How BetterBizLoans Makes Money

Why we publish this page

In small-business financing, how a company gets paid can quietly shape what it recommends. We think that is exactly why it should be out in the open. We publish this page because transparency builds trust, and because you cannot fairly evaluate a financing option without understanding the incentives of the company presenting it. Reading this should not require a finance background. We have written it in plain English so you can understand our business model, judge whether our interests line up with yours, and ask better questions before you accept anything. Nothing here replaces the actual terms a provider gives you; it is context to help you make an informed decision. This page is informational only and is not financial, legal, or tax advice.

Our business model in plain terms

BetterBizLoans operates as a hybrid. For some products, we provide or arrange the financing directly, which means we are a party to the transaction. For others, we act as a marketplace and connect you with third-party financing partners who make their own decisions and present their own offers. Because we play both roles, we can earn money in more than one way depending on which path fits your situation. The sections below describe each source of revenue specifically, so you can see how money flows in each case rather than relying on a vague summary. When you submit an inquiry to us, we share the business and contact information you provide with financing providers and partners so they can review your request and prepare offers; you can read more about this in our privacy policy.

• Direct: we provide or arrange certain financing ourselves and are a party to the agreement.
• Marketplace: we connect you with third-party financing partners who present their own offers.
• Either way, your actual costs and terms come from the provider and are disclosed to you before you accept, and everything is subject to underwriting and provider approval.

How we earn money: financing we provide directly

When we provide or arrange financing directly, such as a working capital loan or a business line of credit, we earn money the way most lenders do: through interest and fees charged on that financing. These are true loans, and their cost is set out in the loan agreement. The specific rate, fees, amount, and repayment terms depend on underwriting and are never set by this page. We do not promise approval, a particular amount, or a particular rate, and not all businesses will qualify; everything is subject to review and provider approval. Whatever the final terms are, they will be disclosed to you in writing by the provider before you sign anything, so you can see exactly what the financing costs.

How we earn money: receivables purchases and invoice factoring

Some of our products are not loans, and we earn money on them differently. A merchant cash advance is a purchase of future receivables, not a loan: we or a partner advance you a set amount today in exchange for a portion of your future sales or receivables, and the earnings come from the difference between the amount advanced and the total amount ultimately collected. Invoice factoring is a true sale of receivables: you sell your outstanding invoices at a discount, and the earnings come from the difference between what is advanced to you and what is collected on those invoices. Because these are purchases and sales rather than loans, they do not carry an interest rate or APR in the way a loan does. The pricing, the amount advanced, and the collection terms are disclosed to you by the provider before you agree to anything.

How we earn money: referral compensation and advertising

When we connect you with a third-party financing partner, that partner may pay us referral or marketing compensation for introducing your business to them. This is common in financing marketplaces, and we disclose it because you should know it exists. We also earn money from advertising displayed on our website. We want to be plain about what this compensation is: it is paid by partners and advertisers, and it is how a marketplace sustains itself. We do not add a markup to your financing because of it, and the commitments in the next section explain the limits we place on how it can affect you. The amounts and arrangements differ by partner, and a partner relationship does not change the underwriting or approval decision a provider makes about your business.

• Referral or marketing compensation from third-party financing partners when we connect you with them.
• Advertising revenue from ads displayed on our website.
• These are disclosed here so the full picture is in front of you before you decide anything.

Our commitments: what our compensation does not do

How we are paid is designed to stay separate from the outcomes that matter most to you. Three commitments anchor that separation. First, we do not add a markup to your price because of how we are paid; your costs and terms are set by the provider and disclosed to you, not inflated by our compensation. Second, how we are paid does not determine whether you are approved; approval depends on underwriting and the provider's own decision, not on any compensation we may receive. Third, how we are paid does not buy a more favorable recommendation beyond our stated matching criteria; a partner cannot pay to be ranked ahead of a better fit for your situation. We make these commitments because a marketplace only works if the way it earns money does not quietly work against the people it serves. None of this is a promise of approval, funding, or any particular amount, rate, or terms.

How we decide what to show you

Our goal is to show you options that realistically fit your business, not the options that pay us the most. We match based on the details you provide and the criteria a provider has set, including factors like your requested funding amount, your business revenue, your time in business, your industry, the state where you operate, and how you intend to use the funds. We currently serve businesses in all 50 states, so your state matters to whether and how we can help. We do not reorder or upgrade what you see in exchange for higher compensation. If two options would otherwise rank the same, that is a question of fit and eligibility, not of who pays us more. Because matching depends on provider criteria and underwriting, we cannot guarantee that any option will be available or that you will qualify.

What happens to your information when you inquire

Being transparent about money also means being transparent about your data. Our apply and inquiry forms ask for your contact name, email, phone, business name, the funding amount you are seeking, and your explicit consent to be contacted. When you submit an inquiry, we share the business and contact information you provide with financing providers and partners so they can review your request and prepare and present offers. That sharing is a core part of how the marketplace works and how we are able to earn referral or marketing compensation, which is why we describe it here as well as in our privacy policy. Submitting an inquiry is a request for offers; it is not an agreement to any financing, and you are under no obligation to accept what is presented. Our privacy policy explains in more detail what we collect, how it is used and shared, how long we keep it, and the choices available to you.

Your costs and terms are always disclosed before you accept

No matter which product or provider you end up considering, you should never have to guess what something costs. The actual costs and terms, whether that is the interest and fees on a loan, the total amount to be collected on a receivables purchase or factoring arrangement, the repayment structure, or any prepayment provisions, are disclosed to you by the provider in writing before you accept anything. We encourage you to read those disclosures carefully, compare your options, and ask questions about anything that is unclear. Submitting an inquiry to us is a request for offers; it is not an agreement to any financing, and you are free to decline. All financing remains subject to underwriting and provider approval, and not every business will qualify.

Editorial independence and how to reach us

The educational content on our site, including our guides, comparisons, and explainers, is written to inform you, not to steer you toward whatever pays us most. Our editorial policy describes how we create and review that content and how we keep it separate from our commercial relationships, including our advertising and referral arrangements. If something on this page is unclear, or if you want to know more about how a particular product is priced or how a referral relationship works, we want to hear from you. You can contact our editorial team at editorial@betterbizloans.com, or reach general support at support@betterbizloans.com.