Revenue Based Funding - YouTube

What's up Facebook, Ty Crandall with Credit Suite  today we are talking about revenue lending loans.  

We're going to talk about how you can get money for your business based on your cash flow only now.

I call this the 3 C's of lending formula to  get approved for financing and if you want to  

get any kind of loan or credit line there's  really one of 3 things that you need, cash  

flow, credit, or collateral. Well if you have cash  flow then you don't really need collateral and  

you don't need good credit to get financing for  your business and today we're going to be talking  

about how to do this through what's called cash flow financing, now we're making some

adjustments on Facebook live we're back after a long hiatus to get some of our tech issues worked

out I know some of it's a little back and forth with what you see on the video but I'm trying to work on  

audio with my AirPod, so hopefully that's going to  help and I think I may even have access to your  

comments today, but we're going to take a look and  see if we can get that technology to work like  

I hopefully it will work. So I can actually see  some of your comments as they're coming in as  

well so we will see how all of this plays out  today if not be patient as we get figured out  

our tech because a lot of cool things will be  coming as soon as we do get these things figured  

out. So let's go to the chalkboard so today we're  talking about revenue lending we're talking about  

remarkable revenue lending loans and credit  lines so what you need to know about this is  

that when we talk about revenue lending this is  an alternative kind of financing you don't need  

collateral you don't need good credit to qualify  and unlike angel investing venture capital you're  

not giving up a percentage of equity in  your business to be able to get approved

like I said revenue financing it really comes down  to you being able to qualify for financing based  

strictly on how you actually manage your bank  account, and that's what we're going to be diving  

into in decoding and dissecting today. So  first of all revenue based funding details let  

me kind of give you an idea of how this works  so the approval is based on your bank account  

management okay credit and collateral don't  typically matter. So let's talk about it about  

what they're actually. So I just did a session  on this the other day on YouTube if you want  

to check it out go to youtube.com/creditsuite here's what you need to know. When  

it comes to bank account management there's  several things that lenders are basically  

looking forward to determine if you actually meet  the criteria that you meet to need to meet to be  

able to get approved now this criteria includes  how well you manage your bank account do you  

have non-sufficient funds do you have positive  cash flow mean to have more money going in your  

bank account than going out, you have a lot of  transactions a lot of deposits versus just a  

few do you have a positive ending bank balance  at the end of each month. These are the type of  

things they're really looking for to determine if  you're going to qualify for these kind of loans if  

you manage your bank account responsibly there's  a very good chance that you're then able to turn  

around and get approved so the other thing you  should know is most of these lenders are looking  

for basically one of two things 12 months  time in business that's what TIV means and ten  

thousand a month in actual revenue you need both  of these to get approved with most lenders okay  

there's two kinds of this this type of financing  there's what's called merchant cash advances those

only look at your merchant account transactions  those look at your transactions basically of  

what's taking place going on through credit card transactions only. Revenue financing looks at the  

money go into your bank account through cash  deposits and checks as well so typically for  

merchant cash advances if all you want to use  is just the actual deposits in your merchant  

account you can get approved with 6 months time  in business and only 5,000 a month in revenue but  

most lenders with this kind of financing that are  looking at all of your revenue including checks and  

deposits what they're going to want to see is that  you've got 12 months time in business and that  

you've actually got 10,000 a month in monthly  revenue. You see those two criteria right here  

advertised in an ad on Facebook etcetera that's typically what they're looking for. So let's talk  

about some sources that can help you here fundbox you can go creditsuite.com/fundbox  

to get approved. Now this is where you can get a  line of credit with a 6-month payback term with  

rates under 5% now you only need 3  months time and business at about 5,000 a 

month an annual revenue and this is the future of  lending this is based on artificial intelligence  

comes to Fundbox is one of my favorite credit  lines is one of the easiest to be able to get  

approved with. Now AI and how AI is changing  what's going on in lending is that instead of  

supplying bank statements like you will with a  lot of these lenders we're going to talk about  

today with AI what happens is they'll actually  have you log into your bank account through  

the approval process their system their computer  goes in does the analyzing they're automatically  

without manual review of your bank statements.  So it means it's much faster what I like about  

Fundbox you can get approved same day and typically fund the next day so it's much easier to get

done a lot of other type of alternative financing out  there a lot of other cash flow financing it's so  

fast because of how they're evaluating your actual  bank statements, another source I want to look  

at and I'm going to skip around here a little  bit becuse I want to look at BlueVine so BlueVine  

is very similar you can get up to 250,000 okay  typically with a credit line they're going to give  

you up to about 150,000 where Fundbox you're  going to get approved for about up to a hundred

okay they'll do weekly paybacks and they'll also do a 12-month term. So the payments are lower on

BlueVine when you actually use the credit line then  you're going to find with Fundbox because the term

is about twice as long okay rates are pretty low  they're going to want you to be business 6 months

and you're going to need a 600 FICO score or  higher to get approved okay and they're typically  

looking for about 100,000 or more an annual revenue. BlueVine and Fundbox I put a  

move together because they're both artificial  intelligence they both use AI to manage and  

to look at your bank account to see how you  manage that bank account and then determine  

your approval so they're very fast approvals again  the benefit of Fundbox is that it's probably easier  

not probably it's easier to get approved with than  felt them BlueVine but you get half the term you  

get a BLueVine. So your term is better with blue  line meaning the term is longer to pay it back  

so your payments are lower okay but with funbox  it's a little bit easier to get approved both of  

them are very fast approvals though because  they're using this artificial intelligence  

we come in and get you. So let's take a look at  another one of these sources. Well let's look

OnDeck, now OnDeck is the biggest source when it  comes to revenue financing, okay they're a publicly  

traded company you can get up to $500,000 in financing for them you can  

also get a line of credit with them as well for  100,000 with a payback term of about  

six months so they offered lines of credit and  they offer loans now they'll get you approved  

as low as 500 FICO score they want  you to be in business 9 months or more and  

they really prefer 12 months as well and no  bankruptcies in the last 2 years. So OnDeck is  

probably again notable source in the space when it  comes to revenue financing they're the most well  

known not to say that pricing is the best but  again they're very very popular in this space.  

So if you're just looking for a typical revenue  loan up to a half million dollars then you can  

typically go to OnDeck great source for that. Now  let's talk about loan approvals I say up to

$250,000 up to 100,000 up to 500,000 the way the revenue  

financing typically works is you're able to get  financing for about 10 to 12% of your  

annual revenue. So whatever your annual revenue is you're typically able to get a line or credit or a  

loan for about 10 to 12% of that for  example if you do $500,000  

in finance or 500,000 in revenue  in your business you're typically able to get  

financing for about 10 to 12% of that which is about what 50 to  

$60,000 in financing I'm checking in on  my comments it does look like you can see your  

comments right now based on what's going on but I will get that figured out in the future so we have  

this working. So I will go back in our Facebook  live post and I will go into the comments and  

Facebook and I will answer your comments if you're here with me live. So again when it comes

down to how much money you're going get approved with it's based on how much your revenue   

is you're typically getting it approved for about 10 to 12% of whatever that annual revenue is, now  

beyond on debt, Kabbage is one of my all-time  favorite lenders okay you'll be able to get  

up to $250,000 in financing you can even get monthly payments with  

them which is it common with revenue lending a lot  of times its daily payback they're taking money  

daily out of your bank account sometimes weekly  sometimes monthly, one year time in business

about 50,000 and your revenue and you can get approved with a 560 FICO score. Now you can go to

creditsuite.com I think creditsuite.com/kabbage or you can go to Kabbage direct gave  

you able to get aprove of that as well. Now let's  look at okay with this you're able to get over of  

your look about a up to a million dollars is what  you're able to get approved with, okay depends on  

your revenue okay so another really good option  to get even more money if you have higher revenue  

and again they want to see that you've been in  business at least one year, you can go to

lightercapital.com to get approved for that. To other sources I'm going to mention real quick before

we wrap up SmartBiz, okay they also offer SBA loans for 30,000 to 5 million dollars very  

low APRs compared to most revenue financing  and longer loan terms so this is the key if  

you want low payments the longer loan term makes a big difference and again with this a lower

rate also makes a big difference, but they want you  to have mid 500 FICO scores and two  

years time and business what about this revenue  lending gets a bad wrap and it's typically because  

the rates are pretty high you could pay 20 30 40%  interest rate on revenue financing but let  

me tell you something I've also got these kind of  loans and only paid 8% interest rates  

here's the difference if you have good credit if  you're in a low risk industry if you have good  

time in business if you manage your bank account  responsibly those kind of things can actually get  

you pretty good pricing on this kind of financing.  So don't believe the height that you're only going to

get really high rates for this finances you find  the right lender that likes your industry and  

you've got lower risk factors like better time  and business and better credit then you're able  

to typically get approved with lower rates, but the  great thing about this kind of financing even if  

you're in a high risk industry even if your credit  is low even if your time and business is short  

you're still able to get approved at the terms  obviously aren't as favorable because the risk  

is much higher. So gives you an idea of what to  expect a time frame when it comes to actual terms  

and when it comes to time frame you're typically  able to get approve of this kind of financing  

and get funded within 72 hours or less. It's very fast  financing it's very easy financing if you're not  

using one of the artificial-intelligence lenders  that we talked about the AI lenders like Blue  

Vine or like Fundbox then you're typically going to  have to submit it up to 6 months worth of bank  

statements to get approved okay but outside of  that they'll do a review at about 72 hours you're  

able to get approved and get. So let's wrap up with  one more GSO Capital okay 200,000 to

$1,000,000 they deal with higher amounts of money they really deal with software a service

company. So if you're in that kind of industry if in this special niche of SAS companies then you want

to go check out gstcapital.vc that's a great option  to go with as well so a lot of different options  

we talked about here today. Revenue lending fast  easy money very easy to get approved with

Fundbox my personal favorite creditsuite .com/fundbox very easy and fast to get approved

another one that's similar is BlueVine you  get more money in better terms but they have  

a 600 FICO score requirement a little bit  harder to get approved for that kind of financing.  

Kabbage one of my absolute favorite online lenders one of the favorite online lenders one

of the easiest credit lines you're going to find  to get approved with they're pretty lenient  

with credit scores time in business etc., one of my  easier sources to be able to get financing and one  

that I love quite a bit, and then OnDeck they're  the biggest in the revenue space we can't forget  

about them you can get loans up to 500,000 nine month time in business you can get  

approved with as low as a 500 score  and they're doing some different things here  

even giving you access to lines of credit even  kind of hybrid type loans that are a little bit  

advanced from typical revenue lending and we  talked about a couple other niche type lenders  

like Lighter Capital like SmartBiz even GSD  that deals with SAS companies as well. If you're  

interested in getting approve of funding your  business go to creditsuite.com/getfunding  

creditsuite.com/getfunding really unique about us here at Credit  

Suite first of all we never charge you a dime  of money to get approved for financing don't get  

me wrong going to pay normal rates and terms and  fees that the lender is going to charge, okay but  

we even negotiate that to get that better for you  and then what happens is we typically get referral  

fees from the lender but we see do so much volume and funding with the lenders that we're

typically able to get you even better terms and you get with them directly and we deal with over a

thousand lender here at Credit Suite over a thousand lenders every legitimate type of funding

program revenue lending is one of like 50 types of programs that we deal with, so the nice thing is is

that when you're working with us we can get you the most amount of money at the best terms because

we deal with over a thousand lending sources and we deal with every legitimate funding program

that's out there today. So I'm going to go ahead and wrap this up stay patient with us because in the future.