Professional services
Financing for firms that invoice on terms and hire ahead of revenue
Agencies, consultancies, accounting and law practices, IT providers: the work is invoiced on thirty to sixty-day terms and the people are paid every two weeks. These are the products that bridge that difference.
What financing fits a professional services firm?
Receivables financing fits firms that invoice on terms, advancing most of each invoice now and settling when the client pays. A business line of credit fits recurring gaps between payroll and collections. Working capital loans fund a specific hire, a software migration or a marketing push, sized on deposits and funded in one to two days. Term loans and SBA fit an acquisition or a premises purchase for a firm with two years of history and full financials.
The shape of a services cash flow
A services firm has no inventory and no equipment to speak of, which makes it an unsecured file by definition. What it has is receivables — work done and invoiced but not yet paid — and a payroll that does not wait for collections. Funders underwrite that on two things: the consistency of deposits into the business account, and the quality of the clients who owe you.
Which product fits which problem
| The problem | Product | Why it fits |
|---|---|---|
| Clients pay in 45 days, payroll is every 14 | Receivables financing | Advances most of each invoice now; underwritten on your clients’ credit as much as yours |
| The gap recurs but never on schedule | Business line of credit | Draw against collections, repay when they land; pay only on what you use |
| A hire, a software migration, a marketing push | Working capital loan | Lump sum in 24–48 hours, repaid over months |
| A quiet quarter to get through | Merchant cash advance | Repaid as a share of deposits, so a slow month costs less |
| Buying out a partner, acquiring a book of clients, premises | SBA loan or term loan | Years, not months, at the lowest cost, for a file with two years and full financials |
Why receivables financing is the natural fit
Most services firms already have the asset that secures the cheapest short-term product: invoices to creditworthy clients. Receivables financing advances most of the invoice value when it is issued and settles the balance when the client pays, less a fee. Because the underwriting leans on the client’s credit, a young firm with blue-chip clients can qualify for more than its own history would support, and the facility scales with billings rather than being fixed at a number set months ago.
What an unsecured file needs to show
- Consistent deposits into a business account, month after month, even if the invoicing is lumpy.
- Client concentration that is not a single point of failure. One client at more than half of revenue is a question every funder will ask.
- An aged receivables report that matches the invoices you are asking to finance.
- Every open position disclosed, including software financing and any partner loans.
The personal guarantee, plainly
With no asset to pledge, every unsecured product for a services firm carries a personal guarantee from the owner or partners. That is standard. What is not standard, and worth refusing, is a confession of judgment anywhere in the paperwork. Our guide to unsecured business loans explains what to read before you sign.
One application covers every product in the network. Check your options — about five minutes, three months of statements, and a soft inquiry only.
Common questions
Can a new consultancy get funding?
After about six months of deposits into a business account, yes, for revenue-based products. Receivables financing can sometimes go earlier if the clients are strong, because it is underwritten on their credit.
Do retainers count as revenue?
Yes. Recurring retainer deposits are among the most reliable revenue an underwriter can see and strengthen a services file considerably.
What are the minimum requirements?
For revenue-based products through RAN Funding: about six months of revenue deposited into a business bank account, consistent deposits, a credit score from 500, and the last three months of business bank statements (four in some states). Every product starts at $10,000. Lines of credit typically want a year in business and a 575+ score; term loans and SBA want two years, good credit and full financials.
How fast can I be funded?
Merchant cash advances and working capital loans commonly fund the same business day or within 24 to 48 hours of a signed offer. Equipment financing usually takes a few days because the invoice is verified. Lines of credit take days to open; SBA loans take weeks.
Does checking my options affect my credit?
No. Seeing what your file fits is a soft inquiry. A hard pull only happens if you go ahead with a credit-based product such as a line of credit, term loan or SBA loan, and you are told before it does.
Sources
- 2026 Report on Employer Firms: Findings from the 2025 Small Business Credit Survey — Federal Reserve Banks, 3 March 2026
- State Commercial Financing Disclosure Laws — Venable LLP, March 2026
See what you qualify for
One application, about five minutes, soft pull only. A funding specialist comes back with the offers you qualify for — and explains every term before you sign.