Revenue-Based Financing 2026: How It Works, What It Costs, and Who It Suits
Key Takeaways: * RBF links payments to your sales—but it is not automatically "flexible" or affordable * A slowdown in sales reduces the
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Explore topic →Key Takeaways: * RBF links payments to your sales—but it is not automatically "flexible" or affordable * A slowdown in sales reduces the
Key Takeaways: * Multiply eligible receipts by the collection percentage—then check for any separate minimum, fixed-payment cap, fees, or balance limit * The first
A standby letter of credit and a bank guarantee both pay on a demand, not on proof of default. How they differ in rules, wording and US bank practice.
Confirmation adds a second bank's promise to pay. What it covers, what it does not, and when an exporter's bank may be asked to confirm a credit.
Letters of credit, standbys, guarantees, collections and bonds: what each trade finance instrument does, who carries the risk and which rules apply.
Sweat equity is ownership given for work instead of pay. How it is documented, why the IRS treats it as compensation, and what vesting changes.
Non-dilutive funding is money raised without selling equity. What counts, what only looks non-dilutive, and what it takes instead of ownership.
A startup grant is money you do not repay and do not give equity for. What it really costs, who actually funds one, and why the SBA is not the answer.
Runway is how many months of cash a startup has left. Here is the arithmetic, the assumptions that quietly change the answer, and who to ask.
Gross burn is all the cash going out. Net burn is what is left after money comes in. Here is how the two differ and where both numbers mislead.
A slow month can reduce the amount your financing provider takes from each day’s sales. It does not necessarily reduce the payment you
The accelerator vs incubator difference comes down to time, equity and who funds the program. Neither word is defined, so check the contract.