Convert Your Contracts Into Instant Cash.

Fund your business using your untapped assets, enhanced by AI-driven insights.

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Calculate your funding

$ 2,000,000

Your current ARR

Your Gross Burn (per month) *

Your Runway (months) *

can fund you up to

$ 1,600,000

Get Your Offer Details

No Payments Up to 12 months

• Pay Ratio only when your customer pays you!
• No monthly payments required for Ratio unlike venture debt and revenue based financing
• Pick and choose which contracts to sell based on your cashflow needs

Get Strategic Capital Now

It’s your business, and your revenue. Use it to grow, invest and build.

Working Capital

M&A

Hiring

Advertising

New Products

Extend Funding Runway

No Dilution

No Restrictions

• Fewer restrictive covenants than traditional term loans and venture debt
• No cumbersome and manual reporting burden
• No restrictions or approvals on fund usage

Fast & Easy

Connect your systems with a few clicks

Receive approval within hours

Finish your application in minutes

Cash in days, not months

Security & Privacy

• All network traffic is encrypted using TLS v1.3 through RSA-2048
• All data is encrypted at rest and physically segregated by tenancy
• Ratio does not store any user credentials whatsoever

FAQs

What is Ratio Trade?

Ratio Trade is a new type of a growth financing service that allows companies to convert their annual and multi-year contracts to instant cash. It involves neither debt nor dilution. It takes less than 48 hours to approve and only a few days to receive the capital into your bank account.

How does Ratio Trade work?

Ratio Trade goes from on-boarding to cash in 5 simple steps:

1. You connect to your banking, financial, and billing systems through the Ratio Portal;
2. Ratio reviews your submission and approves or declines your company within 48 hours;
3. You upload your annual or multi-year contracts;
4. Ratio provides an indicative cash offer for each of your contracts;
5. You accept the offer and receive the cash in your account!

What is a True Sale?

A True Sale is a transaction where cash-generating assets (accounts receivable, annual contracts, multi-year contracts, etc.) are fully transferred from a seller to a buyer for a purchase consideration.

What is the value of True Sale for public and private companies?

For public companies, True Sale enables compliance with cash reporting regulations and faster cash conversion. For private companies, True Sale offers a new source of growth capital that is distinct from venture debt, equity capital, or revenue-based financing.

Is this debt?

Ratio Trade or Ratio Boost are not debt. We purchase each contract and advance the cash to the seller as if it were paid by the buyer at the time of the purchase.

How much does Ratio Trade cost?

Ratio Trade involves the sale of cash-generating assets to Ratio for a purchase consideration. This consideration includes a nominal fee (known as the discount rate) for the value we provide in fast-forwarding cash flows from the future to the present.

Example 1:

A 12-month contract with an unexpired contract value of $100,000 paid monthly can be bought by Ratio at a discount rate of 6%. This means you get $94,000 in cash from Ratio.

Example 2:

A 36-month contract with an unexpired contract value of $1,000,000 paid annually can be bought by Ratio at a discount rate of 15%. This means you get $850,000 in cash from Ratio.

What kinds of companies use Ratio Trade?

Ratio’s customers range from large public companies and large private enterprises to venture-funded early-stage and growth-stage startups, and bootstrapped companies with no outside investments.

How is Ratio Trade better than Venture Debt?

Ratio Trade is different from Venture Debt in four key ways:

1. There are no warrants;
2. There are no covenants or restrictions;
3. You can convert select short-term, illiquid assets (long-term customer contracts) into instant liquid cash without any debt;
4. You can super stretch your company’s runway with no repayments for up to 12 months.

How is Ratio Trade different from traditional Revenue Based Financing?

Ratio Trade is different from Revenue Based Financing in a fundamental way: There is no automated repayment every month as a % of revenues. You pay Ratio only when the customer related to the contract that you sold to Ratio pays!

How is Ratio Trade different from Factoring?

Traditional factoring is a financial arrangement where companies can sell their pending invoices to a third party in exchange for fast cash. Traditional factoring typically does not take into consideration uninvoiced but contractually committed services that have not been delivered yet.

How does Ratio determine the discount rate for purchasing contracts?

Discount rates are determined by our risk engine that uses proprietary algorithms to assess the credit-worthiness of both the seller and the customer.

What happens in the case of a dispute between the Seller and the customer?

In case of dispute between the Seller and the customer, the Seller is required to remedy the dispute. If the dispute is not resolved, any contracts purchased by Ratio have to be repurchased back by the Seller.

Who is responsible for collections?

It is up to the Seller. In our Boost model, Ratio is responsible for collecting from the Seller’s customer/buyer. In the Trade model, Ratio is unknown to the buyer and the Seller is responsible for collections.

How does Ratio make money?

Ratio purchases contracts for cash at a small discount. The discount can be paid by the seller or the buyer depending on which product (Trade or Boost) is being utilized to get cash upfront by the Seller.

How does Ratio Boost work?

Ratio Boost is similar to consumer buy-now-pay-later but focuses on business buyers. In Boost, the financing is embedded into the sales workflow and the financing costs can be passed on to the buyer.

Do you pull my credit score? Are there personal guarantees?

We do not pull any personal credit scores or require personal guarantees, but may access a business credit report associated with your EIN.