Key differences
- Approved members can compare the estimated rates as of today side by side.
- Annual upfront billing is usually faster to fund (about 4 weeks vs about 2 months).
Side by side
| Annual upfront billing | Multi-year prepay | |
|---|---|---|
| Product | Discount for paying a year upfront | Discount for 2–3 years upfront |
| Funding type | Customer-funded | Customer-funded |
| Estimated rate as of today | Rates shown to approved members | Rates shown to approved members |
| Pricing source | Estimated as of today | Estimated as of today |
| Time to cash | About 4 weeks | About 2 months |
| Typical size | Up to about 1× ARR | Up to about 2× ARR |
| Term | 12 months | 24–36 months |
| Requirements | Existing revenue | Existing revenue |
| Regions | US · UK · EU · Global | US · UK · EU · Global |
| What they underwrite | Your customers' willingness | Your customers' willingness |
| Collateral | None | None |
| How you repay | Deliver the service | Deliver the service |
| Dilution | None | None |
Annual upfront billing
Offer a discount for annual prepayment instead of monthly billing.
Multi-year prepay
Larger discount for multi-year cash upfront; best with sticky enterprise buyers.
Annual upfront billing vs Multi-year prepay FAQ
What is the difference between Annual upfront billing and Multi-year prepay?
Approved members can compare the estimated rates as of today side by side. Annual upfront billing is usually faster to fund (about 4 weeks vs about 2 months).
Which is faster, Annual upfront billing or Multi-year prepay?
Annual upfront billing usually funds in about 4 weeks; Multi-year prepay takes about 2 months.
Which is cheaper for you?
The answer depends on your amount, term and revenue. The calculator prices both on the same basis — fees, warrants and dilution included.
Related comparisons
Rates are estimates as of today, not a lender's quoted interest rate. Not an offer of credit, investment, legal or tax advice. B2B Agent may receive a referral fee when we introduce you to a provider; it never changes rankings or what we publish. Lenders: send your current terms so we can refresh the estimate, which also makes you eligible for the Transparent Pricing and Lowest Rate awards. Update your listing.