Clearco Glossary

During your time with Clearco, you may come across these terms. See below for additional context and definitions.

Advance: The amount Clearco funds you to pay your invoice or cash advance.

Revenue Based Financing: Revenue-based financing (RBF) is a form of royalty-based financing. It's a means of raising capital by promising future revenue in exchange for funding. Rather than incurring interest with debt financing or giving up a piece of your company like with equity financing, the RBF providers are paid a portion of business revenue until the purchase price is  paid in full. Many business owners consider RBF as a more fluid form of financing with flexible payment terms.

Revenue Share Agreement: A Revenue Share Agreement is a form of contract for RBF.

Capital Provider: Clearco does not provide loans. Clearco is not a lender. Clearco provides capital funding. 

Flat Fee: Clearco does not charge interest, or APR. As the fee is decided at the time of submission, the fee is not altered and therefore is a flat fee.

Invoice: An unpaid invoice addressed to your business that you wish to pay.

Capped Amount: The maximum weekly amount of Future Receivables you pay Clearco.

Specified Amount: The Advance plus the fee.

Specified Percentage: The percentage of Future Receivables Clearco can debit up to the Capped Amount.

Have another term you have questions about? Please feel free to reach out to our Customer Support team via e-mail support@clear.co.