Slow week, smaller payment.
Funding from $25,000 to $2 million repaid as a fixed percentage of daily receipts — so the obligation moves with your revenue instead of against it.
The only product here that breathes with your business
Instead of a fixed dollar debit, you agree to remit a set percentage of daily sales — commonly 5% to 15%. Strong day, larger remittance. Slow day, smaller one. Zero sales, nothing leaves the account.
That is a genuinely different risk profile than a fixed payment. A seasonal retailer with a dead January does not face the same debit they faced in December. A restaurant that closes for two weeks does not get drained while the doors are shut.
The tradeoff is that you do not know exactly when it ends. A strong quarter retires it faster; a weak one stretches it out. You are trading certainty of duration for protection against a bad month.
| Amount | $25,000 – $2,000,000 |
| Repayment | 5% – 15% of daily receipts |
| Estimated duration | 6 – 18 months |
| Speed to funding | 24 – 72 hours |
| Fixed maturity date | No — duration varies with sales |
| Collateral | None — personal guarantee typical |
| Pricing model | Factor rate |
| Renewal | Eligible at 50% remitted |
Where this works — and where it doesn't
Every financing product is wrong for someone. Here is who this one is wrong for.
A good fit when
- Your revenue is seasonal, cyclical or genuinely unpredictable
- You process a high volume of card or daily transactions
- A fixed daily debit would be dangerous in your slow stretch
- You are funding inventory ahead of a season you can see coming
- E-commerce, retail, restaurants, hospitality and events
Look elsewhere if
- Revenue is steady and predictable — a term loan will cost you less
- Margins are thin enough that losing 10% off the top of sales hurts operations
- You need a defined end date for planning or covenant reasons
- You already have another remittance running against the same deposits
- You want the lowest possible cost of capital — this is not it
What it takes to qualify
How this is priced
A factor rate, with a duration you do not control
Like a working capital advance, you agree to a total repayment amount up front — the advance multiplied by a factor rate, typically 1.12 to 1.40. What differs is the pace: the percentage stays fixed, so the calendar flexes.
The subtlety worth understanding: because the total is fixed and the duration is not, a great sales quarter means you pay the same dollars in less time — which raises the effective annualized cost. Paying it off "early" here is not the saving it would be on a term loan. Ask specifically whether early-remittance discounts apply to your offer.
Your offer will state the advance amount, the total remittance, the holdback percentage, and an estimated duration based on your trailing revenue — plus the effective annualized cost at that estimate.
Revenue-Based Financing FAQ
Underwriting sets it against your trailing deposit history, targeting a remittance your business can absorb without strain — usually so the estimated duration lands in the six to eighteen month range. You can often negotiate a lower percentage for a longer estimated duration.
Remittance stops with them, which is the core protection this product offers. Sustained zero revenue will trigger a review and you must not divert deposits to another account — doing so is a default and is treated seriously. Call your advisor before you have a problem, not after.
The advance debits a fixed dollar amount on a fixed schedule; this remits a percentage of what you actually collect. Steady revenue makes them nearly identical. Volatile revenue makes this one considerably safer and the advance considerably riskier.
Usually not much, and that is the honest answer. The total remittance is fixed at signing. Some agreements include an early-remittance discount; many do not. Get this specific answer in writing before you sign — it is the question most applicants forget to ask.
Yes, typically once you have remitted about half the total. Renewals commonly come at better terms, since you now have a performance history with us. Roughly three in four of our revenue-based customers renew at least once.
Compare other options
One application puts all six in front of you.
Working Capital
The fixed-payment version. Simpler, and cheaper if your revenue is steady.
Business Line of Credit
If the seasonal gap is predictable, a line you draw and repay costs less.
Business Term Loan
The lowest-cost option if you can carry a fixed monthly payment year-round.
Funding that respects a slow month
Connect three months of statements and see the holdback percentage you would actually pay.