Customers pay upfront (annual or multi-year) in exchange for a discount.
Strong product pull; the cheapest money most startups can get.
Discounts cut revenue forever on that contract; limited by what customers will prepay.
At a glance
| Family | Customer-funded |
| What gets underwritten | Your customers' willingness |
| Collateral | None |
| How you repay | Deliver the service |
| Dilution | None |
| Typical pricing | About 5–50% one-time discount |
| Typical time to cash | About 4 weeks to about 2 months |
| Good for | Working capital · Growth spend · Extending runway · R&D |
Customer-funded providers compared
Sorted by the low end of the estimated rate as of today. Your actual cost depends on your revenue, credit profile and term — the calculator works it out for you.
| Provider | Estimated as of today | Time to cash | Typical size | Requirements | Regions |
|---|---|---|---|---|---|
| Annual upfront billing Discount for paying a year upfront |
Rates shown to approved members estimated |
About 4 weeks | Up to about 1× ARR | Existing revenue | US · UK · EU · Global |
| Paid pilots & design partners Upfront pilot fees |
Rates shown to approved members estimated |
About 6 weeks | Up to $250K | No hard minimums listed | US · UK · EU · Global |
| Multi-year prepay Discount for 2–3 years upfront |
Rates shown to approved members estimated |
About 2 months | Up to about 2× ARR | Existing revenue | US · UK · EU · Global |
Is customer-funded right for you?
See how it stacks up against every other way to raise — priced for your amount, revenue and timeline.
Other funding types
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.