as long as the borrower maintains its payroll levels and uses the loan proceeds for eligible expenses, including payroll, benefits, rent, and utilities. The forgiveness amount will be reduced if the borrower terminates employees or reduces salaries and wages more than 25% during the covered period. Any unforgiven portion of the PPP loan is payable over two years at an interest rate of 1% with payments deferred until the SBA remits the borrower’s loan forgiveness amount to the lender, or, if the borrower does not apply for forgiveness, ten months after the end of the covered period. PPP loan terms provide for customary events of default including payment defaults, breaches of representations and warranties, and insolvency events and may be accelerated upon the occurrence of one or more of these events of default. Additionally, the PPP loan terms do not include prepayment penalties. On June 24, 2021, the Company repaid the loan in full, comprising $1,220,332 in principal and $14,779 in accrued interest. The SBA reserves the right to audit any PPP loan, regardless of size. These audits may occur after forgiveness has been granted or the loan has been repaid in full. In accordance with the CARES Act, all borrowers are required to maintain their PPP loan documentation for six years after the PPP loan was forgiven or repaid in full and to provide that documentation to the SBA upon request.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2021
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Merchant Contract Obligations The Company has entered into several agreements with third-parties in which Sezzle will reimburse these third-parties for co-branded marketing and advertising costs. During the three and nine months ended September 30, 2021, the Company entered into agreements that stipulate Sezzle will commit to spend up to approximately $1 million and $36 million, respectively, in marketing and advertising spend. Certain agreements also contain provisions that may require payments by the Company and are contingent on Sezzle and/or the third party meeting specified criteria, such as achieving volume targets and implementation benchmarks. Expenses incurred relating to these agreements totaled $1,611,495 and $323,044 for the three months ended September 30, 2021 and 2020, respectively, and $4,071,057 and $656,609 for the nine months ended September 30, 2021 and 2020, respectively. These expenses are included within marketing, advertising, and tradeshows expenses in the consolidated statements of operations and comprehensive loss. Sezzle had approximately $442,000 and $211,000 recorded as a prepaid expense in the consolidated balance sheets as of September 30, 2021 and December 31, 2020, respectively.

Short and Long-Term Incentive P

Short and Long-Term Incentive Plans	9 Months Ended
	Sep. 30, 2021
Share-based Payment Arrangement [Abstract]
Short and Long-Term Incentive Plans	Short and Long–Term Incentive Plans In May 2020, the Company adopted a short-term incentive compensation program for its employees and executives. The program is based on achievements where individuals will be compensated for Company-wide and individual and/or team performance for the fiscal year. Measurement of compensable amounts is determined at the end of the year and payouts to individuals will be made in the form of restricted stock units in the following year. As of September 30, 2021, the Company has accrued a total of $4,098,230 for this program, compared to $2,133,806 as of December 31, 2020, which is recorded in accrued liabilities on the consolidated balance sheets. The Company also adopted a long-term incentive plan (LTIP) for its executive team in May 2020. The LTIP comprises grants of market priced stock options under the 2019 Equity Incentive Plan, with vesting subject to required levels of Comparative Total Shareholder Return (TSR) tested over three years, and subject to continued employment for a three-year period ending January 1, 2023. Both the market and service vesting conditions must be met in order for the grantee to vest at the end of the three year measurement period. Each of the executive and designated senior officers of the Company was awarded a long term incentive stock option grant to purchase shares on May 22, 2020. The stock options have an exercise price of A$2.10 per share, based on the closing sale price of CHESS Depository Interests (CDIs) on the Australian Securities Exchange (ASX) on May 21, 2020, the trading day prior to the date of grant. The amount of each award is equal to 300% of the individual’s salary in effect as of May 22, 2020 (100% for each of the three years in the performance period and pro-rated for start date). The Company’s stock price performance will be measured based on its volume weighted average price relative to other companies included within the S&P/ASX All Technology Index. The number of long term incentive stock option grants were calculated based on a fair value of $0.64 per option, determined under the Monte Carlo Simulation valuation method. Total expense recognized related to compensation under the LTIP program was $1,202,057 and $2,917,633 for the three months ended September 30, 2021 and 2020, respectively, and $6,059,178 and $3,548,105 for the nine months ended September 30, 2021 and 2020, respectively. The compensable amounts under the LTIP to executive board members are subject to shareholder approval. On June 10, 2021, the Company received shareholder approval to grant the LTIP awards to executive board members. Upon this approval, the Company remeasured the fair value of the awards and reclassified the awards from other long-term liabilities to stockholder’s equity. The total fair value reclassified from liability to stockholder’s equity was $9,293,035 as of June 10, 2021.

Stockholders_ Equity

Stockholders’ Equity	9 Months Ended
	Sep. 30, 2021
Equity [Abstract]
Stockholders’ Equity	Stockholders’ EquityOn July 14, 2021, Sezzle agreed to issue Discover Financial Services LLC (“Discover”) $30,000,000 of the Company’s common stock at a price of $6.58 per share (A$8.83), which was completed on July 19, 2021. The proceeds from this sale were offset with issuance costs totaling $2,768.

Net Loss Per Share

Net Loss Per Share	9 Months Ended
	Sep. 30, 2021
Earnings Per Share [Abstract]
Net Loss Per Share	Net Loss Per ShareThe computation for basic net loss per share is established by dividing net losses for the period by the weighted average shares outstanding during the reporting period, including repurchases carried as treasury stock. Diluted net loss per share is computed in a similar manner, with the weighted average shares outstanding increasing from the assumed exercise of employee stock options (including options classified as liabilities) and assumed vesting of restricted stock units (if dilutive). Given the Company is in a loss position, the impact of including assumed exercises of stock options and vesting of restricted stock units would have an anti-dilutive impact on the calculation of diluted net loss per share and, accordingly, diluted and basic net loss per share were equal for the three and nine months ended September 30, 2021 and 2020.

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2021
Accounting Policies [Abstract]
Basis of accounting	These unaudited consolidated financial statements are prepared and presented in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP) and the rules and regulations of the Securities and Exchange Commission (SEC) applicable to interim financial statements. While these consolidated financial statements and the accompanying notes thereof reflect all normal recurring adjustments that are, in the opinion of management, necessary for fair presentation of the results of the interim period, they do not include all of the information and footnotes required by U.S. GAAP for complete consolidated financial statements. These consolidated financial statements and their accompanying notes should be read in conjunction with the consolidated financial statement disclosures in our 2020 annual consolidated financial statements. Sezzle Income in the fourth quarter has historically been strongest for the Company, in line with consumer spending habits during the holiday shopping season. Operating results reported for the three and nine months ended September 30, 2021 might not be indicative of the results for any subsequent period or the entire year ending December 31, 2021.Sezzle Inc. (the “Company” or “Sezzle”) uses the same accounting policies in preparing quarterly and annual consolidated financial statements.
Consolidation	The consolidated financial statements include all the accounts and activities of Sezzle Inc. and its wholly-owned subsidiaries. All significant intercompany balances and transactions are eliminated during consolidation.
Segment reporting	Sezzle operates as a single segment that consists primarily of lending to consumers located in the United States and Canada who purchase goods from its affiliated merchants. The Company currently has startup operations in India, Europe, and Brazil. While distinct geographic locations, the operations in both countries are still in an early growth stage. Sezzle’s income and assets are primarily related to operations in North America.
Recent accounting pronouncements	None of the recent accounting pronouncements issued by the Financial Accounting Standards Board during the nine months ended September 30, 2021 are within scope for the Company; therefore, it does not expect any of the recent accounting pronouncements issued to have a material effect on the Company’s consolidated financial statements.
Subsequent events and transactions	The Company has evaluated events and transactions occurring subsequent to the consolidated balance sheet as of September 30, 2021 for items that should potentially be recognized or disclosed in these consolidated financial statements. The evaluation was conducted through the date these consolidated financial statements were issued.
Allowance for uncollectible accounts	Sezzle maintains an allowance for uncollectible accounts at a level necessary to absorb estimated probable losses on principal and reschedule fee receivables from consumers. Any amounts delinquent after 90 days are charged-off with an offsetting reversal of the allowance for doubtful accounts through the provision for uncollectible accounts. Additionally, amounts identified as no longer collectible—such as when a consumer becomes deceased or bankrupt—are charged off immediately. Principal payments recovered after the 90 day charge-off period are recognized as a reduction to the allowance for uncollectible accounts in the period the receivable is recovered. Sezzle has not changed the methodology for estimating its allowance for uncollectible accounts during the nine months ended September 30, 2021.

Notes Receivable (Tables)

Notes Receivable (Tables)	9 Months Ended
	Sep. 30, 2021
Receivables [Abstract]
Schedule of Notes Receivable	As of September 30, 2021 and December 31, 2020, Sezzle’s notes receivable, related allowance for uncollectible accounts, and deferred net origination fees are recorded within the consolidated balance sheets as follows: As of September 30, 2021 December 31, 2020 Notes receivable, gross $ 135,147,310 $ 95,398,668 Less allowance for uncollectible accounts: Balance at beginning of year (11,133,146) (3,461,837) Provision (32,880,630) (19,587,918) Charge-offs, net of recoveries totaling $4,479,376 and $648,799, respectively 27,108,580 11,916,609 Total allowance for uncollectible accounts (16,905,196) (11,133,146) Notes receivable, net of allowance 118,242,114 84,265,522 Deferred Sezzle income (4,536,345) (3,458,222) Notes receivable, net $ 113,705,769 $ 80,807,300 As of September 30, 2021 and December 31, 2020, the balance of other receivables, net, on the consolidated balance sheets is comprised of the following: As of September 30, 2021 December 31, 2020 Account reactivation fees receivable, net $ 675,320 $ 804,060 Receivables from merchants 786,238 599,246 Other receivables, net $ 1,461,558 $ 1,403,306 As of September 30, 2021 December 31, 2020 Account reactivation fees receivable, gross $ 1,941,884 $ 1,875,648 Less allowance for uncollectible accounts: Balance at start of period (1,071,588) (483,518) Provision (3,433,610) (2,347,733) Charge-offs, net of recoveries totaling $935,163 and $71,110, respectively 3,238,634 1,759,663 Total allowance for uncollectible accounts (1,266,564) (1,071,588) Account reactivation fees receivable, net $ 675,320 $ 804,060
Schedule of Gross Notes Receivable and Related Allowance by Aging	The following table summarizes Sezzle’s gross notes receivable and related allowance for uncollectible accounts as of September 30, 2021 and December 31, 2020: As of September 30, 2021 December 31, 2020 Gross Receivables Less Allowance Net Receivables Gross Receivables Less Allowance Net Receivables Current $ 112,384,616 $ (4,032,714) $ 108,351,902 $ 79,673,073 $ (2,692,254) $ 76,980,819 Days past due: 1–28 11,088,499 (3,712,417) 7,376,082 9,574,902 (3,616,327) 5,958,575 29–56 5,851,547 (4,051,641) 1,799,906 3,576,255 (2,646,627) 929,628 57–90 5,822,648 (5,108,424) 714,224 2,574,438 (2,177,938) 396,500 Total $ 135,147,310 $ (16,905,196) $ 118,242,114 $ 95,398,668 $ (11,133,146) $ 84,265,522

Other Receivables (Tables)

Other Receivables (Tables)	9 Months Ended
	Sep. 30, 2021
Receivables [Abstract]
Schedule of Other Receivables, Net	As of September 30, 2021 and December 31, 2020, Sezzle’s notes receivable, related allowance for uncollectible accounts, and deferred net origination fees are recorded within the consolidated balance sheets as follows: As of September 30, 2021 December 31, 2020 Notes receivable, gross $ 135,147,310 $ 95,398,668 Less allowance for uncollectible accounts: Balance at beginning of year (11,133,146) (3,461,837) Provision (32,880,630) (19,587,918) Charge-offs, net of recoveries totaling $4,479,376 and $648,799, respectively 27,108,580 11,916,609 Total allowance for uncollectible accounts (16,905,196) (11,133,146) Notes receivable, net of allowance 118,242,114 84,265,522 Deferred Sezzle income (4,536,345) (3,458,222) Notes receivable, net $ 113,705,769 $ 80,807,300 As of September 30, 2021 and December 31, 2020, the balance of other receivables, net, on the consolidated balance sheets is comprised of the following: As of September 30, 2021 December 31, 2020 Account reactivation fees receivable, net $ 675,320 $ 804,060 Receivables from merchants 786,238 599,246 Other receivables, net $ 1,461,558 $ 1,403,306 As of September 30, 2021 December 31, 2020 Account reactivation fees receivable, gross $ 1,941,884 $ 1,875,648 Less allowance for uncollectible accounts: Balance at start of period (1,071,588) (483,518) Provision (3,433,610) (2,347,733) Charge-offs, net of recoveries totaling $935,163 and $71,110, respectively 3,238,634 1,759,663 Total allowance for uncollectible accounts (1,266,564) (1,071,588) Account reactivation fees receivable, net $ 675,320 $ 804,060

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2021
Leases [Abstract]
Expected Lease Maturity	The expected maturity of the Company’s operating leases as of September 30, 2021 is as follows: 2021 $ 37,647 2022 70,388 Interest (2,275) Present value of lease liabilities $ 105,760

Significant Accounting Polici_3

Significant Accounting Policies (Details)	9 Months Ended
	Sep. 30, 2021segment
Accounting Policies [Abstract]
Number of operating segments	1

Fair Value (Details)

Fair Value (Details) - USD ($)	Sep. 30, 2021	Dec. 31, 2020
Level 1 | Money Market Securities
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Money market securities	$ 12,035	$ 9,996,155

Total Income (Details)

Total Income (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2021USD ($)installment	Sep. 30, 2020USD ($)	Sep. 30, 2021USD ($)installment	Sep. 30, 2020USD ($)	Dec. 31, 2020USD ($)
Disaggregation of Revenue [Line Items]
Typical number of installments under the Consumer installment payment plans | installment	4		4
Installment period			14 days
Initial installment payment delay (up to)			14 days
Deferred Income	$ 4,536,345		$ 4,536,345		$ 3,458,222
Reactivation fee waiver period			2 days
Total income	28,480,898	$ 15,919,973	$ 81,941,561	$ 36,702,894
Sezzle income
Disaggregation of Revenue [Line Items]
Total income	24,474,900	13,574,847	70,460,583	31,461,964
Account reactivation fee income
Disaggregation of Revenue [Line Items]
Total income	$ 4,005,998	$ 2,345,126	$ 11,480,978	$ 5,240,930

Notes Receivable (Details)

Notes Receivable (Details) - USD ($)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020
Receivables [Abstract]
Notes receivable, gross	$ 135,147,310		$ 135,147,310		$ 95,398,668
Less allowance for uncollectible accounts:
Balance at beginning of year			(11,133,146)	$ (3,461,837)	(3,461,837)
Provision	(10,456,447)	$ (4,480,679)	(32,880,630)	$ (9,615,268)	(19,587,918)
Charge-offs, net of recoveries totaling $4,479,376 and $648,799, respectively			27,108,580		11,916,609
Total allowance for uncollectible accounts	(16,905,196)		(16,905,196)		(11,133,146)
Recoveries			4,479,376		648,799
Notes receivable, net of allowance	118,242,114		118,242,114		84,265,522
Deferred Sezzle income	(4,536,345)		(4,536,345)		(3,458,222)
Notes receivable, net	$ 113,705,769		$ 113,705,769		$ 80,807,300

Notes Receivable - Aging (Detai

Notes Receivable - Aging (Details) - USD ($)	9 Months Ended
	Sep. 30, 2021	Dec. 31, 2020	Dec. 31, 2019
Financing Receivable, Past Due [Line Items]
Notes receivable, gross	$ 135,147,310	$ 95,398,668
Financing Receivable, Allowance for Credit Loss	(16,905,196)	(11,133,146)	$ (3,461,837)
Notes receivable, net of allowance	$ 118,242,114	84,265,522
Weighted average days outstanding of notes receivable	34 days
Current
Financing Receivable, Past Due [Line Items]
Notes receivable, gross	$ 112,384,616	79,673,073
Financing Receivable, Allowance for Credit Loss	(4,032,714)	(2,692,254)
Notes receivable, net of allowance	108,351,902	76,980,819
1–28
Financing Receivable, Past Due [Line Items]
Notes receivable, gross	11,088,499	9,574,902
Financing Receivable, Allowance for Credit Loss	(3,712,417)	(3,616,327)
Notes receivable, net of allowance	7,376,082	5,958,575
29–56
Financing Receivable, Past Due [Line Items]
Notes receivable, gross	5,851,547	3,576,255
Financing Receivable, Allowance for Credit Loss	(4,051,641)	(2,646,627)
Notes receivable, net of allowance	1,799,906	929,628
57–90
Financing Receivable, Past Due [Line Items]
Notes receivable, gross	5,822,648	2,574,438
Financing Receivable, Allowance for Credit Loss	(5,108,424)	(2,177,938)
Notes receivable, net of allowance	$ 714,224	$ 396,500

Other Receivables (Details)

Other Receivables (Details) - USD ($)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Other receivables, net	$ 1,461,558		$ 1,461,558		$ 1,403,306
Less allowance for uncollectible accounts:
Provision			(4,428,035)	$ (1,762,277)
Other receivables, net	1,461,558		1,461,558		1,403,306
Recoveries			935,163		71,110
Provision for uncollectible receivables from merchants			4,428,035	1,762,277
Account reactivation fees receivable, net
Accounts, Notes, Loans and Financing Receivable [Line Items]
Other receivables, net	675,320		675,320		804,060
Account reactivation fees receivable, gross	1,941,884		1,941,884		1,875,648
Less allowance for uncollectible accounts:
Balance at start of period			(1,071,588)	(483,518)	(483,518)
Provision			(3,433,610)		(2,347,733)
Charge-offs, net of recoveries totaling $935,163 and $71,110, respectively			3,238,634		1,759,663
Total allowance for uncollectible accounts	(1,266,564)		(1,266,564)		(1,071,588)
Other receivables, net	675,320		675,320		804,060
Provision for uncollectible receivables from merchants			3,433,610		2,347,733
Receivables from merchants
Accounts, Notes, Loans and Financing Receivable [Line Items]
Other receivables, net	786,238		786,238		599,246
Less allowance for uncollectible accounts:
Provision	(539,242)	$ (110,392)	(994,425)	(274,705)
Other receivables, net	786,238		786,238		$ 599,246
Provision for uncollectible receivables from merchants	$ 539,242	$ 110,392	$ 994,425	$ 274,705

Other Receivables - Narrative (

Other Receivables - Narrative (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Provision for uncollectible receivables from merchants			$ 4,428,035	$ 1,762,277
Receivables from merchants
Accounts, Notes, Loans and Financing Receivable [Line Items]
Provision for uncollectible receivables from merchants	$ 539,242	$ 110,392	$ 994,425	$ 274,705

Leases - Narrative (Details)

Leases - Narrative (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Leases [Abstract]
Lease expense	$ 88,958	$ 163,546	$ 364,384	$ 350,515
Lease liabilities arising from obtaining right-of-use assets			$ 142,597	$ 0
Weighted average remaining lease term	8 months 12 days		8 months 12 days
Weighted average discount rate (percent)	4.75%		4.75%

Leases - Expected Lease Maturit

Leases - Expected Lease Maturity (Details)	Sep. 30, 2021USD ($)
Leases [Abstract]
2021	$ 37,647
2022	70,388
Interest	(2,275)
Present value of lease liabilities	$ 105,760

Internally Developed Intangib_2

Internally Developed Intangible Assets, Property, and Equipment (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]
Impairment losses	$ 5,474	$ 2,556	$ 5,474	$ 7,850

Merchant Accounts Payable (Deta

Merchant Accounts Payable (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020
Payables and Accruals [Line Items]
Merchant accounts payable	$ 90,735,441		$ 90,735,441		$ 60,933,272
Net interest expense	1,172,541	$ 1,148,508	3,752,268	$ 3,004,047
Merchant Interest Program
Payables and Accruals [Line Items]
Merchant accounts payable	$ 78,605,159		$ 78,605,159		$ 53,528,501
Spread on variable rate (percent)	3.00%		3.00%
Weighted average yield (percent)	3.18%	4.76%	3.23%	6.15%
Net interest expense	$ 620,353	$ 441,986	$ 1,666,420	$ 1,063,182
Deferred payments due on demand (maximum per 7 days)	$ 250,000		$ 250,000

Line of Credit (Details)

Line of Credit (Details) - USD ($)	Feb. 10, 2021	Sep. 30, 2021	May 11, 2021	Sep. 30, 2021	Sep. 30, 2021	Sep. 30, 2020
Debt Instrument [Line Items]
Termination fee paid to exit previous loan					$ 1,000,000	$ 0
Amortization of debt issuance costs					$ 500,202	$ 312,791
Less Than One-third | Maximum
Debt Instrument [Line Items]
Unused capacity of the Facility (percent)		33.33%		33.33%	33.33%
Between One-third and Two-thirds | Minimum
Debt Instrument [Line Items]
Unused capacity of the Facility (percent)		33.33%		33.33%	33.33%
Between One-third and Two-thirds | Maximum
Debt Instrument [Line Items]
Unused capacity of the Facility (percent)		66.67%		66.67%	66.67%
More Than Two-thirds | Minimum
Debt Instrument [Line Items]
Unused capacity of the Facility (percent)		66.67%		66.67%	66.67%
Line of Credit | Receivables Funding Facility
Debt Instrument [Line Items]
Funding facility	$ 250,000,000
Term of facility from the agreement date	28 months
Capacity committed (as a percent)	50.00%
Capacity committed	$ 125,000,000
Capacity available for expanding funding capacity (percent)	50.00%
Outstanding line of credit balance		$ 5,000,000		$ 5,000,000	$ 5,000,000
Borrowings as a percentage of eligible notes receivables pledged (percent)	90.00%
Notes receivables pledged		129,512,429		129,512,429	129,512,429
Unused borrowing capacity		87,769,996		87,769,996	87,769,996
Weighted average interest rate (percent)	5.25%
Interest expense		185,035			1,172,366
Unused facility fee (percent)			0.50%
Prepayment exit fee (percent)	0.75%
Amortization of debt issuance costs		189,727			500,202
Cumulative cash payments of debt issuance costs		$ 1,698,190		$ 1,698,190	$ 1,698,190
Line of Credit | Receivables Funding Facility | Less Than One-third
Debt Instrument [Line Items]
Unused facility fee (percent)				0.65%
Line of Credit | Receivables Funding Facility | Between One-third and Two-thirds
Debt Instrument [Line Items]
Unused facility fee (percent)				0.50%
Line of Credit | Receivables Funding Facility | More Than Two-thirds
Debt Instrument [Line Items]
Unused facility fee (percent)				0.35%
Line of Credit | Receivables Funding Facility | FICO Score Less Than 580
Debt Instrument [Line Items]
Borrowings as a percentage of eligible notes receivables pledged (percent)	85.00%
Line of Credit | Receivables Funding Facility | LIBOR | Class A Senior Lender
Debt Instrument [Line Items]
Spread on variable rate (percent)	3.375%
LIBOR floor rate (percent)	0.25%
Line of Credit | Receivables Funding Facility | LIBOR | Class B Mezzanine Lender
Debt Instrument [Line Items]
Spread on variable rate (percent)	10.689%
LIBOR floor rate (percent)	0.25%
Line of Credit | Previous Line of Credit
Debt Instrument [Line Items]
Termination fee paid to exit previous loan	$ 1,000,000

Long Term Debt (Details)

Long Term Debt (Details) - USD ($)	Jun. 24, 2021	Apr. 14, 2020	Sep. 30, 2021	Sep. 30, 2020
Debt Instrument [Line Items]
Payment of accrued interest			$ 3,611,852	$ 2,709,578
U.S. Small Business Administration’s (SBA) Paycheck Protection Program (PPP) Loan | Uncollateralized Forgivable Loan
Debt Instrument [Line Items]
Loan proceeds received		$ 1,220,332
Repayments of loan principal	$ 1,220,332
Payment of accrued interest	$ 14,779

Commitments and Contingencies (

Commitments and Contingencies (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Dec. 31, 2020
Other Commitments [Line Items]
Marketing, advertising, and tradeshows	$ 2,323,145	$ 589,191	$ 5,699,154	$ 1,413,739
General and administrative	4,320,404	1,871,439	10,609,726	3,594,256
Co-Branded Marketing
Other Commitments [Line Items]
Marketing, advertising, and tradeshows	1,000,000		36,000,000
General and administrative	1,611,495	$ 323,044	4,071,057	$ 656,609
Prepaid expenses	$ 442,000		$ 442,000		$ 211,000

Short and Long-Term Incentive_2

Short and Long-Term Incentive Plans (Details)	Jun. 10, 2021USD ($)	May 22, 2020$ / shares	May 22, 2020$ / shares	May 31, 2020	Sep. 30, 2021USD ($)	Sep. 30, 2020USD ($)	Sep. 30, 2021USD ($)	Sep. 30, 2020USD ($)	Dec. 31, 2020USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Conversion of liability-classified incentive awards to stockholder's equity	$ 9,293,035				$ 0		$ 9,293,035
Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Accruals					4,098,230		4,098,230		$ 2,133,806
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shareholder Total Return testing period				3 years
Continuous employment period				3 years
Vesting period				3 years
Exercise price (in A$ per share) | $ / shares		$ 2.10
Value of grants as a percentage of salary (percent)		300.00%	300.00%
Value of grants as a percentage of annual salary (percent)		100.00%	100.00%
Fair value of options (in USD per share) | $ / shares			$ 0.64
Expense recognized					$ 1,202,057	$ 2,917,633	$ 6,059,178	$ 3,548,105

Stockholders_ Equity (Details)

Stockholders’ Equity (Details)	Jul. 19, 2021USD ($)$ / shares	Jul. 14, 2021USD ($)	Sep. 30, 2021USD ($)	Sep. 30, 2020USD ($)	Jul. 19, 2021$ / shares
Class of Stock [Line Items]
Payments of issuance of cost			$ 2,768	$ 2,484,504
Discover | Common Stock
Class of Stock [Line Items]
Sale of stock, consideration received per transaction	$ 30,000,000
Shares price (in usd per share) | (per share)	$ 6.58				$ 8.83
Payments of issuance of cost		$ 2,768