Revenue Based Loans

  • Revenue-based financing is a method that businesses can turn to, to secure debt by pledging a percentage of future ongoing revenues in exchange for an immediate source of funding.
  • A portion of revenues will be paid to investors at a pre-established percentage until a certain multiple (aka factoring) of the original investment has been repaid.
  • Revenue-based financing is usually considered distinct from both debt and equity-based funding.
  • Examples of revenue based funding available through ESU-Global are