Best Revenue-Based Financing Options for CPG Brands in 2026

Revenue-based financing (RBF) lets CPG brands borrow a lump sum and repay it as a percentage of monthly sales — no equity dilution, no fixed payments. The global RBF market is projected to reach $15.86 billion in 2026, growing at a 62.2% CAGR, according to The Business Research Company. As NerdWallet explains, it's become a popular funding method for growing businesses that can't access traditional bank financing. But for brands selling through Walmart, Target, and other major retailers, RBF carries a hidden risk: your repayments start immediately, while retailer payments arrive 60–120 days later.

This guide breaks down how RBF works for CPG brands specifically, compares the top providers, explains the real cost behind "flat fee" pricing, and shows when PO financing or factoring is the better tool. If you're evaluating non-dilutive capital for your next retail expansion, start here.

How Revenue-Based Financing Works for CPG Brands

RBF providers advance capital — typically 1x to 4x your average monthly revenue — in exchange for a fixed percentage of daily or weekly sales until a predetermined total is repaid. That total is set at funding using a factor rate (e.g., 1.06x to 1.12x of the advance), which translates to a flat fee of 6–12%.

Here's the mechanics in a CPG context:

• You receive a lump sum, often within 24–72 hours of approval.

• You repay a fixed percentage of revenue — usually 5–15% — drawn automatically from your bank account or payment processor.

• The total owed stays the same regardless of how fast or slow you repay. A strong sales month means higher payments and faster payoff. A slow month means lower payments, but the debt lingers and the effective cost rises.

RBF providers underwrite primarily on sales performance data. They connect to Shopify, Amazon, Stripe, or bank feeds and analyze trailing revenue, not credit scores or collateral. This makes RBF accessible to early-stage brands that can't qualify for bank loans or asset-based lending.

Where RBF fits the CPG growth timeline

Revenue-based financing can be a useful growth tool for companies at the right stage, as Forbes Business Council notes. For CPG brands specifically, RBF works best in two windows:

1. DTC-heavy brands scaling ad spend and inventory — When your primary revenue flows through Shopify or Amazon and you need capital for marketing or stock replenishment, RBF's speed and revenue-linked repayment align well.

2. Pre-retail brands funding a first production run — If you need a co-packer deposit quickly and your margins can absorb the cost, RBF can bridge the gap before a retailer pays.

RBF becomes problematic once your revenue mix shifts toward wholesale retail, where payment cycles stretch to 60–120 days. More on that below.

Top RBF Providers for CPG Brands in 2026

Four providers dominate the CPG-focused RBF space, plus one marketplace that lets you compare offers across multiple lenders and financing types. Each has a different strength depending on your stage, channel mix, and capital needs.

Bridge Marketplace (Lender Comparison Platform)

Bridge Marketplace isn't an RBF provider — it's a lending marketplace that connects CPG brands with 150+ specialized lenders through a single application. Instead of applying to Wayflyer, Settle, and Clearco separately, Bridge surfaces competing offers across RBF, PO financing, working capital loans, and A/R factoring so you can compare them side by side.

• Financing types: RBF, purchase order financing, inventory financing, A/R factoring, working capital loans

• Cost: Free for borrowers — lenders compete for your deal

• Speed: Multiple offers typically within 48 hours of application

• Standout feature: One 10-minute application reaches lenders across every major non-dilutive capital type, with deal management through closing

• Best for: CPG brands that want to compare financing options across product types and lenders rather than committing to a single provider

Why it matters here: Most brands don't know whether RBF, PO financing, or factoring is the best fit until they see actual offers. Bridge removes that guesswork by letting lenders who specialize in CPG supply chains compete on your specific deal — so you're choosing from real term sheets, not marketing pages.

Wayflyer

Wayflyer has deployed over $5 billion to 5,000+ small businesses worldwide since its founding. The platform connects directly to Shopify, Amazon, Stripe, and ad platforms to underwrite based on live store data.

• Advance range: $5K–$20M

• Cost:2–9% flat fee on funded amounts

• Repayment: Daily, weekly, or bi-weekly as a percentage of sales

• Standout feature: Multi-currency support (USD, GBP, EUR, AUD) and no origination or maintenance fees

• Best for: Data-driven DTC brands scaling ad spend and inventory, including omnichannel CPG brands expanding into wholesale

Settle

Settle positions itself as an operating platform rather than a pure financing provider. It combines procurement, accounts payable automation, and working capital financing — having provided over $3B in funding to brands since 2019.

• Advance range: $350K–$12.5M (based on recent approvals across CPG categories)

• Cost: Fixed-term repayment over 30–210 days with transparent pricing — no percentage-of-sales deductions

• Repayment: Fixed schedule, not revenue-based (a key distinction)

• Standout feature: Integrated AP automation, landed cost tracking, and PO management — finance and operations in one platform

• Best for: CPG brands managing complex supplier relationships and inventory purchasing who want financing embedded in their workflow

Important distinction: Settle's working capital product uses fixed repayment terms, not a percentage of revenue. It's often grouped with RBF providers but operates differently — which can be an advantage for brands with predictable order cycles.

Clearco

Clearco (formerly Clearbanc) pioneered the "funding-as-a-service" model for DTC brands and has deployed over $4.4 billion since inception. The platform relaunched in 2025 with performance-based pricing.

• Advance range: Varies by revenue; minimum $10K/month in revenue required

• Cost:6–12% flat fee, though some borrowers report effective rates higher than advertised

• Repayment: 50% daily revenue sweep (reported by borrowers on review platforms)

• Standout feature: No equity dilution, no personal guarantees, no blanket liens

• Best for: DTC brands focused on marketing spend and inventory purchases with strong, predictable revenue

Caution: Multiple borrowers have reported that Clearco's repayment deductions exceeded contracted terms, inflating the effective cost beyond the advertised flat fee. Request explicit documentation of sweep mechanics before signing.

Kickfurther

Kickfurther takes a fundamentally different approach: community-funded inventory financing rather than traditional RBF. Brands list inventory purchase opportunities, and a network of individual backers funds them. Repayment begins only after goods sell.

• Advance range: $10,000–$10M for inventory

• Cost: Approximately 1% per month, or up to 30% lower than alternate lenders

• Repayment: Begins after inventory sells — not immediately upon funding

• Standout feature: No immediate repayment pressure; funding is structured around inventory sell-through cycles

• Best for: Product-based CPG brands that need 100% inventory funding without immediate cash outflows

The Real Cost of RBF: Flat Fees vs. Effective APR

RBF providers quote costs as flat fees — typically 2–12% of the funded amount. This looks affordable at first glance. A $100,000 advance at a 6% flat fee means you repay $106,000. Simple.

The problem is that flat fees hide the time value of money.

When you repay through daily or weekly revenue sweeps, you only have access to the full $100,000 for a brief window. On average, you're working with roughly half the capital over the repayment period. That same 6% fee, repaid over 4–6 months through daily deductions, can translate to an effective APR of 40% or higher. For fast-growing sellers who repay quickly, effective APRs can reach as high as 350%.

A worked example

Add origination fees, UCC filing fees, and any other charges, and the real cost climbs further. As one working capital analysis documented, a $75K advance at an advertised 8% flat fee can reach an effective 11.5% total fee — or 40%+ APR annualized — once hidden costs surface.

Before accepting any RBF offer, ask three questions:

1. What is the total payback amount on every dollar deployed?

2. What is the expected repayment timeline at my current sales velocity?

3. What happens to repayment speed during a strong sales month?

The Retailer Payment Mismatch: Why RBF Can Backfire for Wholesale CPG Brands

This is the risk most RBF guides don't cover — and it's the one that trips up the most CPG brands.

RBF repayments begin the day you receive funding. But if you're using that capital to fund production for a Walmart or Target order, the retailer won't pay you for 60–120 days. Walmart enforces Net 60–90 terms, and Target can stretch to Net 120.

Here's what that mismatch looks like in practice:

• Week 1: You receive a $200,000 RBF advance. Daily revenue sweeps begin immediately at 10% of sales.

• Week 2–12: Your DTC revenue is modest — say $80,000/month. RBF sweeps $8,000/month from your bank account, totaling $24,000 over 12 weeks.

• Week 12–16: Your Walmart shipment finally generates a payment of $200,000. But by now, you've been draining cash for three months while waiting.

The damage compounds. Across the CPG industry, invoices now take an average of 54.1 days to get paid — 7% longer than previous periods and the highest in five years. CPG brands routinely wait 4 to 6 months to convert inventory into cash, creating a cycle where RBF payments drain the very cash reserves you need to fund the next production run.

As Bridge's guide to non-dilutive CPG capital outlines, for most growing CPG brands, RBF is a starting point — not a long-term solution. Once wholesale revenue outpaces DTC, financing tools that align with retailer payment cycles tend to deliver better economics.

When PO Financing or Factoring Beats RBF

RBF isn't your only non-dilutive option. Two alternatives align better with the order-driven cash flow cycle of wholesale CPG:

Purchase order financing

PO financing pays your co-packer or manufacturer directly against a confirmed retail purchase order. The lender funds production; you repay when the retailer pays.

Why it's often better than RBF for wholesale CPG:

• Repayment matches the retailer's payment timeline — no cash drain while waiting 60–120 days for Walmart or Target to pay

• Capital is tied to a specific order, not your overall revenue — you borrow only what you need for that production run

• No equity dilution, and the lender's risk is backed by the confirmed PO from a creditworthy retailer

PO financing fees typically run 2–5% per 30-day period, which can look expensive on a per-transaction basis. But because the capital is short-duration and repayment aligns with incoming retailer payments, there's no cash flow mismatch. You're not pulling from operating cash to service the debt.

Accounts receivable factoring

Once you've shipped product and invoiced the retailer, A/R factoring lets you sell that invoice at a discount and collect cash immediately — rather than waiting 60–120 days.

Why it's often better than RBF for brands with active retailers:

• You get paid within days of shipping, not months

• Repayment happens automatically when the retailer pays the factor — no daily revenue sweeps

• The factor evaluates the retailer's creditworthiness, not yours — making it accessible even for early-stage brands with thin credit histories

Decision framework: RBF vs. PO financing vs. factoring

How Bridge Marketplace Helps CPG Brands Compare Options

Most RBF providers are direct lenders — you apply to one, get one offer, and accept or decline. The same goes for PO financing and factoring providers. Comparing across all three product types requires separate applications, separate underwriting processes, and separate negotiations.

Bridge Marketplace works differently. You submit one application, and Bridge's curated network of CPG-experienced lenders competes for your business. That single application can surface offers for RBF, PO financing, working capital loans, and A/R factoring — giving you a side-by-side view of your actual options.

Why this matters for CPG brands specifically:

• You see the right product for your stage. A brand doing $500K/month in DTC revenue might get strong RBF offers. The same brand with a new $2M Walmart PO might get better economics from PO financing. Bridge surfaces both.

• Lenders compete on terms. When multiple lenders bid for your deal, you get better pricing, lower fees, and more favorable repayment structures than negotiating with a single provider.

• The platform understands CPG cycles. Bridge's lender network includes specialists who understand retailer payment terms, slotting fees, co-packer deposits, and the cash conversion gap that defines CPG finance.

Bridge aims to provide multiple offers within 48 hours of application. The process takes about 10 minutes to start.

Compare your CPG financing options →

FAQ

What minimum revenue do CPG brands need to qualify for RBF?

Most RBF providers require at least $10,000 in monthly revenue, with some (like Wayflyer) starting as low as $5,000. Providers underwrite on sales data from Shopify, Amazon, or bank feeds rather than credit scores, so consistent revenue history matters more than a high credit score.

Can I use RBF to fund a Walmart or Target purchase order?

Technically yes, but it's risky. RBF repayments start immediately, while Walmart pays on Net 60–90 terms and Target can take up to 120 days. This creates a cash flow mismatch where you're servicing debt before the retailer pays. Purchase order financing is typically better suited because repayment aligns with when the retailer actually pays.

What's the difference between a flat fee and APR in RBF?

A flat fee is the total cost expressed as a percentage of the advance (e.g., 8% of $100,000 = $8,000 total). APR accounts for how long you actually hold the capital. Because RBF repayments draw down the balance daily, you have access to the full amount for only a short time. An 8% flat fee repaid over 5 months can translate to an effective APR of roughly 38–40% when calculated on average capital in use.

Is RBF considered debt?

Structurally, most RBF agreements are classified as a purchase of future receivables, not a loan. This distinction means they often don't appear as traditional debt on your balance sheet, and they typically don't require personal guarantees. However, the economic effect is similar to debt — you owe a fixed total regardless of business performance.

How does Bridge Marketplace differ from applying to individual RBF providers?

With individual providers, you apply once, get one offer, and have no competitive leverage. Bridge lets you submit a single application that reaches multiple CPG-experienced lenders across RBF, PO financing, working capital, and factoring. Lenders compete for your business, which typically results in better terms and gives you a clearer picture of which financing product fits your specific stage and channel mix.

Conclusion

Revenue-based financing can work well for CPG brands — but only when your sales channels, repayment timeline, and growth stage all line up. If most of your revenue flows through DTC and you need fast capital for inventory or ad spend, RBF providers like Wayflyer or Clearco are worth evaluating. If you're filling wholesale orders for major retailers with 60–120 day payment terms, PO financing or A/R factoring will almost always deliver better cash flow economics.

The real risk isn't choosing the wrong provider. It's choosing the wrong product type for your situation and getting locked into repayments that drain cash before retailer payments arrive.

Here's how to move forward:

1. Know your channel mix. If wholesale accounts for more than half your revenue, RBF likely isn't your best first option.

2. Calculate the effective APR, not just the flat fee. A 6–8% flat fee can translate to 40%+ APR once you factor in how quickly daily sweeps draw down your balance.

3. Compare across product types, not just providers. The best financing decision often comes down to RBF vs. PO financing vs. factoring — not one RBF provider vs. another.

If you'd rather skip the guesswork, Bridge Marketplace lets you submit one application and see competing offers across RBF, PO financing, working capital, and factoring from lenders who understand CPG supply chains. The application takes about 10 minutes, and most brands receive multiple offers within 48 hours.

Compare your CPG financing options →