Revenue-Based Financing

Revenue-Based Financing (RBF) is a flexible funding option for businesses where investors provide capital in exchange for a percentage of future revenue. Unlike traditional loans with fixed payments, RBF adjusts based on the business's performance. This means if the revenue is low, the payment is lower, and when it’s high, the payment increases. RBF is typically used by startups and growing companies that want to avoid giving up equity or taking on debt. It allows businesses to access funds while aligning the investors' interests with their growth trajectory.