Revenue-Based Financing in Palm Desert, CA
If a Palm Desert business has busy and lean months, revenue-based financing keeps payments in step with sales. We shop one application to funding partners that offer it.
A nationwide broker headquartered in Los Angeles. Free to apply, you never pay us a fee, and we call back, usually the same business day.
What should a Palm Desert owner know about how it works?
A funder sends a lump sum, $59,500 in the example on this page, and collects a percentage of each month's revenue until the agreed total is paid back.
What does a funder need to see?
They read revenue month by month, note the low points and check for other advances, then set a share and cap from that picture.
How is the share set?
Funders look at margins and the spread between strong and weak months. For a restaurant, the share has to leave room for food orders, payroll and kitchen repairs; the example settles on 7%.
Who in Palm Desert uses revenue-based financing?
Of the trades on this page, restaurants are the largest group in Palm Desert, at 104 businesses out of 1,615 employers. California averages 26.2 employers per 1,000 residents; Palm Desert has 30.3.
| Trade | Businesses in Palm Desert | Per 10,000 residents | U.S. per 10,000 |
|---|---|---|---|
| Restaurants | 104 | 19.5 | 15.4 |
| Clothing and accessories stores | 65 | 12.2 | 3.5 |
| Beauty and nail salons | 40 | 7.5 | 3.4 |
Is revenue-based financing right for restaurants?
Tourist seasons, holidays and the weather make a restaurant's months uneven; the payment follows revenue down and up. Local count: 104, 1.3 times the national rate per resident.
What makes clothing and accessories stores a fit?
A clothing store's revenue rises and falls with back-to-school, holiday and clearance cycles; in the lower months, the payment falls with it. There are 65 here, 4.0% of the city's employers.
Why would beauty and nail salons pick revenue-based financing?
A share of revenue moves with holidays, wedding season and back-to-school weeks, which fits how a salon earns. Census counts 40 in Palm Desert; that's 7.5 per 10,000 people.
How do the numbers work out for a restaurant?
With $108,000 in an average month, a restaurant repays $59,500 at 7% of sales up to a 1.35 cap: $7,560 in a typical month, $5,292 in a slow one.
| Sample figure | Value |
|---|---|
| Average monthly revenue (example) | $108,000 |
| Amount funded | $59,500 |
| Cap | 1.35 |
| Total repaid | $80,325 |
| Revenue share | 7% |
| Payment in an average month | $7,560 |
| Payment 30% below average | $5,292 |
| Payment 30% above average | $9,828 |
| Months to repay at average | 10.6 |
What drives the total cost?
The fewer swings in revenue, the lower the cap funders offer. Run your figures in the factor rate calculator.
Free to apply. You never pay us a fee. We call back, usually the same business day.
How does Palm Desert compare with Riverside County?
Of Riverside County's 46,244 employers, 1,615 are in Palm Desert. Among firms with 5 to 9 employees, the city has 308 and the county 7,966.
| Employees | Palm Desert | Riverside County |
|---|---|---|
| Under 5 | 872 | 25,753 |
| 5 to 9 | 308 | 7,966 |
| 10 to 19 | 215 | 5,972 |
| 20 to 49 | 136 | 4,207 |
What are the steps to get RBF?
- Start at afterfirstmca.com/apply; statements can follow.
- A broker calls to talk through your slowest months.
- You compare caps, such as the example's 1.35, and sign the best fit.
Who should skip revenue-based financing?
Skip it when the share would cut into payroll in a weak month. For short gaps that repeat, a business line of credit fits better. Need capital on top of an open advance? Look at a second position.
Do we take files from around Palm Desert?
Indio is the closest, 7 miles away. Palm Springs is the largest business market within 50 miles, with 1,898 employers.
| City | Distance | Employers |
|---|---|---|
| Indio, CA | 7 miles | 1,556 |
| La Quinta, CA | 8 miles | 801 |
| Cathedral City, CA | 9 miles | 875 |
| Palm Springs, CA | 11 miles | 1,898 |
What does a Palm Desert business need to know about RBF?
Is there a set end date for revenue-based funding?
No. It ends when the cap is reached; at the example's $7,560 a month, that is within 11 months.
Can a seasonal business get RBF?
Yes; seasonal revenue is what the structure is built for. Funders look at the full year, not just the busy months.
What does a restaurant need to get revenue-based financing?
Recent bank statements and a few minutes for the application. Palm Desert's 104 restaurants apply the same way as any other business.
Shall we shop financing tied to revenue for your Palm Desert business?
Applying is free, and you never pay us a fee. Call 877-FUND-654 with any question. We call back, usually the same business day, and we talk with you before your file goes to any funder.