Revenue-based financing (RBF) gives a Shopify store capital upfront and collects repayment as a share of future sales, so payments rise in strong weeks and fall in slow ones. You keep full ownership, and the offer is based on your store's sales data rather than your personal credit.
For Shopify sellers it is the main alternative to Shopify Capital, which is available only to merchants Shopify invites. This guide covers how RBF works, how it compares with Shopify Capital and a bank loan, what it costs, and how to use it for peak season inventory.
How revenue-based financing works
- Connect your store. The provider reads your Shopify sales history through a read-only connection.
- Get an offer. The amount and fee are based on your sales volume, consistency and history.
- Receive the funds. With Onramp Funds, funds typically arrive in one to two business days.
- Repay from sales. A share of daily sales goes toward the advance plus a flat fee until it is repaid.
Because the fee is fixed when you accept, the total you repay does not grow if sales slow. What changes is how long repayment takes.
RBF vs Shopify Capital
Shopify Capital is convenient if you receive an offer, but you cannot apply for it and Shopify does not publish its criteria. The table below uses published terms. For the full picture, see Shopify Capital requirements: who qualifies and what to expect.
| Shopify Capital | Onramp Funds | |
|---|---|---|
| Access | Invitation from Shopify | Open application |
| Eligibility | Decided by Shopify's internal model | $10,000 average monthly sales, six months of history, US entity |
| Sales counted | Shopify only | Combined sales across nine connected platforms |
| Cost | Monthly-fee or fixed-fee loan, per the offer | Flat fee as low as 9%. Longer terms cost more |
| Repayment | Percentage of daily sales, with 30% due by month 6 and 60% by month 12 | Share of sales, fixed schedule over one to twelve months, or rolling cash line |
RBF vs a bank loan or equity
| Revenue-based financing | Bank term loan | Equity | |
|---|---|---|---|
| Ownership | You keep 100% | You keep 100% | You give up a share |
| Repayment | Share of sales | Fixed monthly payment | None, investors share in the upside |
| Decision based on | Store sales data | Credit, collateral, financial statements | Valuation and growth story |
| Typical timeline | Days | Weeks | Months |
| Best for | Inventory, ads, seasonal peaks | Long-term assets | Large expansion bets |
RBF fits Shopify businesses because most of what they fund, inventory and advertising, turns back into sales within a few months.
What revenue-based financing costs
Onramp Funds charges a flat fee. The fee is flat, disclosed upfront, and non-compounding, as low as 9% of the funded amount ($4,500 on $50,000). Subject to credit eligibility; rates and terms may vary. Longer terms cost more, and your offer states the exact fee.
On $50,000 at 9%, you repay $54,500 in total. To compare that with a Shopify Capital offer or a bank loan, convert every option to the total repayable on the same amount. The MCA vs Revenue-Based Financing Cost Calculator does this for you, including Shopify Capital.
Who qualifies
- A legal US business entity
- At least $10,000 in average monthly sales
- At least six months of selling history
- No personal credit check to see an offer
Onramp Funds supports Shopify alongside Amazon, Walmart, TikTok Shop, BigCommerce, WooCommerce, Squarespace, Shopline and Stripe. If you sell on more than one, all connected sales count toward your offer.
Using RBF for Q4 on Shopify
The months before the holidays are when Shopify stores most often need outside capital. Inventory has to be ordered and paid for weeks before it sells, and ad costs rise at the same time. Before you accept an offer:
- Know your margin per order. The Shopify Profit Calculator shows what you keep after processing, shipping and ads.
- Set your order date. The Safety Stock and Reorder Point Calculator gives your latest safe Q4 order date and the units to order.
- Size the funding. The eCommerce Funding Calculator shows how much the plan needs and your cash with and without an advance.
- Plan past the peak. Repayment continues into January, when sales usually drop. A share-of-sales structure softens that, but it still needs to fit your cash plan.
How to apply
- Create an Onramp Funds account and connect your Shopify store, plus any other platforms you sell on.
- Connect your business bank account.
- Review your offer, including the fee and repayment structure.
- Accept, and funds typically arrive in one to two business days.
Video: how to get revenue-based financing for your Shopify store
Frequently asked questions
Is revenue-based financing a loan?
It is a form of business financing repaid from future sales for a fixed fee. Unlike a term loan, payments move with revenue rather than landing as a fixed monthly amount.
Can I get RBF if Shopify has not offered me Shopify Capital?
Yes. Shopify Capital is by invitation only. Providers like Onramp Funds take open applications and publish their criteria.
Does revenue-based financing affect my credit?
Onramp Funds does not run a personal credit check to show you an offer.
What should Shopify sellers use RBF for?
Uses that turn back into sales within a few months work best: inventory, advertising and seasonal stock. The fee should be smaller than the margin those sales produce.
Onramp Funds
Funding built around your sales
Connect your store and see what you qualify for. Repay as a percentage of sales, with no personal credit check.
Funding in as little as 24 hours.
