Live market data
Pulled from official U.S. government APIs. Click a card to view the source.
TL;DR
E-commerce businesses need inventory-focused capital: working capital loans for restocks, lines of credit for ad spend, and revenue-based financing tied to monthly sales. Sellers often qualify with $35K+ monthly bank deposits, but funds must flow through a business bank account — not a Stripe, Shopify, or PayPal balance.
The fintech-balance problem
Most e-commerce sellers run revenue through Stripe, Shopify Payments, or PayPal — and that disqualifies them from most working capital lenders unless that money sweeps to a business bank or credit union account. We require deposits to land in a business bank account before underwriting.
Top financing options for online sellers
- •Working capital loan — best for inventory restocks, fixed term, $5K–$1M
- •Line of credit — best for variable ad spend and seasonality
- •MCA — fastest but most expensive; useful for emergency restocks before a big drop
- •Invoice factoring — for B2B sellers with net-30/60 receivables (wholesale, dropship)
Why we're often cheaper than Shopify Capital and Amazon Lending
- •Shopify Capital factor rates frequently exceed 1.20 on 6-month repayment
- •Amazon Lending caps at fixed multiples and can't be used outside Amazon
- •Our working capital and term loans run 8.99–24% APR for qualified sellers — typically 30–50% cheaper
Common mistakes e-commerce owners make
- •Accepting the first Shopify Capital offer without comparing
- •Running 100% of revenue through PayPal without sweeping to a business bank
- •Using working capital for a year-long inventory hold (term loan is cheaper)
- •Stacking platform-specific lending offers across Shopify, Amazon, PayPal simultaneously
Run the numbers
MCA / Factor Rate Calculator
Convert a factor rate offer to total cost, daily remit, and approximate APR. Useful for comparing MCA offers against term loan APRs.
Methodology
Total payback = principal × factor. APR-equivalent ≈ (factor − 1) × (365 / term days). This is an approximation — true APR is slightly higher because daily remittances reduce balance over time. APR is defined per the federal Truth in Lending Act (12 CFR § 1026, Regulation Z). MCAs are typically structured as a purchase of receivables and not subject to TILA APR disclosure, but several states (CA SB 1235, NY S5470) require commercial financing disclosures with an APR-equivalent.
Business Term Loan Calculator
Standard amortization: fixed APR, fixed weekly payment. Same formula banks and SBA lenders use.
Methodology
Standard amortization formula: P × r / (1 − (1 + r)−n), where r is the monthly rate (APR / 12) and n is the term in months. APR is the annual percentage rate as defined in the federal Truth in Lending Act (12 CFR § 1026.22). Actual lender quotes may include origination fees that increase APR.
Compare Two Offers (APR-equivalent)
Paste any two offers — MCA, term loan, line of credit — and normalize them to the same yardstick.
Lowest APR-equivalent wins on cost. Cents-on-the-dollar (CoD) shows total cost per dollar borrowed regardless of term length.
Related questions
Related guides
Best Business Loans for Retail Stores in 1970
Inventory financing, working capital lines, and MCAs for retail — including how to handle Q4 seasonality and slow-summer cash gaps.
Best Business Loans for SaaS & Tech Companies in 1970
Revenue-based financing, lines of credit, and term loans for SaaS, agencies, and tech consultancies — and why traditional bank loans rarely fit.
Business Loan Rates Explained (1970)
APR, factor rate, and total cost of capital — what the numbers actually mean and how to compare offers across products.
Sources & references
- Current Employment Statistics (CES)— U.S. Bureau of Labor Statistics
- County Business Patterns— U.S. Census Bureau
- SBA 7(a) and 504 Loan Program data— U.S. Small Business Administration
- Bank Prime Loan Rate (DPRIME)— FRED · Federal Reserve Bank of St. Louis
- Small Business Credit Survey— Federal Reserve Banks