Revenue based financing (RBF) is funding designed for businesses with variable revenue. Instead of fixed payments that don't care about your weekly performance, RBF payments scale with your actual daily sales.
For businesses with seasonal or unpredictable revenue, RBF is often the most operator-friendly funding structure available.
How RBF Works
After approval, you receive a lump-sum advance. In exchange, you agree to remit a fixed percentage of your daily credit card sales until you've paid back the agreed total. Strong sales weeks accelerate repayment; slower weeks barely make a dent.
When RBF Makes Sense
- Highly seasonal operations
- Weather-dependent businesses
- Newer businesses with variable revenue
- Operators reluctant to commit to fixed payments
