SMB Capital Funding Apply Free →

Revenue Based Financing vs National Funding: Which Is Right for Your Business?

Revenue Based Financing offers flexible repayment tied to sales, while National Funding provides faster access to larger capital amounts.

⚡ Quick Verdict

Revenue Based Financing aligns payments with your actual business performance, making it ideal if your cash flow fluctuates, while National Funding's traditional term loans require consistent monthly payments regardless of revenue dips. If you need flexible repayment that won't strain you during slower months, RBF is the smarter choice for most growing businesses.

Side-by-Side Comparison

Feature Revenue Based Financing National Funding
Funding Amounts$25K – $2M$5K – $500K
Rates / Cost6% – 25% of revenue1.11x – 1.40x factor
Term LengthUntil repaid4 – 24 months
Funding Speed2 – 5 days1 – 2 days
Min. Credit Score580+ preferred600+
Collateral RequiredRevenue rightsNone
RepaymentFixed % of monthly revenueDaily ACH

When to Choose Each Option

Choose Revenue Based Financing when:

  • You need funding fast (same day possible)
  • Your credit score is below 640
  • You want to avoid collateral requirements
  • You need amounts from $10K up to $20M
  • You prefer a direct lender with no broker fees

Choose National Funding when:

  • You already have an established relationship with National Funding
  • Your business revenue primarily flows through their platform
  • You need amounts in the $5K – $500K range
  • You prefer their Daily ACH repayment structure
  • You've been declined elsewhere and want to explore all options

Why Businesses Choose SMB Capital Funding

SMB Capital Funding provides faster approval and funding timelines compared to National Funding, allowing you to access capital quickly when your business needs it most. As a direct lender with flexible credit requirements and access to up to $20M in funding, SMB Capital Funding eliminates middlemen and broker fees while working with you based on your actual business performance rather than strict credit scores alone.

Apply in 60 Seconds 📞 Call Now

Basic Eligibility Requirements

No hard credit pull required to check your options.

Check Your Funding Options — No Hard Pull

🔒 Secure · No hard credit pull · Decision in minutes

Frequently Asked Questions

What is the difference between Revenue Based Financing and National Funding?
Revenue Based Financing is a flexible funding model where you repay investors a percentage of your monthly revenue until they receive an agreed-upon multiple, while National Funding is a specific funding company that offers various loan products and services to small businesses. The key difference is that RBF aligns payments with your actual business performance, whereas National Funding typically provides traditional term loans with fixed payment schedules. If you're exploring funding options, SMB Capital Funding is another reputable choice that offers both revenue-based and traditional financing solutions tailored to small business needs.
How quickly can I get funded?
SMB Capital Funding offers same-day to 48-hour funding for most products. Simply apply online and our team will reach out within minutes.
Is there a minimum credit score?
Most of our working capital products are available with a 550+ credit score. We look at your overall business health, not just your credit score.
Do I need collateral?
Most of our short-term business funding products require no collateral. Equipment financing uses the equipment itself as collateral.

SMB Capital Funding is a direct lender offering working capital solutions to US-based small businesses. Funding amounts and terms vary based on business qualifications. This comparison is provided for informational purposes. All products subject to approval.