The global revenue-based financing (RBF) market is set to witness significant expansion, with Allied Market Research forecasting the sector to reach a staggering $42.35 billion by 2027.
As more startups seek flexible and alternative financing options to fuel their growth, revenue-based financing companies have emerged as key players in this rapidly evolving industry.
These innovative firms provide capital to businesses in exchange for a percentage of their future revenues, offering an attractive alternative to traditional equity financing.
In this article, we'll analyze the top revenue-based financing companies and other companies that offer revenue-based loans across the US, Asia, Europe and beyond–helping you find the best fit for your startup's needs.
What is a Revenue-based Financing Company?
A RBF company is a firm that provides capital to businesses in exchange for a share of their future revenues. This type of financing is conceptually similar to debt because it involves borrowing money upfront, with smaller payments over time, and a repayment of the principal at the end of the term.
However, unlike traditional loans, revenue-based financing does not accrue compounding interest. Instead, businesses pay a fee over a set term, typically ranging from 6 to 24 months, through fixed periodic installments.
For example, a business might receive upfront funding in exchange for a 10% fee. In a defined time frame structure, a lower term usually carries a lower fee. The repayment is made over the agreed-upon term, with the business paying back the principal plus the financing fee in equal installments.
Why Use Revenue-based Financing?
Revenue-based financing offers several advantages for startups and growing businesses, including:
- Faster access to funds compared to traditional financing
- Non-dilutive capital–no equity is exchanged
- Alignment of interests between the financing company and the funded business
- Scalability without the need for multiple rounds of equity funding
Revenue-based financing companies often have streamlined application processes and can provide funding quickly, sometimes within days or weeks, compared to the lengthy process of securing traditional loans or equity investments.
Additionally, RBF can be an effective way for businesses to scale their operations without the need for multiple rounds of equity funding, allowing them to maintain control and agility as they grow.
This type of financing offers startups and growing businesses a compelling alternative to traditional funding routes, providing them with the capital they need to accelerate their growth while maintaining control over their companies.
Top Revenue-based Financing Companies based in the US & Canada
Here are the some of the best RBF companies in the US:
- Efficient Capital Labs
Efficient Capital Labs (ECL) provides non-dilutive growth capital to B2B SaaS companies worldwide. Headquartered in New York with operations within the US and India, ECL offers revenue-based financing up to 65% of a company's projected annual recurring revenue, with transparent, flat fees between 10-12% (USD) or 12-15% (INR). You can choose your funding currency based on your company’s needs.
ECL's streamlined application process and fast turnaround times enable companies to access funding within 72 hours–empowering them to scale without giving up equity or control. Plus, with a 75% + repeat customer rate, the benefits for founders are clear.
ECL specializes in supporting early-stage SaaS startups, as well as cross-border startups - enabling it to make fairly priced offers rapidly, where other providers will not.
Sectors funded: B2B SaaS
Geographies covered: Underwrites customers across all geographies, must have or be willing to open a US or India entity
Funding amounts: Up to 65% of projected ARR, or $1.5 million
Funding currencies: USD, INR
Source of fund: ECL's own $100M debt facility
Funding eligibility:
- B2B SaaS companies with $100K+ ARR
- Operate or be willing to open a US or India entity
- Simple application process with funding in 72 hours
Receive funding in less than 72 hours with ECL
- Pipe
Pipe is a trading platform that enables companies with recurring revenue streams to access their revenue upfront by connecting them with investors. Founded in 2019, Pipe has over 8,000 companies on its platform, with more than 50% of the trading volume coming from non-SaaS markets such as property management and service-based businesses.
Sectors funded: SaaS, D2C subscription businesses, media and entertainment, service businesses
Geographies covered: US, UK
Funding amounts: $25,000 to $100 million
Funding currencies: USD
Source of fund: Institutional investors on the Pipe platform
Funding eligibility:
- Companies with recurring revenue
- Headquartered in the US or UK
- Not available for sole traders
- Capchase
Capchase is a fintech company that offers non-dilutive, revenue-based financing for software-as-a-service (SaaS) startups. With Capchase, entrepreneurs can obtain fast funding without giving up equity in their companies, unlike securing funding through venture capitalists or angel investors.
Sectors funded: SaaS
Geographies covered: Global
Funding amounts: $25k to $10M
Funding currencies: USD
Source of funds: VC-backed capital
Funding eligibility:
- Three or more months of runway
- $250,000–$1 million annual recurring revenue (ARR)
- Six months of available revenue history
- Clearco
Clearco is a business financing company that specializes in funding tech startups, offering equity-free capital to eCommerce, SaaS, online retailers, subscription companies, mobile apps, and marketplace businesses.
Founded by Andrew D'Souza and Michele Romanow, Clearco offers two main products: ClearCapital, a merchant cash advance-style financing, and ClearRunway, an invoice financing solution for SaaS companies.
Sectors funded: eCommerce, SaaS, online retailers, subscription companies, mobile apps, marketplace (beta)
Geographies covered: Global, UK-focused
Funding amounts: $10,000 to $20M
Funding currencies: USD
Source of fund: Funding group including Inovia, Founders Circle, and others
Funding eligibility:
- Average monthly revenue of at least $10,000
- At least 6 months of consistent revenue
- Operate as an LLC or corporation
- Founderpath
Founderpath offers SaaS companies an alternative financing model through a Term Loan or Factoring Agreement. While they no longer offer a revenue-based finance product on their website, they previously have and their current financing solutions are similar.
Companies sync banking data, subscription analytics, and other financial information to determine approval and term options. Recipients repay through fluctuating monthly MRR percentages over adjustable terms.
Sectors funded: SaaS
Geographies covered: Global with U.S. focus
Funding amounts: Up to 70% of ARR
Funding currencies: USD
Source of funds: VC-backed seed capital
Funding eligibility:
- SaaS companies with recurring revenue
- Minimum $500k or $3M revenue depending on loan type
- Customer contracts or more as collateral
Top Revenue-based Financing Companies based in Europe & the UK
Here are some revenue-based financing companies and other companies offering revenue-based loans in the UK and Europe.
- Uncapped
Uncapped is a startup loan provider headquartered in London that offers capital to eCommerce, SaaS, subscription, and other digital businesses seeking growth funds without dilution. Rather than loans, Uncapped provides merchant cash advance-style products for online businesses.
Companies can get upfront funding amounts from $10,000 up to $10 million, repaying over adjustable terms ranging from 2-24 months.
Sectors funded: eCommerce, SaaS, subscription, digital businesses
Geographies covered: Global
Funding amounts: $50k to $10M
Funding currencies: USD
Source of funds: Various investors
Funding eligibility:
- Online business model: eCommerce, D2C, SaaS, etc.
- 6+ months of operating history
- $100K+ in average monthly revenue ($10k+ for Amazon Sellers)
Read our full Uncapped Review here
- Re:cap
Re:cap is a European revenue-based financing platform that offers non-dilutive funding to subscription-based companies. The company provides funding up to 60% of a company's annual recurring revenue (ARR), with no warrants or guarantees required.
re:cap offers flexible repayment terms ranging from 12 months to 5 years, with customizable grace periods.
Sectors funded: Subscription-based companies
Geographies covered: Europe Union-based companies
Funding amounts: €10,000 to €5 million+
Funding currencies: EUR
Source of fund: VC-backed seed rounds
Funding eligibility:
- Legal entities in the EU
- You generate monthly recurring revenue (MRR)
- You have six months or more of runway
- Viceversa
Viceversa is an Italy-based revenue-based financing company that provides funding to online businesses across Europe. Founded in 2021, the company focuses on subscription models, SaaS businesses, eCommerce businesses, and online retailers.
Viceversa has raised a total of €23 million in funding, with €3 million in equity and €20 million in debt.
Sectors funded: Subscription models, SaaS, eCommerce, online retailers
Geographies covered: Europe
Funding amounts: €10,000 to €1 million
Funding currencies: EUR
Source of funds: VC-backed seed capital
Funding eligibility:
- Monthly revenue of at least €10,000
- More than 6 months of sales and growth records
- Online business model such as ecommerce
- Financial statements
- Karmen
Karmen is a revenue-based financing company founded in 2021 that offers funds to startups, direct-to-consumer businesses, SaaS companies, and businesses with continual revenue structures. In 2022, Karmen raised nearly €22 million, helping them fund several startups and eCommerce businesses in France.
Sectors funded: Startups, D2C, SaaS, subscription-based businesses
Geographies covered: France
Funding amounts: Up to 40% of the company's ARR
Funding currencies: EUR
Source of funds: €72 million in total funding
Funding eligibility:
- At least €10,000 in monthly revenue
- Be a startup headquartered in France
- No unpaid debts on the company
- Outfund
Outfund is a UK-based revenue-based financing company established in 2017 that provides RBF or fixed term loans to eCommerce businesses, B2B companies, SaaS companies, and mobile applications. The company is actively present in the USA, Australia, the UK, and Spain.
Sectors funded: eCommerce, B2B, SaaS, mobile applications
Geographies covered: USA, Australia, UK, Spain
Funding amounts: £10,000 to £2 million
Funding currencies: GBP
Source of funds: VC-backed seed funding
Funding eligibility:
- At least £25,000 in monthly revenue
- 12+ months in business
- Business registered in the UK
Top Revenue-based Financing Companies based in Asia & India
Here are some great revenue-based financing companies located throughout India and Asia.
- Efficient Capital Labs
Efficient Capital Labs (ECL) provides non-dilutive growth capital to B2B SaaS companies worldwide. Efficient Capital Labs has a headquarters in New York and an operational base in India. ECL offers revenue-based financing up to 65% of a company's projected annual recurring revenue, with transparent, flat fees between 10-12% (USD) or 12-15% (INR). You can choose your funding currency based on your company’s needs.
ECL's streamlined application process and fast turnaround times enable companies to access funding within 72 hours–empowering them to scale without giving up equity or control. Plus, with a 75% + repeat customer rate, the benefits for founders are clear.
ECL specializes in supporting early-stage SaaS startups, as well as cross-border startups - enabling it to make fairly priced offers rapidly, where other providers will not.
Sectors funded: B2B SaaS
Geographies covered: Underwrites customers across all geographies, must have or be willing to open a US or India entity
Funding amounts: Up to 65% of projected ARR, or $1.5 million
Funding currencies: USD, INR
Source of fund: ECL's own $100M debt facility
Funding eligibility:
- B2B SaaS companies with $100K+ ARR
- Operate or be willing to open a US or India entity
- Simple application process with funding in 72 hours
Receive funding in less than 72 hours with ECL
- Recur Club
Recur Club is an India-based revenue-based financing company that operates an online automated platform for recurring revenue financing exchange between growth-stage companies and institutional capital providers. The company aims to offer founders up to 50% of annual recurring revenue through flexible capital infusions linked to predictable subscription income streams.
Sectors funded: SaaS, companies with recurring revenue
Geographies covered: India
Funding amounts: Up to 20 crore ($2.4 million USD)
Funding currencies: INR
Source of funds: Network of six external capital partners
Funding eligibility:
- Minimum of $100,000 ARR
- Greater than one year since company was founded
- Greater than three months runway
Read our full Recur Club review here
- Choco Up
Choco Up is a revenue-based financing (RBF) company that offers non-dilutive growth capital based on percentage of future revenue. The company has invested more than $30 million across 8 countries and 10 business sectors, including electronic marketplaces, eCommerce, software-as-a-service (SaaS), direct to consumer (D2C), and mobile apps.
Sectors funded: Electronic marketplaces, eCommerce, SaaS, D2C, mobile apps
Geographies covered: Asia Pacific
Funding amounts: $10,000 to $10M
Funding currencies: USD
Source of funds: VC-backed capital
Funding eligibility:
- 6+ months of operating history
- $10k+ per month revenue
- GetVantage
GetVantage is an India-based revenue-based financing platform that provides non-dilutive funding to eCommerce, D2C, and SaaS startups. The company offers funding ranging from $20,000 to $500,000, with repayment terms based on a percentage of monthly revenue.
Sectors funded: eCommerce, D2C, SaaS
Geographies covered: India
Funding amounts: $20k to $1.3M
Funding currencies: USD
Source of funds: Network of external capital partners and GetVantage's NBFC, GetGrowthCapital
Funding eligibility:
- 12+ months of revenue history
- $6,000+ (₹5 lakh) in monthly sales
- 40%+ of payments processed online
Read our full GetVantage Review here
Bonus: Revenue-based Financing Company in South America
A55 provides a revenue-based financing option in South America:
A55
A55 is a Brazilian fintech platform that offers a revenue-based finance type product of digital credit based on the monthly income of digital companies. The company has received a Series B investment of US$16.3 million, led by Movile, with participation from Mouro Capital and other institutional capital and debt investors.
Sectors funded: Online subscription, e-commerce, and other digital companies
Geographies covered: Brazil
Funding amounts: Application needed
Funding currencies: USD
Source of funds: VC-backed seed funding
Funding eligibility:
- Company based in Brazil
- 6+ months of history
Work with the Best Revenue Based Financing Company For Your Startup
Choosing the right revenue-based financing partner is crucial for startups seeking non-dilutive growth capital. Among the various options available, Efficient Capital Labs (ECL) stands out as the best choice for B2B SaaS companies. With its transparent pricing, 72-hour funding process, and founder-friendly terms, ECL provides a seamless experience tailored to your startup's needs.
ECL's revenue-based financing offers upfront capital without equity dilution or loss of control, allowing you to focus on scaling your business. Their data-driven approach and global risk model ensure you receive the best rates and terms in the market.
Don't settle for less. Partner with ECL and unlock your startup's full potential.
Apply now at ecaplabs.com.
