Questions and answers

Our funding partners provide from $10,000 to $2,500,000. How much you're offered depends on your revenue, time in business, bank activity and credit.

Working capital is funding for day-to-day needs, repaid from your business's revenue over a set period. Term financing is a lump sum with a fixed payment schedule, for bigger investments in the business. A line of credit is an approved limit you can draw from when you need it, and pay down as you go. Each funding partner sets its own terms, so the written offer is what counts.

Start with the need. A known, one-time project, like equipment or a renovation, often fits a lump sum with a set payment schedule. Needs that repeat or are hard to size in advance often fit a line of credit. Cost, payment timing and the contract terms matter too. Not sure? Apply once and your advisor will show you every option your business qualifies for, side by side.

Yes. Working capital describes what the money is for, such as inventory, payroll, suppliers or a seasonal gap. A line of credit is one way to structure that funding. Working capital can also come from cash reserves, a lump sum or another structure. Our guide to working capital vs. a line of credit compares the two.

No. Applying doesn't obligate Fair Square or any funding partner to provide funding. The product, partner, amount, pricing, fees, payment schedule, term and availability all depend on underwriting, verification and final approval.

No. Calculator results, examples, pre-qualification messages and proposed term sheets are for information only. They aren't binding offers, and they may change or be withdrawn.

A factor rate is a multiplier on the amount you get. With a 1.28 factor rate on $50,000, you pay back $64,000, so the funding costs $14,000. Use the cost calculator to compare any offer in dollars.

A factor rate shows how much you pay back, but not how quickly. APR is an annualized cost measure based on the amount and timing of every payment. Two offers with the same dollar cost can have very different APRs if one is repaid much sooner. Our guide to factor rates, APR and total cost explains both.

Not always. The amount your business actually receives can be less than the stated amount if fees, prior balances or payments to third parties are taken out at funding. Find the amount you'll receive in the written offer, and compare it with the total you'll pay back.

Start with the amount your business will actually receive, then add every payment and fee to get the total you'll pay back. Check how many payments there are and when they're due, whether they're fixed, variable or based on your sales, whether paying early lowers the cost, and any collateral or guarantees. Don't choose on the lowest payment alone: a lower payment can mean a longer term and a higher total cost.

No. You're under no obligation to accept an offer. Your advisor walks you through every offer side by side, and you choose one or walk away.

It depends on the funding partner and the product. Early payoff terms are spelled out in each written offer, and your advisor will point them out.

The funding partner named in the documents, the amount your business will receive, the total you'll pay back, the payment amount and how often it's taken, the term, every fee, prepayment terms, any guarantee or security interest, what counts as a default and who services the account. Ask about anything you don't understand before you accept.

Only when your business and the funding partner sign the final written closing documents. Any funding is then sent according to those documents and the partner's final approval.