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Who should use a Revenue Share?

A revenue share is best for early stage brick and mortar businesses making cash.  This is a promissory note that is paid back from a share of the revenues of the business. It's typically more exciting for investors than a standard loan. Since the payments vary based on revenues, it can also be safer for a company with less predictable cash flows.

Here's how it looks on the profile: 

To preview a sample, download the Revenue Loan Agreement.  By default, the following terms are customizable in our template:

  • Gross or Net Revenues. Net revenues exclude returns or shipping costs.
  • Revenue Percentage. This is the percentage of revenue that is shared.
  • Repayment Amount. Typically 1.5-3.0X, this is the maximum amount you will be paid back.
  • Quarterly or Annual Disbursement. Companies choose to make annual or quarterly payments.
  • Defer Payments. By default, every company can miss one payment without being in default.
  • Secured. Some loans may be secured with all property of the business.
Can't find what you're looking for?

Email us: support@wefunder.com