Revenue-Based Financing

Maximize your funding amount by leveraging your business’s cash flow effectively.

How Do You Qualify for Business Equipment Financing?

1+ Year in Business

$500,000+ in Annual Revenue

Lowest Rates, Longest Terms, & Highest Amounts

Funding Amount

Up to $100MM


Up to 25 years

Time to Fund

1 to 7 days

How It Works!

The funding you require to achieve your full potential is
just a few clicks away.

Complete our simplified application process in minutes and securely upload your business documents with no risk involved.

Apply Now

Review and compare your options with guidance from our experienced team, ensuring you choose the best fit for your unique situation.

Armed with your funds, you can confidently seize opportunities and overcome challenges.

Revenue-Based Financing FAQs

Revenue-based financing is particularly advantageous for startups, young businesses, and those lacking a robust credit history needed for traditional loans. Its accessibility and quick funding times make it ideal for businesses requiring short-term capital.

However, revenue-based financing isn’t limited to these categories alone. It’s a viable option for any business seeking to achieve its goals. Whether your annual revenue is $500,000 or $5 million, National Business Capital can assist in connecting you with the appropriate lender tailored to your unique business needs.

Revenue-based financing and traditional business loans indeed differ significantly in their structure and legal frameworks:

  1. Nature of Financing:

    • Revenue-based Financing: In revenue-based financing, the lender provides funds based on a percentage of your future sales. This is not considered a loan in the traditional sense; instead, it’s an advance against future revenue.
    • Small Business Loans: Traditional business loans involve a lender providing a fixed amount of funds, which the borrower repays over a set schedule with interest.
  2. Repayment Structure:

    • Revenue-based Financing: Repayment is made through a portion of your future revenue. There are no fixed monthly payments; rather, repayments fluctuate based on your sales.
    • Small Business Loans: These loans have fixed monthly payments over a specified term, which can extend up to 25 years depending on the loan agreement.
  3. Term and Duration:

    • Revenue-based Financing: Typically, revenue-based financing is short-term, with agreements often repaid within a year or less. This aligns with the intention of providing quick, short-term capital.
    • Small Business Loans: These loans can have much longer repayment terms, allowing businesses to spread out their payments over several years.
  4. Cost and APR:

    • Revenue-based Financing: While revenue-based financing may have a higher APR compared to traditional loans, the shorter repayment period means businesses spend less time in debt overall.
    • Small Business Loans: APRs can vary widely but are generally lower for traditional loans due to longer repayment terms and fixed schedules.

In summary, revenue-based financing offers flexibility and speed in accessing capital, leveraging future revenue as collateral. It’s particularly beneficial for businesses needing short-term funding solutions or lacking established credit histories. Conversely, traditional business loans provide structured financing with fixed payments over a longer period, suitable for larger investments and stable cash flow management.

It’s true that revenue-based financing can be more flexible when it comes to credit score requirements compared to traditional lenders like banks and credit unions. Here’s a breakdown of how credit scores and other factors play into securing revenue-based financing:

  1. Credit Score Importance:

    • Traditional Lenders: Banks and credit unions typically emphasize credit scores heavily in their loan approval process. Higher credit scores can lead to better terms and lower interest rates.
    • Online Lenders: Many online lenders that offer revenue-based financing are more focused on factors like annual revenue, business performance, and growth potential rather than solely relying on credit scores. This makes them more accessible to businesses with less-than-perfect credit histories.
  2. Focus on Business Metrics:

    • Annual Revenue: Revenue-based financing lenders look closely at your business’s annual revenue to determine your ability to repay. A strong revenue stream can compensate for a lower credit score.
    • Time in Business: The length of time your business has been operating is another critical factor. Established businesses with a proven track record may have an advantage in securing financing.
    • Growth Potential: Lenders may also consider your business’s potential for growth and its ability to generate future revenue.
  3. Online Lenders vs. Traditional Lenders:

    • Online Lenders: These lenders often have streamlined application processes and may offer quicker funding decisions. They are more likely to consider alternative factors beyond credit scores to assess creditworthiness.
    • Traditional Lenders: Banks and credit unions may have stricter requirements and longer approval processes. They typically place greater emphasis on credit scores and may require extensive documentation.

In summary, while a good credit score can improve your chances of securing favorable financing terms, revenue-based financing offers an alternative for businesses with less-than-ideal credit. It emphasizes business metrics like revenue and growth potential, making it accessible for both new ventures and established businesses looking to expand.

It sounds like National Business Capital offers a streamlined and efficient process for revenue-based financing, ensuring businesses can access funds quickly and conveniently. Their approach seems focused on leveraging technology to provide multiple competitive offers through a single digital application, with personalized guidance from Business Finance Advisors. This setup can be particularly beneficial for businesses looking to secure fast funding without the delays typically associated with traditional lenders.

Secure the Best Business Line of Credit in 2024

  • Paperwork
  • Application
  • Number of Lenders
  • Service Level
  • Approval Process
  • Speed to Funding
  • Collateral Requirements
  • Business Profitability
  • Credit Score
  • Credit Check
Successful Funds  
  • 3 Months Bank Statements
    No Tax Returns Required
  • One Page – One Minute
  • 75+
  • Business Advisor
  • Hours/Days
  • Hours/Days
  • Not Necessary
  • Not Necessary
  • No Minimum FICO
  • Soft Pull
  • 2-3 Years Tax Return
    2-3 Years Financials
  • Lengthy
    Paper Intensive
  • 1
  • Processor
  • Weeks/Months
  • Months
  • Always
  • Last 2 Years
  • 680+ FICO
  • Hard Pull
Direct Lenders  
  • 2-3 Years Tax Return
    2-3 Years Financials
  • Lengthy
    Paper Intensive
  • 1
  • Processor
  • Weeks/Months
  • Months
  • Always
  • Last 2 Years
  • 680+ FICO
  • Hard Pull

Customer Reviews