Flexible Repayment Based On Your Revenue With Revenue-Based Financing In Singapore

Most RBF partners do not require personal guarantees, as the focus is placed on your digital store's actual performance rather than personal collateral. This allows you to ring-fence your personal assets and family home from business liabilities.

While the flat fees may be higher than bank interest rates, RBF should be viewed as a "Cost of Growth" that prevents lost revenue from stockouts. The ability to capture immediate high-margin opportunities often results in a higher net profit than waiting for traditional financing.

Rather than a fixed interest rate, these loans use a fixed upfront cost, meaning your effective interest rate increases if you repay faster due to strong sales. Conversely, if your revenue slows down, the repayment period extends, which effectively lowers your interest rate.

Due to the level of administration involved in doing projections and forecasts, and also linking certain sales systems, revenue-based financing can take longer than a regular unsecured loan. Nonetheless, this can take as short as 2-3 weeks to as long as 1-2 months, depending on the level of administrative capacity of the SME.

In addition to standard financial and guarantor documents, you must provide sales records from platforms like Stripe or Shopify and a forecast of future sales. Lenders also typically require connectivity to accounting software such as Xero to monitor real-time business performance.