Business funding can look like an overwhelming menu of products : advances, lines, term structures, factor facilities, guarantees. Underneath, though, every structure answers the same three questions: how much funding, over what period, and repaid how?
This overview walks through those questions so the rest of the Answer Center reads like detail, not a foreign language.
The three questions every structure answers
How much? Availability depends on revenue, assets, credit, and the purpose. Asset-backed structures size against collateral; cash-flow structures size against revenue.
For how long? Terms range from weeks (short-term advances) to decades (commercial real estate). Longer terms usually mean lower periodic payments but more total cost.
Repaid how? Fixed schedules, percentage-of-revenue remittances, or payoff from collateral conversion (a sale, collected invoices).
The main families of business funding
- Cash-flow based: working capital, term financing, lines of credit, revenue-based structures
- Asset-based: equipment financing, factoring, receivables financing, asset-based lending
- Real estate: purchase, refinance, construction, bridge, investment property
- Government-guaranteed: SBA 7(a) and 504, delivered through participating lenders
What providers actually evaluate
Almost every provider weighs some mix of revenue consistency, time in business, credit profiles, existing obligations, and the purpose of the request. The weighting differs : a factoring company cares about your customers' payment behavior; a term lender cares about cash-flow coverage.
Understanding which factor dominates your chosen structure is the single best way to improve your outcome.
How repayment differs
Fixed schedules are predictable; percentage-of-revenue remittances flex with sales; collateral conversions (a property sale, collected invoices) repay in a single event. Match the rhythm to how your revenue actually arrives : this single decision prevents most repayment stress.
Frequently Asked Questions
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If this topic relates to a funding need you have, you can begin a funding request through Kennify's financing partner at any time.