Revenue-based funding is a capital structure where a business receives upfront capital in exchange for a percentage of future revenue until the funded amount (plus a flat fee) is repaid. Unlike a traditional loan with fixed monthly payments, repayment amounts flex with your revenue — slower months mean lower payments, stronger months mean faster payoff.
Bankable's specific structure is tranche-based: funding is provided in tranches (installments) sized to your business's monthly revenue. An initial tranche of $150,000 for a business generating $80,000/month in revenue would be repaid over 3 to 6 months through daily or weekly ACH deductions from your business account, typically 10 to 20 percent of daily deposits. Once the first tranche is repaid, a second (usually larger) tranche becomes available without a new application.
Revenue-Based Funding vs. Traditional Loans: Key Differences
| Feature | Traditional Bank Loan | SBA 7(a) | Bankable Revenue Funding |
|---|---|---|---|
| H-1B Eligible? | Rarely | No (March 2026+) | Always yes |
| Decision Speed | 3–6 weeks | 30–90 days | 48 hours |
| Repayment | Fixed monthly | Fixed monthly | % of revenue (flexible) |
| Collateral | Required | Required | Not required |
| Max Amount | Varies | $5M (if eligible) | $5M |
Who Should Use Revenue-Based Funding?
- H-1B business owners with $15,000+ in monthly revenue who cannot access traditional bank financing
- Businesses with seasonal revenue patterns where fixed monthly payments would be burdensome in slow seasons
- Companies that need capital faster than 30-day bank underwriting allows
- Businesses that don't have physical collateral to pledge
To see how revenue-based funding applies to your specific business, complete the Bankability Assessment. For the SBA alternative comparison, see our SBA alternative guide.
Frequently Asked Questions
A capital structure where funding is provided in tranches based on business revenue, with repayment as a percentage of daily deposits rather than fixed monthly payments.
Revenue-based funding from Bankable has lower cost, larger amounts (up to $5M), and a structured tranche system. Merchant cash advances typically charge 40 to 80% APR equivalent and max at $500K.
It is structured differently from a traditional term loan — no fixed amortization schedule, no collateral requirement, and repayment tied to revenue performance. It is sometimes categorized as a merchant cash advance, but Bankable's tranche model is distinct.
Minimum $15,000 to $25,000/month in documented business revenue, depending on industry and funding amount requested.
Yes. Bankable's tranche structure is specifically designed for repeat access. As each tranche is repaid, subsequent tranches become available, often at higher amounts.
No. Bankable has zero residency requirements. H-1B, L-1, O-1, and other work visa holders all qualify for funding assessment based on business revenue alone.
Effective March 1, 2026, the SBA requires 100% US citizen or national ownership for all 7(a) and 504 programs. H-1B holders are completely excluded regardless of revenue or credit history.
48 hours from completed application. The Bankability Assessment at /bankability-score/ takes 30 seconds and gives a preliminary range immediately.