Revenue-based financing for e-commerce gives an online store a lump sum in exchange for a share of its future sales until a fixed total is repaid. Payments rise when sales are strong and fall when they slow, and the cost is usually a single fee rather than interest. It comes from two places: the platforms you already sell through (Shopify, Amazon, PayPal, Stripe) and independent e-commerce funders such as Wayflyer, Clearco and Uncapped. Our e-commerce loans hub covers the other ways online sellers borrow.
For the general mechanics of revenue-based financing across industries, see what revenue-based financing is and when to use it. This page focuses on the e-commerce providers, what they publish, and how to compare them.
How it works for an online store
- Offer based on your data. You connect your store, marketplace, payment and bank accounts, or the platform already has that data. The offer size follows your sales history.
- One fee, agreed up front. Stripe describes it this way: “The total cost of your financing is your loan or advance amount plus a flat fee” (Stripe).
- Repayment from sales. A set percentage of each day’s sales goes to repayment. Stripe calls this the repayment rate and notes “you pay more when your business has higher sales and less if business slows down.”
- Minimums and maximum terms. Most products still set a floor. Shopify requires “30% of the total loan by the 6-month mark and 60% of the total payment amount by the 12-month mark” within an 18-month maximum term (Shopify Help Center).
Loan or advance? The structure matters
Products that look alike can be structured differently. Shopify Capital and PayPal Working Capital are loans in the US, both from WebBank. Stripe offers both types: its “business-purpose term loans are issued by Celtic Bank or Lead Bank,” while “a merchant cash advance is YouLend’s purchase of your business’s future receivables; it isn’t a loan or a credit transaction.” Amazon Lending lists a merchant cash advance from Parafin alongside term loans and lines of credit (Amazon Lending).
A merchant cash advance (MCA) is a purchase of future sales for a fixed amount, so it usually has no fixed payment schedule; Stripe says “unlike a loan, you don’t have a fixed payment schedule or periodic debits.” A loan has a maximum term and minimum payments. The structure affects what happens if sales drop, so check which one you are signing. Our guide to revenue-based financing vs. a loan goes deeper.
E-commerce revenue-based financing providers compared
Figures checked September 21, 2026, from each provider’s own pages. Most of these quote a fixed or flat fee: a single charge set when you accept the offer, not an annual rate. An APR (annual percentage rate) is the yearly cost of borrowing including interest and certain fees. Because the fee is fixed while the repayment period depends on your sales, the faster you repay, the higher the APR equivalent.
| Provider | Amount | Pricing as published | Repayment | Published minimums | Lender or funder of record |
|---|---|---|---|---|---|
| Shopify Capital | Up to $2M | Fixed fee or monthly fee | Fixed % of daily Shopify sales; 18-month maximum | Invitation in Shopify admin | WebBank |
| PayPal Working Capital | $1,000 to $250,000 ($400,000 repeat) | One fixed fee; no periodic interest | % of PayPal sales; at least 5% or 10% every 90 days | PayPal account 90+ days; $15,000 (Business) or $20,000 (Premier) annual PayPal sales | WebBank |
| Stripe Capital | Set per offer | Flat fee; no late, early payment or origination fees | % of Stripe sales; loan minimums typically on a 30- or 60-day basis | 3+ months on Stripe; $5,000 a year and $1,000 average monthly volume over the last 3 months; US-based | Celtic Bank or Lead Bank (loans); YouLend (MCAs) |
| Amazon Lending (Parafin MCA) | Up to $2 million | Flat capital cost; no interest | From sales | Invitation in Seller Central | Parafin |
| Wayflyer | Set per offer | Single fee set per offer | Fixed daily amounts or % of sales | $10,000 average monthly revenue over 6 months; holds own stock; US and 10 other countries | Not published |
| Clearco | Up to $10 million | Based on business performance | Estimated terms up to 12 months | DTC brand; 6+ months of revenue over $100,000 a month; US-incorporated | Not published |
| Uncapped | $10K to $2M | Set per offer | Payment holiday offer: delay payments for up to 3 months | Amazon seller; 6+ months in business; $10k monthly revenue | Not published |
Sources: Shopify, PayPal, Stripe, Amazon, Wayflyer, Clearco, Uncapped.
Several providers set the fee per offer rather than publishing a range. Ask for the total repayment amount in dollars, the percentage of sales withheld, any minimum payment and the maximum term, all in writing, before you accept.
Platform offers vs. independent funders
Platform financing (Shopify, PayPal, Stripe, Amazon) suits sellers who do most of their sales through one channel. Offers appear automatically, there is little paperwork, and some skip a credit check; PayPal says “no personal credit check,” and Shopify advertises “no credit checks.” The offer is sized on that one platform’s sales, and you cannot ask for a different product type. Stripe notes “you can’t request a particular financing type.”
Independent funders (Wayflyer, Clearco, Uncapped) suit multichannel brands, because they can look at sales across your store, marketplaces and wholesale. They also let you shop several offers at once. The trade-off is higher published minimums in some cases, such as Clearco’s “more than $100,000 USD per month,” and more accounts to connect.
If the money is mainly for stock, see e-commerce inventory financing. Amazon sellers can see the current Amazon Lending providers in Amazon seller loans.
When it fits, and when to look elsewhere
It can fit well when:
- Your sales are seasonal and you want payments to shrink in slow weeks.
- You have a fast-payback use, such as reordering a best-seller or funding an ad campaign with a known return.
- Your credit history is thin but your sales record is strong.
- You need money within days rather than weeks.
Look elsewhere when:
- You expect to repay very quickly on a fixed fee, which pushes up the annualized cost.
- The spending pays back slowly, such as a warehouse build-out or new software.
- Your margins are thin and a daily share of sales would squeeze cash for inventory and ads.
- You qualify for a business line of credit or term loan at a lower annualized cost. See working capital loans vs. revenue-based financing.
Pitfalls to watch for
- Reading the fee as an interest rate. A fixed fee is not an APR. Estimate how many months repayment will take at your current sales and annualize the cost. Our guide to factor rates vs. APR shows how.
- Forgetting the minimums. If sales slow, loan minimums still apply. Stripe says that if withholdings fall short, “Stripe debits the shortfall from your linked bank account or account balance.”
- Stacking. Two or three sales-based products taking a share of the same revenue can leave too little for reorders.
- Liens. Some agreements take a security interest. Stripe says its loan agreements “typically include security interests taken as collateral,” which can affect later borrowing.
FAQ
Is revenue-based financing the same as a merchant cash advance?
They work in a similar way, but not every revenue-based product is an MCA. Shopify Capital and PayPal Working Capital are loans in the US. Stripe offers both loans and MCAs, and says its MCA “isn’t a loan or a credit transaction.” Check the agreement.
Can I pay it off early?
Usually yes, but with a fixed fee, paying early may not reduce the cost. Stripe says it charges no early payment fees; Shopify’s fixed-fee option charges the same fee whenever you repay, while its monthly-fee option costs less if you repay sooner.
How much revenue do I need?
Published minimums range widely: Stripe asks for $5,000 a year in processing volume, PayPal $15,000 or $20,000 a year in PayPal sales, Wayflyer $10,000 a month, and Clearco more than $100,000 a month.
Will it affect my credit?
Many providers weigh sales data over credit scores. Shopify advertises no credit checks and PayPal no personal credit check, while Stripe says it may obtain your business’s credit history through the Small Business Financial Exchange.
Next step
Write down how much you need, what it will pay for and how many months that spending takes to pay back. Then put any platform offer next to at least one outside quote on an annualized basis. Our e-commerce loans page explains how we compare revenue-based financing, lines of credit and term loans from the lenders we work with.
Sources
- Stripe: How Stripe Capital works
- Shopify: Shopify Capital
- Shopify Help Center: Shopify Capital in the United States
- PayPal: Working Capital loan
- Amazon: Amazon Lending
- Amazon: Guide to financing for Amazon sellers
- Wayflyer: Requirements to get funding
- Wayflyer: How our financing offers work
- Clearco
- Uncapped: Amazon seller funding
About this page. Written by Ezra Cabrera, Content Team Lead at SMB Compass. Figures were checked against the primary sources listed above on September 21, 2026; lenders change their terms, so confirm current terms before you apply, and let us know if you spot a figure that has changed. SMB Compass is a business financing broker: we don’t lend our own money, and we are paid by the lenders we place loans with. This page is general information, not financial, legal or tax advice.