No. Just like your mortgage broker can’t guarantee that you will qualify for a mortgage and your banker can’t guarantee you a loan. Your ability to qualify for funding depends on the strength of your cash flowing asset.

2. Do I have to sell my entire asset?

No. It all depends on your specific cash needs but often times it makes sense to sell only a portion of the asset through a “partial” or “split sale.”

A “partial” refers to selling only a fixed number of payments.

A “split” refers to selling a fixed portion of every payment for a certain period of time.

3. Is capital secured through Benefunding considered a liability on my balance sheet?

No. Benefunding does not loan you money. Money is advanced to you based upon the purchase of an asset at a discount by a financial institution. Unlike a traditional loan, Benefunding’s business capital solutions do not add debt to your balance sheet and there are no loans to repay and there are no monthly payments of principal or interest.

4. Why would a company want to sell an asset?

Many businesses need cash to meet immediate financial demands (payroll, taxes, supplies etc) and can't afford to wait for money to come in over time from outstanding invoices or leases.

5. What businesses can benefit most from Benefunding?

We believe every company - and each funding situation - is unique. We approach every situation as an opportunity to create a flexible, dynamic "win-win" structure. Alternative funding works well for start-ups and high-growth businesses that are often under-capitalized but with strong customers.

6. What does it cost to use Benefunding?

Rates are based on individual and specific circumstances. Rates depend on many variables including but not limited to, the credit-worthiness of your customers or contracts, your average invoice size, average payment cycle, etc. In general, the cost is outweighed by the significant benefits - access to immediate cash.

7. When is Benefunding NOT a good fit for a business?

1. You operate a business that deals with consumers only ie. a restaurant.

2. Your business operates on low margins.

3. Your business has significant cash reserves free of cash-flow concerns.

4. Your business sells almost entirely to less than credit-worthy customers.

5. Your business has a significant amount of accounts receivable or other cash flowing assets that are already overdue.

8. Does a bank loan make more sense for my small business than Benefunding?

Probably not. Banks often have restrictive lending requirements relating to cash flow, profitability, equity and years in business that limit them from making loans to many small to mid-sized businesses. Benefunding is not in the lending business and does not have to adhere to the strict criteria imposed by traditional financing institutions. The decision to advance you money is influenced primarily by the quality of your customer base and their financial stability and not necessarily the financial fundamentals of your company.

9. What if my company has a bankruptcy, bad credit, poor financials or other derogatory information or history?

In general, these are not deal-breakers, since most funding decisions are based on the credit-worthiness of your customers and not on your credit.

10. Does the location of my business matter?

No. Benefunding is a nationwide commercial capital brokerage that can work with companies anywhere in the U.S.

11. What types of businesses do you work with?

We fund a wide range of industries, including distributors, trucking companies, telecommunications companies, temporary personnel agencies, printing companies, computer hardware and software providers, manufacturers, wholesalers, consulting organizations and service organizations, including such industries as janitorial services, computer services and armed-guard services. If you sell goods or services to another credit-worthy business or government entity then it's likely we have a solution for you.

12. Do I need to be an established business, operating a minimum number of years, to be approved?

No. We pride ourselves on catering to the funding needs of small-to-medium size businesses regardless of their operational stage. Even pure start-ups are welcome in most cases.

13. How long does the process take to get started?

Within 24-48 hours of receiving your basic company information we can get you a “soft” proposal. If you decide to accept the proposal it does not become “hard” until the completion of all due diligence and necessary documentation. Depending on the asset being sold, funding can often take place within a few days.

14. If I work with Benefunding can my business still borrow money from other sources?

Yes! One of the big advantages of working with Benefunding is that a security interest is typically only taken in the actual asset being sold. Your machinery, equipment, intellectual property, inventory and real estate generally remain unencumbered and available as collateral for other lenders.

If a commercial bank provides you with credit, they almost always take a security interest in ALL of your assets. This generally means that you will not be able to borrow from another source since you have no collateral to offer another lender.