Guide · Whether you'll qualify
How much can you borrow on $40,000 a month in revenue?
By Alex Makowski Published
Typically $20,000 to $60,000 — most funders advance between 50 and 150 percent of one month's deposits. At $40,000 a month, expect offers around $20,000 to $40,000 if you are newer, and toward $60,000 with two or more years of consistent trading.
In this guide
- 01The rule of thumb, and what moves it
- 02Deposits, not revenue on paper
- 03Borrowing the maximum is usually the wrong move
- Won't affect your credit
- Free, no obligation
- Up to $500K
01
The rule of thumb, and what moves it
50 to 150 percent of a single month's deposits is the working range across most revenue-based funders.
Time in business moves you within it more than anything else. Eight months puts you near the bottom; three years pushes you toward the top.
Deposit consistency matters as much as volume. $40,000 every month reads far better than $20,000, $70,000, $30,000 averaging the same.
Existing advances reduce it sharply, because the funder is calculating what your deposits can support in total, not in addition.
What your deposits support
02
Deposits, not revenue on paper
Funders read bank statements, not your accounting software. What counts is money that actually landed in the business account.
Revenue invoiced but unpaid does not count. Neither does income running through a personal account.
If your books say $40,000 and your statements say $28,000, the offer is built on $28,000.
03
Borrowing the maximum is usually the wrong move
Repayment is a percentage of daily or weekly deposits. A larger advance means a larger share of every day's revenue leaving before you see it.
The question worth asking is not what you can get but what your cash flow absorbs comfortably at the same time as rent, payroll and stock.
Taking less than the maximum and repaying cleanly also sets up materially better terms next time. Funders price a proven track record well.
Written by
Alex Makowski, Owner
Alex Makowski owns and runs Business Loans for America and has been placing funding for U.S. small businesses since 2021. Businesses he has worked with have secured $50M+ in financing across 1,200+ placements. He writes and reviews every guide on this site.
FAQ
Related questions.
- What is the minimum revenue to qualify?
- Around $15,000 a month opens most options; $30,000 opens materially more. Below $15,000 the field narrows considerably.
- Can I get more than one month's revenue?
- Yes, up to about 150 percent with longer trading history and steady deposits. Beyond that is unusual outside specific asset-backed products.
- Do seasonal swings hurt the amount?
- They are usually read against the same month last year rather than the month before. A genuine seasonal pattern is understood; unexplained volatility is not.
Guides
More on whether you'll qualify
Before the first dollar of revenue
Who funds a business that has not opened, and why it is not us yet.
The revenue floor
Around $10,000 to $15,000 a month in deposits opens most doors. Under that, one product still does.
Overdrafts and negative days
More than three returned items in ninety days downgrades a file. The fix takes one clean quarter.
Already have a loan
A bank loan, an SBA loan or an equipment note rarely blocks you. A second advance is a different question.
After a bankruptcy
Banks want three to five years. Revenue-based funders look at a discharged case after one to two.
Reading your statements
Seven things, in the order they are checked. Most declines are decided by the third.
Sources
- U.S. Small Business Administration — LoansFederal loan programmes, eligibility and what the SBA does and does not guarantee.
One application, every lender we work with
Find out what you qualify for before you need it.
Eleven questions, about two minutes. You see offers side by side and take one, or none.
- Won't affect your credit
- Free, no obligation
- Decisions usually inside 24 hours
- Up to $500K