Frequently Asked Questions

How it works:

  • What is Growth Capital?

    Clearbanc uses a unique corporate revenue share to fund the growth of our portfolio companies. We have powerful predictive models that look at your revenue, ad performance and other third party data to generate funding offers.

    We don't take equity, we don't dilute your investors, we don't take personal guarantees and we don't do a credit check. Our offers are based on your performance.

    We can deploy between $10K to $10M and can deploy that capital in less than 3 business days typically.

    Clearbanc charges a small flat fee on our capital that ranges from 6% - 12% depending on how you spend the funds. This isn't an interest rate, and this is not a loan. You always know our fees up front.

  • What is a Clearbanc Marketing Card?
    A Clearbanc marketing card is a Visa available to fund your marketing spend. You can spend it on digital ad spend or to pay other items in your marketing budget.
  • What do I need to do to qualify for an advance?

    We currently only provide financing for eCommerce and Consumer SaaS (software as a service) companies. If your business is not within these categories, we do not currently have a program in place to support you, but check back soon as we expand.

    Minimum eligibility criteria includes:

    • average monthly revenue of at least $10K
    • at least 6 months of consistent revenue history
    • business must be incorporated (ie. corporations or limited liability companies)
  • Can I receive more than one advance at a time?

    Yes. You may receive an additional advance if you qualify for more capital.

    You may qualify for more capital if:

    • You did not choose the max amount of capital on the first advance
    • Your company revenue has grown significantly since the last advance
    • You have a new source of income that significantly increases your revenue
    • You are 80%+ repaid on your previous advance

    All offers are subject to due diligence.

  • Will applying affect my credit score?
    We determine eligibility by analyzing your actual business metrics, so applying for an advance with Clearbanc should NOT affect your credit score.
  • How long does the whole process take?
    The entire process (application, offer, negotiation, approval, sending funds) can be completed in as little as one to two business days. Large advances and applications requiring special considerations or analysis may take longer.

Fees:

  • What fees are associated with taking an advance?
    There is no fee to apply for an advance. There is a fixed fee associated with each advance which is determined based on your business data. It has no periodic nor compounding interest. You will know exactly how much you are paying up front before you accept the offer and that fee will never increase throughout the repayment process.
  • How is my fee rate determined?
    The flat fee is based on the data analyzed by our platform. We take your revenue data, business metrics, and market data into consideration when determining your unique offer and the fee associated with it.

Repayment:

  • How do I repay my advance?
    Repayment is made from your future business revenue. A percentage (decided when negotiating your terms) of each transaction is applied until we recoup the capital we provided to you in full, plus the fees. There is no set repayment date, as we understand your business can fluctuate throughout the year.
  • What is my repayment percentage?
    The repayment percentage is decided when negotiating the terms of your advance. We typically take 1% to 20% of future revenue to keep cash flow in your day to day operations. We work with you to determine a rate that will be acceptable for everyone.
  • Can I change the repayment percentage after I receive the advance?
    The repayment percentage you decide on with your account manager will remain in effect until we recoup the capital we provided to you in full, plus the fee.

General:

  • What information do you need to verify my business?
    In order to provide you with an offer, we need to verify identities and analyze business data. The first step is to connect the accounts you use to run your business - we use this information to analyze your business data. To verify identity, we need information about your business, its officers and directors. The information we require will be specified in your account dashboard, and includes your Articles of Incorporation documents, and government Photo ID.
  • Why do you need my bank account information?
    We use your financial information to determine your eligibility for a Clearbanc Advance as well as for Advance maintenance and processing. We ask that you link this information to our platform so we can assess your business performance quickly and in an automated manner. The bank account(s) you connect to Clearbanc are also the bank account(s) from which we will debit your advance repayments via ACH or Direct Debit Authorization.
  • How secure is my information?
    We are committed to the security of your information. All information you share with Clearbanc is secured during transport and at rest. For example, we use military grade encryption (RSA-4096 and AES-256) to protect all data transmissions. We also limit what we have access to. For example, we can never at any point see your login information for any of your connected accounts. In addition, we only have “read” level access to the data you share with us – in other words, we are never able to change or modify in any way your shared data. We have securely connected more than 25,000 customer data sources.
  • Are you going to sell my information to third parties?
    We are committed to protecting your privacy. We don’t do anything with your information without notice to you or your consent. See our privacy policy for more details
  • Can I apply for an advance if I have a business partner?
    Of course! However, each authorized user has to go through a verification process.

Payment Logistics:

Clearbanc Marketing Card: