Category: Lender Comparisons

Last updated: September 07, 2026

You finish the work. You send the invoice. Then you wait — while payroll, fuel, rent, and your next round of supplies refuse to wait with you.

That is the cash-flow trap behind many growing businesses. And when someone tells you revenue-based financing and invoice factoring are basically the same thing, the wrong choice can cost you time, control, and money.

The invoice is paid. So why are you still broke?

Imagine you run a growing commercial cleaning company. You win a larger contract, hire two more people, buy supplies, and complete the first month of work.

Your customer approves the invoice. Net 45 terms.

That sounds manageable until Friday arrives. Your employees need to be paid now. The supplier wants payment now. Insurance is due now. The customer’s accounting department is following its normal process — which means your cash is trapped for another month and a half.

This is not a sales problem. It is a timing problem.

And timing problems can still shut down a profitable business.

You may start delaying vendors. You may turn down the next contract because you cannot float the labor. You may put operating expenses on a personal card. Or you may accept the first funding offer that appears, without understanding whether it is designed for your business model.

That last option creates a second problem. The financing may solve this week’s shortage while making next month harder.

Before you compare rates, you need to understand what each product is actually built to do.

When your cash is trapped inside unpaid invoices, the right funding structure matters.

What revenue-based financing actually looks at

Revenue-based financing focuses on the cash your business generates over time. Instead of relying only on a traditional credit score, a lender may review bank activity, revenue consistency, deposits, time in business, and the overall health of the business.

The repayment is commonly structured around a fixed total payback and a percentage of future revenue or another agreed repayment mechanism. The exact structure, cost, and approval terms vary by provider, so you should never treat one offer as representative of every offer.

The important distinction is this: RBF is not limited to one particular invoice. It is designed around the operating business.

That can matter if you collect money through several channels — card payments, ACH, cash deposits, recurring subscriptions, online sales, or a mix of commercial and consumer customers.

You may also use the capital for a broader need. Payroll. Marketing. Inventory. Repairs. A second location. A seasonal push. A deposit on a job.

That flexibility is useful when the cash-flow problem is bigger than one invoice.

What invoice factoring actually looks at

Invoice factoring is tied to accounts receivable. A factoring company advances a portion of an eligible invoice before your customer pays it. When the customer pays, the factor keeps its fee and sends the remaining balance according to the agreement.

In many arrangements, the factor also becomes involved in the collection process. That can be helpful because the factor handles follow-up. But it also means your customer may interact with another company during the payment cycle.

Factoring usually works best when you sell to established businesses or government entities that pay on documented invoice terms. The strength of your customer’s credit and payment history may matter as much as — or more than — your own personal credit profile.

That is why factoring can be attractive for a business with weak credit but dependable commercial receivables.

It can also be a poor fit if your revenue comes mostly from consumers, point-of-sale transactions, cash sales, or invoices that are disputed, incomplete, or difficult to verify.

The real difference: what backs the money?

Here is the cleanest way to compare the two.

• RBF is built around business revenue. The question is whether your company consistently generates enough cash to support repayment.
• Factoring is built around receivables. The question is whether your unpaid invoices are valid, collectible, and owed by customers with acceptable payment behavior.
• RBF can be broader-purpose capital. Factoring is more directly connected to invoices and the collection cycle.

Neither is automatically cheaper. Neither is automatically safer. The wrong comparison is to ask which product sounds better in general.

The right comparison is to ask which product matches the source of your cash-flow pressure.

If you have plenty of sales but customers pay slowly, factoring may address the specific gap. If your business has recurring revenue but no clean invoice book, RBF may be more practical.

When revenue-based financing may be the better fit

RBF may make more sense when your business has multiple revenue sources and the cash is needed for more than one invoice.

That could include a restaurant opening a second location, an e-commerce company buying inventory before a seasonal rush, a marketing agency hiring ahead of new contracts, or a contractor covering labor and materials while several jobs move through different billing stages.

It may also fit when you want to keep the funding conversation focused on the performance of the business rather than the age of one receivable.

But flexibility does not mean you should borrow without a plan. You still need to map the use of funds, expected return, repayment impact, and the minimum cash cushion you need to operate.

If the funding is used to chase unproven sales, you may be borrowing against hope. If it is used to fulfill work you already know how to deliver, the decision may be easier to evaluate.

When invoice factoring may be the better fit

Factoring may be worth exploring when your business-to-business customers have strong payment histories but your own cash arrives too slowly.

For example, a staffing company may pay workers weekly while a corporate client pays invoices in 30 or 60 days. A freight company may complete loads quickly while waiting on brokers or shippers. A manufacturer may ship products today while the buyer pays later.

In those cases, the receivable itself may be the strongest asset in the business.

Factoring can convert part of that receivable into working cash without waiting for the customer’s normal accounts-payable cycle.

Still, read the agreement carefully. Ask how the fee is calculated, whether there are minimum volume requirements, what happens with disputed invoices, whether recourse applies, and how customers will be contacted.

A funding product can solve a timing issue and still create relationship friction if the process surprises your customers.

Questions to ask before you sign either offer

Do not compare only the headline approval amount. Ask what the money will cost in dollars, how often repayment occurs, what happens during a slow week, and whether the product requires a personal guarantee or other security.

Ask whether early payoff changes the cost. Ask whether there are origination fees, wire fees, renewal fees, minimums, late charges, or broker fees. Ask who controls the repayment process and what information you must provide after funding.

Then stress-test the offer.

What happens if revenue drops 20% for one month? What happens if a customer pays late? What happens if you need to hire before the new contract begins? What happens if you use the proceeds for the wrong purpose?

A responsible funding decision has an answer for those questions before the money reaches your account.

A simple decision framework

Start with the source of the shortfall.

If the shortfall is caused by specific unpaid commercial invoices, investigate factoring and compare the advance rate, fee structure, customer-contact process, and recourse terms.

If the shortfall is caused by the overall rhythm of the business — revenue arrives unevenly, expenses hit before sales settle, or you need flexible capital for several purposes — investigate revenue-based financing and compare the total payback, repayment mechanics, and cash-flow impact.

Next, separate a temporary timing gap from a permanent operating problem.

Funding can bridge a profitable gap. It cannot repair pricing that is too low, margins that disappear after labor, or a business that loses money on every sale.

Finally, match the amount to the job. Borrowing more than you can deploy productively creates a repayment burden without creating more cash. Borrowing too little may leave you paying for financing while the original problem remains.

What this means for your next move

Revenue-based financing and invoice factoring are not interchangeable labels. They solve different cash-flow problems.

Factoring turns eligible invoices into earlier cash. RBF looks at the operating business and can provide capital for a wider range of needs. Your customer base, revenue mix, payment timing, credit profile, and intended use of funds all matter.

The best offer is not the one with the fastest yes. It is the one whose repayment matches the way your business actually makes money.

That is especially important when you are already under pressure. A rushed approval can feel like relief, but a mismatched repayment structure can keep the pressure alive long after the original invoice is paid.

Frequently Asked Questions

What is the main difference between revenue-based financing and invoice factoring?

Revenue-based financing is generally based on the performance and revenue of the business, while invoice factoring advances money against eligible unpaid invoices. Factoring is tied more directly to receivables and may involve customer collections.

Is invoice factoring cheaper than revenue-based financing?

Not automatically. The total cost depends on the advance amount, fee structure, repayment terms, invoice timing, and other charges, so compare the total dollars paid rather than relying on a headline rate.

Can a business with bad credit use invoice factoring?

Possibly. Factoring may focus heavily on the creditworthiness and payment behavior of your commercial customers, although the business still must meet the provider’s invoice and documentation requirements.

Can revenue-based financing be used for payroll and marketing?

It may be usable for broad business purposes such as payroll, marketing, inventory, or working capital, depending on the provider’s terms. Confirm the permitted use of funds and model repayment before accepting an offer.

Which option is better for a business with recurring revenue but few invoices?

Revenue-based financing may be more practical when cash comes from recurring sales, card payments, subscriptions, or several channels rather than a small number of commercial invoices. Eligibility and terms vary by provider.

What should I compare before choosing either option?

Compare total repayment cost, fees, repayment frequency, customer-contact rules, personal guarantees, recourse provisions, early-payoff terms, and the effect of a slow revenue month on your cash flow.

Last updated: October 7, 2026

You need money for your business. Not next quarter. Not after three rounds of paperwork. Now.

So you start looking for the easiest bank to get a small business loan from. And what you find is a maze of requirements — two years of tax returns, personal credit scores above 680, collateral, business plans, and a 60-to-90-day waiting period before you ever see a dime.

That’s not easy. That’s a part-time job.

Why “Easy” Banks Are Still Hard

Every bank claims their business loan process is simple. Chase says it. Wells Fargo says it. Bank of America says it. But when you actually apply, the requirements tell a different story.

Here’s what the big banks typically ask for before they’ll even look at your application:

• Two years of business tax returns — if your business is newer than that, you’re out
• Personal credit score above 680 — one bad year and you’re disqualified
• Collateral — equipment, real estate, or personal assets you’re willing to risk
• A business plan — a document most owners don’t have ready
• Debt-to-income ratios that fit their exact formula
• 60 to 90 days of waiting while they “review”

If you meet all of that, congratulations — you might get approved. But most small business owners don’t meet all of it. And that’s the point. Banks aren’t designed to be easy. They’re designed to minimize their risk, not to help you grow.

The Big Banks Compared — What They Actually Want

Chase Bank

Chase is one of the most flexible large banks for small business lending. They offer business lines of credit, term loans, and SBA-backed loans. They have SBA Preferred Lender status, which speeds up approvals. But you still need 1 to 2 years of business history, steady revenue, and a solid credit profile. If you’re a new business or had a rough year, Chase isn’t easy.

Wells Fargo

Wells Fargo offers a simplified online application for existing customers. Their business lines of credit are straightforward if you already bank with them. But if you don’t have a Wells Fargo business checking account, the process gets longer. And like every major bank, they want to see strong credit and consistent revenue history.

Bank of America

Bank of America offers relationship-based rate discounts and a streamlined online application. Their Business Advantage program rewards existing customers. But the keyword is “existing relationship” — if you’re not already a BoA customer, you’re starting from scratch with the same requirements as every other bank.

Bluevine

Bluevine is an online lender, not a traditional bank. They offer business lines of credit with approvals within 24 hours and credit limits up to $250,000. They require only 6 months of business activity. This is closer to “easy” — but they still pull your credit and have minimum revenue requirements that filter out smaller businesses.

TD Bank

TD Bank combines local branch service with national lender resources. Their Express Business Loans are designed for smaller amounts and faster approvals. But “faster” at a bank still means weeks, not days. And their rates for creditworthy borrowers means if your credit is weak, you’ll pay more or get declined.

The Problem With “Easy” Bank Loans

Here’s what none of those banks will tell you: even their “easy” options require you to fit inside a very specific box. And if your business doesn’t fit — if you’re a restaurant with thin margins, a contractor with seasonal cash flow, a trucker with high fuel costs eating your monthly revenue — the bank box doesn’t have room for you.

I’ve spent 11 years inside a Fortune 100 bank and over 10 years in revenue-based financing. I’ve seen both sides. The bank side where they tell you “your application is under review” for 60 days. And the revenue-based side where business owners get funded in 24 hours based on what their business actually earns — not what their credit score says about them.

The difference isn’t small. It’s the difference between making payroll and missing it. Between buying inventory for the season and watching a competitor take your customers. Between fixing the truck and parking it.

What Revenue-Based Financing Actually Looks Like

Instead of asking for your tax returns, your business plan, and your firstborn child, revenue-based financing looks at one thing: your monthly revenue.

Here’s how it works:

• You provide 3 to 6 months of bank statements — not tax returns, not business plans
• The funder looks at your average monthly revenue — typically $10,000 or more qualifies
• You get an offer within hours — not weeks, not months
• Funding hits your account in 24 to 48 hours — not 60 to 90 days
• No collateral required — no property lien, no equipment pledge, no personal asset risk
• Repayment flexes with your revenue — a fixed percentage, so slow months mean smaller payments

That’s it. No credit score minimum. No two-year business history requirement. No collateral. No 60-day wait.

When the Bank Is the Better Choice (Be Honest)

I’m not going to pretend revenue-based financing is always better. It’s not. If you have strong credit, two-plus years of business history, collateral, and time to wait — a bank loan will almost always have a lower cost of capital. Bank interest rates are lower. That’s just math.

But if you’re reading an article called “easiest banks to get a small business loan,” you’re probably not in that situation. You’re probably looking because the bank already said no, or because you know the process will take too long, or because your credit took a hit and you need capital now — not after a 90-day improvement plan.

That’s who revenue-based financing is for. Business owners who need capital fast, who don’t fit the bank’s box, and who’d rather pay slightly more for speed and flexibility than wait months for a lower rate they might not even get.

What to Check Before You Apply Anywhere

Whether you go to a bank or pursue revenue-based financing, there are a few things that make approval more likely:

• Keep a business bank account — commingling personal and business funds kills applications
• Maintain consistent deposits — funders want to see regular revenue, not sporadic spikes
• Know your average monthly revenue — have the number ready before you talk to anyone
• Keep your business registration current — EIN, state registration, and business name should all match
• Have 3 to 6 months of bank statements accessible — this is the core document for revenue-based approval

If you can check those boxes, revenue-based financing can put money in your account within 48 hours. No bank can match that timeline.

Overcoming the Objections

“But what about the cost?”

Revenue-based financing costs more than a bank loan. That’s true and that’s fair to say. But a bank loan you can’t get costs you everything — missed payroll, lost customers, broken equipment. The question isn’t “is it cheaper than a bank?” The question is “what does it cost me to not have the capital I need?”

“My credit is too low.”

There is flexible credit requirements for revenue-based financing. Your monthly revenue is the primary approval factor. If your business earns $10,000 or more per month, your credit score is a secondary consideration — not a disqualifier.

“I don’t have collateral.”

You don’t need any. Revenue-based financing is unsecured. No property lien, no equipment pledge, no personal guarantee on your house.

“I’ve been rejected before.”

Being rejected by a bank doesn’t disqualify you from revenue-based financing. The approval criteria are completely different. Banks look backward at your credit history. Revenue-based funders look forward at your revenue trajectory.

Looking beyond banks entirely? Compare financing companies for small business side by side and see what each one actually requires.

Frequently Asked Questions

Which banks are easiest to get a small business loan from?

Banks all use similar strict criteria — credit scores above 680, two years of business history, and collateral. Revenue-based financing is easier: it approves based on monthly revenue, not credit score. If your business earns $10,000 or more per month, you likely qualify.

Can I get a business loan without a bank?

Yes. Revenue-based financing bypasses banks entirely. You qualify based on your monthly revenue with no collateral and credit requirements that vary by provider. Funding typically arrives in 24 to 48 hours.

How fast can I get a business loan?

Revenue-based financing can fund in as little as 24 to 48 hours. Bank loans take 60 to 90 days for a decision. The speed difference is the main reason most small business owners choose revenue-based options over traditional bank loans.

Can I get a business loan with bad credit?

Yes. Revenue-based financing has flexible credit requirements. Your monthly revenue is the primary approval factor. Many business owners with credit scores below 600 have received funding based on consistent monthly revenue.

How much can I borrow with revenue-based financing?

Funding typically ranges from $10,000 to $500,000, based on your average monthly revenue. Most funders offer 1 to 1.5 times your monthly revenue as the funding amount.

Terrell Scott founded Black Lamb Finance to help small business owners get funding when banks say no. With 11 years in a management role at a Fortune 100 bank and over 10 years in revenue-based financing, he has worked directly with business owners across restaurants, trucking, e-commerce, construction, and other industries to secure funding based on real revenue performance rather than credit score alone.

Connect: LinkedIn | terrell@blacklambfinance.com

Articles are written and reviewed by Terrell Scott and reflect direct experience matching small businesses with alternative funding options. See our Editorial Policy for how we source and review content.

Last updated: October 7, 2026

You typed “best revenue-based financing” into Google and got 47 companies that all say the same thing.

Fast funding. Easy approval. No hassle.

Here’s what they don’t tell you: they’re not all the same. Not even close.

The Problem With “Best” Lists

Most “best revenue-based financing” articles you’ll read are affiliate pages. The writer gets paid when you click a specific lender. So every recommendation is skewed. The “best” provider is whoever pays the highest commission.

You deserve better than that.

You’re a business owner doing real revenue — $10k, $20k, $50k a month or more — and you need capital fast. Maybe your bank said no. Maybe you don’t want to deal with three weeks of paperwork. Maybe payroll is due Friday and you need cash now.

But choosing the wrong funder can cost you thousands. And not just in fees — in time, in reputation, and in the ability to get funded again later.

What Actually Makes a Revenue-Based Financing Provider “The Best”

Forget the marketing. Here’s what actually matters when you’re choosing who to work with:

The 5 Things That Separate Real Funders From Lead Generators

Here’s something nobody puts in their “best of” list: half the companies advertising revenue-based financing aren’t funders at all. They’re lead generators. You fill out an application, they sell your information to 12 different companies, and your phone blows up for the next two weeks.

That’s not funding. That’s data harvesting.

Here’s how to tell the difference:

• Direct funder vs. broker: A direct funder makes the decision and sends the money themselves. A broker shops your deal around. Brokers aren’t always bad — but you should know which one you’re dealing with. Direct funders are faster.
• Who actually reviews your file: If a real human looks at your bank statements and makes a decision, that’s a funder. If your application goes into an automated system that blast-sends it to 50 lenders, that’s a lead gen trap.
• How fast the money actually moves: Real funders can have capital in your account in 24–72 hours. If a company says “7-10 business days” and calls that “fast,” they’re a middleman adding steps.
• Whether they ask for collateral: Revenue-based financing is supposed to be unsecured — based on your revenue, not your assets. If they’re asking for equipment liens or personal property, that’s not RBF. That’s a secured loan dressed up with different language.
• How they talk about repayment: A good funder explains exactly how repayment works — a fixed percentage of your daily or weekly revenue. If they’re vague about it, or push you to “just sign and we’ll figure it out,” walk away.

What Good Revenue-Based Financing Actually Looks Like

Let me walk you through what a real funding deal looks like — not the marketing version, the actual version.

Say you run a trucking company doing $35,000 a month. Your biggest rig needs a $12,000 repair. The bank won’t touch it because your credit took a hit last year when a client paid 60 days late.

Here’s what good RBF looks like:

• You submit 3 months of bank statements (not tax returns, not P&Ls, not a 20-page application)
• A funder reviews your actual cash flow — the money coming in and out of your account every day
• You get an offer in 24 hours: say, $15,000 at a factor rate of 1.3 — meaning you pay back $19,500 total over 6–8 months
• Repayment is a fixed daily or weekly percentage of your revenue — so when business is slow, you pay less. When it’s busy, you pay it off faster
• The money hits your account in 48 hours. Your truck is back on the road by Friday

No collateral. No personal guarantee tying up your house. No 90-day underwriting process.

The Questions You Should Ask Before You Sign Anything

Most business owners don’t ask enough questions when they’re desperate for cash. I get it — when payroll’s due and the bank said no, you just want the money.

But these 5 questions will save you from a bad deal:

• “What’s the total payback amount?” Don’t just look at the factor rate. Ask for the dollar amount you’ll pay back in total. Factor rate of 1.3 on $15,000 = $19,500. That’s the number that matters.
• “Is there a prepayment discount?” Some funders reward early payoff. Others don’t. If you can pay it off in 3 months instead of 8, you should benefit from that — not pay the full factor rate either way.
• “What happens if revenue drops one month?” A good RBF provider adjusts your payment to your revenue. If you have a slow week, your payment should shrink — not stack up into a balloon you can’t pay.
• “Are you funding this directly or brokering it?” Direct funders move faster. Brokers add a middleman fee. Know which one you’re talking to.
• “Will this show up on my personal credit?” Revenue-based financing typically doesn’t report to personal credit bureaus. But some do. Ask.

Why Black Lamb Finance Works Differently

I’m not going to pretend I’m unbiased — I run Black Lamb Finance. But here’s what I can tell you from 11 years inside a Fortune 100 bank and over 10 years in revenue-based financing:

Most funders treat you like a transaction. A file number. A factor rate calculation.

I treat you like a business owner who needs capital to keep growing — because that’s what you are.

Here’s what’s different about how we work:

• We look at your revenue, not your credit score. If you’re doing $10,000+/month in real business revenue, you qualify for funding — regardless of what the credit bureaus say
• We fund directly. No lead generation, no selling your data, no 12 phone calls from companies you’ve never heard of
• 3 months of bank statements is all we need to start. No tax returns, no business plans, no 20-page applications
• Capital in 24–72 hours once approved — not “7-10 business days” that stretch into 3 weeks
• Funding ranges from $10,000 to $500,000 depending on your monthly revenue
• We work with restaurants, trucking, construction, e-commerce, salons, healthcare, retail, and more — industries banks routinely reject

The Real Cost Comparison (No Spin)

Let’s be honest about what revenue-based financing costs. I’m not going to pretend it’s cheaper than a bank loan. It’s not. Bank loans have lower rates — when you can get one. The question is what your options actually are when the bank says no.

Here’s the real comparison:

• Bank loan: 6–10% APR, 30–90 day approval, requires strong credit + collateral + 2+ years of profitable tax returns. Most small business owners don’t qualify
• SBA loan: 8–13% APR, 30–90+ day approval, massive paperwork, personal guarantee required. Good if you qualify — but most don’t, and it’s not fast
• Credit card cash advance: 20–30%+ APR, fast, but destroys your personal credit utilization and caps are too low for real business needs
• Revenue-based financing: Factor rate 1.2–1.5 (effective APR varies based on repayment speed), 24–72 hour funding, based on revenue not credit, no collateral required

RBF isn’t the cheapest option. It’s the fastest, most accessible option for business owners who can’t wait 90 days for a bank to maybe say no again.

Red Flags: When to Walk Away

Not every funder is honest. Here are the signs you’re about to get a bad deal:

• They won’t tell you the total payback amount — only the “rate” or “percentage.” If they dodge this question, they’re hiding the true cost
• They pressure you to sign the same day — legitimate funders give you 24 hours to review. High-pressure tactics mean the deal gets worse if you read the fine print
• They ask for upfront fees — real funders deduct fees from the funded amount. If they want you to pay first, it’s a scam
• They can’t explain how repayment works in plain English — if it takes 20 minutes of jargon to explain a daily ACH, something’s wrong
• They’re a “lender” you’ve never heard of with no online presence — a real funder has a website, reviews, and a track record

How to Actually Get Started

If you’re doing $10,000 or more per month in business revenue and you need capital — whether it’s for equipment, payroll, inventory, expansion, or just breathing room — here’s how simple it should be:

1. Submit 3 months of bank statements
2. Get a funding offer within 24 hours
3. Review the total payback amount, repayment terms, and factor rate
4. Ask questions. All of them. Don’t sign until you understand every line
5. Capital hits your account in 24–72 hours

That’s it. No 90-day underwriting process. No 20-page application. No collateral.

Takes 2 minutes to start. Find out what you qualify for right now.

For a side-by-side look at other funding models, compare revenue-based financing against equity financing, business lines of credit, and purchase order financing.

Frequently Asked Questions

What is the best revenue-based financing company?

The best revenue-based financing company is one that funds based on your actual monthly revenue rather than your credit score, offers transparent factor rates between 1.2 and 1.5, funds in 24–72 hours, and doesn’t require collateral. Look for a direct funder — not a lead generator that sells your data to multiple lenders.

How do I choose a revenue-based financing provider?

Compare providers on five factors: whether they fund directly or broker your deal, how fast capital actually reaches your account, whether they require collateral, how transparent they are about total payback costs, and whether repayment adjusts to your revenue. Always ask for the total dollar payback amount, not just the factor rate.

How much does revenue-based financing cost?

Revenue-based financing typically uses a factor rate between 1.2 and 1.5, meaning you pay back 120% to 150% of the funded amount. For example, a $20,000 advance at a 1.3 factor rate costs $26,000 total. The effective APR depends on how quickly you repay — typically ranging from 30% to 70% annually.

Can I get revenue-based financing with bad credit?

Yes. Revenue-based financing is based on your monthly business revenue, not your personal credit score. If your business generates $10,000 or more per month in revenue, you can qualify for funding even with credit scores in the 500s or below. Most RBF providers require only 3 months of bank statements to evaluate your application.

How fast can I get funded with revenue-based financing?

Revenue-based financing can fund your business in 24 to 72 hours after approval. The application process typically requires only 3 months of bank statements and takes minutes to complete. Compare this to bank loans, which often take 30 to 90 days and require extensive documentation, tax returns, and collateral.

What’s the difference between revenue-based financing and a merchant cash advance?

Revenue-based financing and merchant cash advances are similar — both provide upfront capital in exchange for a portion of future revenue. The key differences are in structure and cost: RBF typically offers longer repayment terms (6–18 months), more flexible repayment that adjusts to your revenue, and lower factor rates. MCAs often have shorter terms, higher costs, and fixed daily debits regardless of your revenue.