FAQs for Small Businesses

• General

  • What is revenue based finance?

    Liberis’ Revenue Based Finance (“RBF”) product consists of a purchase of future account receivables from businesses (e.g., merchants selling retail goods and services) for an agreed upon purchase price (i.e., the cash advance), based on Liberis Limited (“Liberis”) assessment of your business information and previous transaction history.  Liberis provides funds to businesses in exchange for a percentage of the businesses’ daily revenue, from their payment processors. RBF is not a business loan or an overdraft. Put simply, cash is advanced to your business based on your eligible revenue, in return for you selling Liberis a portion of your future revenue. Liberis does not provide finance for consumer purposes.

  • How does RBF differ from a standard loan?

    Unlike a loan, with an interest rate, late fees, and early repayment penalties, RBF offers capital at an upfront cost. Payment plans are flexible, based on your future earnings/revenue, and there are no late-fees or early payment penalties. You will be expected to operate your business in a way that ensures Liberis receives a minimum monthly amount of up to 3% of the total amount owed to Liberis.

  • Can I tailor my quote?

    Yes. You can choose the amount of advance that you would like, and the percentage of your customer transactions you would like to pay towards the advance. This determines the RBF fixed fee and ultimately, the overall amount you will pay.

  • Who are Liberis?

    Liberis is a multi-award winning finance provider, offering simple, flexible and transparent funding to help small businesses achieve their ambitions. Liberis provides advances based on business potential, not just credit history. Through its RBF, an innovative form of advance, Liberis links payments directly to cash flow.

  • Can I change my business banking account while I have an active RBF product?

    No

• Personal Guarantees

  • Does Liberis take any security or collateral?

    Liberis will ask shareholders owning 25% or more of the company applying for the RBF to provide a Personal Guarantees.  Personal Guarantees are given by individuals, rather than companies, and are enforceable against individuals in respect of the company’s obligations under an RBF. By signing a Personal Guarantee You are agreeing to perform Your business’ obligations, and to pay the business’ liabilities to Liberis, if Your business does not.  The Personal Guarantee creates legally binding obligations, and so we advise You to take independent legal advice on any questions you might have in relation to it, before signing.

• Payments

  • How are payments made to Liberis?

    A fixed percentage of Your daily sales is automatically deducted until Your advance is fully paid.

  • Can I change my rate of payments while I have an active advance?

    If your revenue starts to drop you can always contact Liberis to request an adjustment to your split. Please call Liberis Customer Support for additional information here.

  • What happens if I make no sales for a few days?

    That is okay. We only take payments from you when you receive payments from your customers. You must notify us if you will not transact for a period of 7 days or more. If you have stopped making payments for a period of time, we will reach out to you to discuss, and may ask you to provide us with additional information.

  • Can I change acquirer(s) while I have an active RBF?

    No – we ask that you stay with your provider for the duration of your advance.

  • Can I pause my payments?

    We do not typically allow merchants to pause payments, however if you are struggling to meet the payments, please contact Liberis Customer Support team, who will be able to support you. We will always carefully consider the needs of our vulnerable customers on an individual basis.

  • What is the payment period for the RBF?

    At the outset, you will be given an estimated timeframe for finishing the advance, typically between 6-12 months, but as the payments flow with your cashflow, it may vary. Liberis RBF product is not a loan, there is no fixed term.

• Pricing

  • What is the total cost of an RBF?

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    The total amount you pay to Liberis is your RBF amount plus a fixed fee. You will not pay any interest or any other fees, for example, late fees, early payment fees, or origination fees.

• Funding

  • Can I change my principal funding amount after I have a live advance?

    No

  • Once I accept the offer and apply for the RBF product, how quickly will I receive the advance?

    You may receive funding as quickly as 48 hours from the point of signing the RBF contract with Liberis.

  • Am I eligible for additional funds while I am paying the existing RBF amount?

    Yes. Once you have paid 50% of your existing RBF, you may be eligible for a renewal RBF. As of March 2023, 79% of successful applications received funding within 2 working days.

  • Does paying the total amount early automatically qualify me for additional funding?

    No

• Marketing

  • How do I opt-out of RBF offers?

    You can opt-out at any time by selecting “Unsubscribe” from at the bottom of marketing emails, or by contacting dataprotection@liberis.com