Approved Amount

• Funded amounts typically range from $10,000 to $5,000,000, depending on the business’s needs.

• The approved amount is tailored based on factors such as business revenue, credit history, and financial stability.

• Larger funding amounts are available for businesses with strong financial performance and proven cash flow.

• The approved amount can also be influenced by the use of the funds (e.g., inventory, equipment, working capital).

Revenue Based Financing

Revenue-based financing (RBF), also known as sales-based financing, is a type of funding for businesses that provides access to an upfront sum of working capital in exchange for a portion of the business’s future revenue. The business then remits payment to the RBF provider according to the payment schedule (typically Daily, Weekly or Monthly), until a total amount, agreed to upfront, has been paid in full, This financing solution ensures businesses can maintain operational efficiency while addressing immediate cash flow gaps. RBF is often used to cover short-term needs like inventory, payroll, marketing, or equipment purchases.

Working Capital Terms

• The Working Capital is repaid through a percentage of business sales.

• The repayment period is flexible, typically up to 24 months, depending on the business revenue.

• No collateral is required for Revenue- Based Financing, making it a faster and easier funding option.

• The approval process is simple and fast, with minimal documentation required, often based on the business’s financial performance.

Rates

• No Interest or APR: RBF is not a loan. Instead of interest, the provider purchases a set amount of your future receivables at a factor rate that is disclosed upfront.

• Purchase Price & Receivables Amount: You receive an upfront sum (purchase price), and you agree to deliver a total receivables amount, which includes the factor.

• Remittance Method: Payments are typically made daily, weekly, or monthly, either as a fixed amount or a percentage of your revenue, until the receivables amount is fully satisfied.

• Business Use Only: Proceeds may be used for ordinary business purposes such as inventory, payroll, marketing, or equipment.

• Remittance Method: Payments are made through daily, weekly, or monthly remittances, either as a fixed amount or as a percentage of revenue, depending on your agreement.

• Delivery Period: The timeframe to satisfy the receivables amount is estimated (often 6 to 24 months) but may vary based on actual business revenue.

• Cash-Flow Alignment: Because remittances are tied to revenue, the structure is designed to flex with your business’s cash flow.

• Once the total receivables amount is delivered, the obligation is complete. If you choose to deliver early, an early-delivery discount may apply, as specified in your contract.

Repayment

Eligibility

• Working Capital: To cover day-to-day operational expenses and manage cash flow gaps.

• Inventory Purchases: To stock up on inventory or raw materials for business operations.

• Equipment Financing: To purchase or upgrade equipment, machinery, or technology.

• Business Expansion: To support growth initiatives, such as opening new locations or launching new products.

• Debt Consolidation: To consolidate higher-interest debt into a single, more manageable payment.

• Marketing and Advertising: To fund marketing campaigns, ads, and promotional efforts to attract more customers.

• Emergency Expenses: To cover unexpected costs, such as urgent repairs or unforeseen operational needs.

How Working Capital Can be used for

• Business Duration: Your business should have been operating for at least 6 months to 1 year.

• Credit Score: A credit score of 500 or more is required, though businesses with higher scores may qualify for better rates.

• Monthly Revenue: A consistent monthly revenue, usually at least $10,000 to $15,000 in sales.

• No Collateral: No collateral is required, making it a more accessible option for businesses without assets to pledge.