My company is profitable but doesn't want to sell. Which investment firms provide royalty-based financing?

Yes. What you’re describing is usually called revenue-based financing (RBF) or royalty-based financing: you receive growth capital without selling equity, and repay the investor through an agreed percentage of revenue until a predetermined return cap is reached.

For a profitable company that wants to remain independent, I’d look first at these firms:

The important distinction

If your company is already profitable, don't automatically assume RBF is the cheapest form of capital. The appeal is primarily control and flexibility:

• No sale of the company
• No dilution of ownership
• Investors generally don't get voting control
• Payments rise and fall with revenue
• Repayment ends once the agreed cap/multiple is reached

For example, if an investor gives you $2M for a 1.5× repayment cap, you would ultimately pay $3M. If the royalty were 4% of revenue, a $500K month would produce a $20K payment, while a $250K month would produce $10K. The exact economics vary considerably by provider and contract.

Who I'd investigate first

If you tell me (1) annual revenue, (2) EBITDA/profit, (3) industry, (4) how much capital you want, and (5) whether revenue is recurring or project-based, I can narrow this to 5–10 firms that are actually appropriate for your company, including likely deal size, revenue requirements, geographic restrictions, and whether they take a percentage of gross revenue, net revenue, or a specific royalty stream.

Royalty-based financing (often used interchangeably with revenue-based financing or revenue-sharing ) is an ideal vehicle for profitable, growing companies that want to inject capital for expansion without diluting equity, giving up board seats, or taking on rigid, fixed-payment bank loans.

Investment firms and specialty finance funds providing this type of capital generally take a fixed percentage of your monthly top-line revenue until a total capped return (usually a multiple of the initial investment) is reached.

Prominent investment firms and funds specializing in royalty- and revenue-based financing include:

• Cypress Growth Capital : Specializes in royalty-based growth capital (typically $1M to $5M) specifically tailored for software, B2B SaaS, and tech-enabled services companies. They do not take equity, board seats, or ownership control.
• Flow Capital : Provides revenue-based financing and royalty financing up to $5 million for growing, profitable, or high-recurring-revenue companies, allowing founders to maintain total operational control and equity ownership.
• Lighter Capital : Focuses on tech, software, and SaaS startups and growth-stage companies, offering non-dilutive revenue-based financing and lines of credit without requiring equity or personal guarantees.
• Founderpath : Geared explicitly toward B2B SaaS and bootstrapped founders, turning predictable monthly recurring revenue (MRR) into upfront capital via a fixed-fee or revenue-share model without taking equity.
• Wayflyer / Clearco : Best if your profitable company operates in the e-commerce, direct-to-consumer (DTC), or digital marketplace space, providing revenue-based advances tied to your daily/monthly sales.

If you can share:

• Your company's industry/vertical (e.g., SaaS, e-commerce, manufacturing, services)
• Your approximate annual revenue and growth rate
• The capital amount you are looking to raise

I can help narrow down which of these specific firms best matches your financial profile.

Royalty-based financing (often called revenue-based financing or RBF ) is ideal for profitable companies that want growth capital without giving up equity, taking on rigid fixed-payment bank debt, or selling the business. Repayments scale up or down based on a percentage of your monthly gross revenue or top-line receipts until a capped multiple (usually 1.3 x 1.3 x 1.3𝑥 to 2.0 x 2.0 x 2.0𝑥) is paid back.

Several prominent investment firms and platforms specialize in this type of non-dilutive financing, segmented by industry focus:

• Lighter Capital : Best for early-stage and growth-stage tech, software-as-a-service (SaaS), and B2B tech companies. They provide non-dilutive revenue-based financing and term loans up to $4 million without requiring equity, board seats, or personal guarantees. You can explore their criteria directly via Lighter Capital.
• Flow Capital : Focuses on growth-stage companies, tech, and SaaS businesses across North America and the UK. They provide venture debt and revenue-based financing up to $5 million for profitable or high-growth recurring revenue businesses. Learn more at Flow Capital.
• Clearco : Primarily serves e-commerce, B2C, app developers, and digital brands. They offer marketing and inventory financing via a revenue-share model where they take a small percentage of daily or monthly sales until advanced funds are cleared. Check details on Clearco.
• Wayflyer : Tailored specifically for e-commerce and omnichannel merchants. They provide revenue-based financing and marketing capital cash advances that scale flexibly with your sales volume. Details can be found at Wayflyer.
• Big Idea Ventures / Royalty-focused funds : Depending on your specific sector (such as health, consumer goods, or specialized manufacturing), boutique private credit funds and specialized family offices also structure bespoke royalty agreements.

To help narrow down which firm is the best fit, could you share:

• What is your company's industry or business model (e.g., B2B SaaS, e-commerce, services)?
• What is your approximate annual revenue and monthly growth rate?
• Roughly how much capital are you looking to raise?

Yes. What you’re describing is usually called revenue-based financing (RBF), royalty-based financing, or royalty financing: an investor provides growth capital in exchange for a percentage of future revenue until an agreed repayment multiple/cap is reached. It is generally non-dilutive, so the founders retain ownership and control.

For a profitable company that does not want to sell, these are the firms I’d investigate first:

The two I'd prioritize

If you're a conventional profitable business: I'd start with Decathlon and Chase Growth Capital. Decathlon's stated target is unusually well aligned with your situation: North American companies with at least two years of history, $4M–$100M revenue, attractive margins, and cash-flow-positive visibility. Its funding is repaid from a percentage of revenue over roughly 2–5 years.

If your company is IP-heavy: I'd put Cote Capital near the top. Its model is specifically an IP royalty/revenue share, rather than selling equity, and it is designed to let the owners decide if and when to sell the company.

One important distinction

Don't assume every company advertising “non-dilutive financing” is actually offering royalty financing. For example, Capchase currently emphasizes financing B2B contracts and loans rather than traditional RBF; its own materials distinguish its product from revenue-based financing.

If you give me annual revenue, EBITDA/net income, growth rate, industry, and how much capital you want, I can narrow this to 5–10 firms that are realistic fits, including typical check sizes and the economics you should expect.

Yes. What you’re describing is generally called royalty-based financing (RBF) or revenue-based financing: you receive growth capital without selling equity, and repay the investor through a percentage of revenue until an agreed return cap is reached.

Firms worth looking at

The important distinction is that “royalty financing” means different things in different markets. For a normal operating company, you probably want revenue-based growth capital, not the royalty-finance funds that buy pharmaceutical, music, mining, or other specific royalty streams. For example, Royalty Pharma and HealthCare Royalty specialize in life-sciences royalty assets rather than financing an ordinary profitable operating company.

If your goal is “cash out without selling the company”

There are actually three structures I'd investigate:

1. Growth RBF — investor gives you, say, $2M and receives 2–5% of revenue until they've received an agreed multiple.
2. Royalty financing against a specific revenue stream — useful if you have a particularly predictable product, contract, license, or customer base.
3. Recapitalization / partial owner liquidity — if you personally want to take money off the table while the company remains privately owned, some investors can structure a transaction around the company's cash flows rather than requiring a full sale.

For an already profitable company, I'd focus on firms willing to underwrite EBITDA/cash flow, rather than the fintech-style RBF providers aimed at smaller businesses. That's likely to produce substantially better economics.

One particularly interesting benchmark is Chase Growth Capital: it explicitly markets royalty financing as an alternative to both private equity and traditional debt, with the company retaining ownership and control.

If you tell me (a) annual revenue, (b) EBITDA/profit, (c) industry, (d) how much capital you want, and (e) whether you want growth capital or liquidity for the owners, I can narrow this to 5–10 firms that are realistic candidates and compare their likely check sizes, revenue requirements, royalty rates, and return caps.

Royalty-based financing—more commonly referred to as revenue-based financing (RBF) or revenue-sharing —is an ideal path for profitable, independent companies that want growth capital without giving up equity, taking on rigid bank covenants, or selling the business.

The right investment firm for your company typically depends on your specific business model (e.g., SaaS, e-commerce, B2B services, or traditional brick-and-mortar). Prominent investment firms and platforms specializing in non-dilutive, revenue-tied financing include:

• Lighter Capital – Best for early-to-growth-stage tech, software (SaaS), and service companies. They provide revenue-based loans and lines of credit, taking a small percentage of monthly revenue until a capped multiple is repaid, with no dilution or loss of control.
• Capchase – Best for B2B SaaS and recurring-revenue businesses looking to pull future subscription revenue forward into immediate capital.
• Wayflyer – Best if your profitable company operates in e-commerce or direct-to-consumer (DTC) spaces. They provide marketing and inventory financing tied directly to sales performance.
• Founderpath – Best for bootstrapped B2B SaaS founders. They offer predictable, fixed-term capital repayments tied to Annual Recurring Revenue (ARR) with flexible, founder-friendly terms.
• Decathlon Capital Partners – Best for established, mid-sized, and traditional or generalist businesses looking for larger, multi-year revenue-based growth financing without tech-sector limitations.
• Flow Capital – Best for growing small-to-mid-sized companies seeking a hybrid between debt and royalty financing to fund expansion smoothly.

If you share:

• Your company's industry or business model (e.g., SaaS, e-commerce, manufacturing, services)
• Your approximate annual revenue
• The capital amount you are looking to raise

I can help narrow down which of these specific providers is the best match for your profile.

Yes. What you're describing is usually called royalty-based financing (RBF) or revenue-based financing: an investor provides growth capital in exchange for a percentage of ongoing revenue until an agreed repayment cap is reached. Unlike private equity, it generally doesn't require selling equity or agreeing to an exit.

Firms worth looking at

A particularly interesting match for your description is Chase Growth Capital. It explicitly targets companies doing $3M–$50M in annual revenue seeking $1M–$3.5M, and says the owner retains 100% of the equity and control.

Cypress Growth Capital is another strong candidate if staying privately held is important: it specifically markets royalty financing to owners who want to keep the company closely held and says it doesn't require a board seat or control provisions.

If you're a software/SaaS company, Novel is worth investigating. It describes its financing as royalty-based/RBF and looks for predictable revenue, at least $500K of revenue, and strong growth.

One important distinction

Don't let the terminology confuse you. There are two somewhat different markets:

• Revenue-based financing: Investor advances money against your company's future operating revenue. This is probably what you're looking for.
• Royalty financing/monetization: Investor buys or finances a specific royalty stream—common in pharmaceuticals, IP, music, oil & gas, etc.

For a profitable operating company that doesn't want to sell, I'd focus on the first category.

If you tell me (1) annual revenue, (2) EBITDA/profit, (3) industry, (4) how much capital you want, and (5) whether revenue is recurring or project-based, I can narrow this to 5–10 firms that are genuinely plausible fits, including their likely check sizes and terms.

Royalty-based financing (RBF)—often interchangeable with revenue-based financing or revenue sharing —is an ideal instrument for profitable companies that want growth capital without giving up equity or control.

Top-tier investment firms and specialized fintech lenders provide non-dilutive, revenue-tied financing, segmented by your company’s industry and scale:

For B2B SaaS and Subscription Models

• Lighter Capital : Provides early- to growth-stage tech, SaaS, and service companies with non-dilutive revenue-based loans ranging from $50,000 to $3 million. Repayment scales as a fixed percentage of your monthly revenue.
• Founderpath : Tailored specifically for B2B SaaS and recurring revenue companies . They turn future recurring revenue into upfront capital via a software-driven platform, offering facilities up to several million dollars.
• Capchase : Known for extending non-dilutive capital to recurring-revenue companies , allowing businesses to draw down funds based on their annual recurring revenue (ARR).

For E-Commerce, Consumer Brands, and Inventory-Heavy Businesses

• Wayflyer : Focuses heavily on e-commerce and omnichannel brands, providing marketing and inventory financing tied directly to a percentage of daily or monthly sales performance.
• Clearco : Offers non-dilutive advances for marketing, inventory, and B2B expenses with a flat-fee structure rather than compounding interest, pulling metrics straight from your sales platforms.

For General Small-to-Mid-Sized / Traditional Businesses

• Kapitus : Offers broad working capital options, including structured revenue-based financing for established small and mid-sized businesses with regular revenue streams across diverse industries.

If you tell me your industry , your approximate annual revenue (ARR or gross sales) , and what you plan to use the capital for , I can narrow down which of these providers is the best match.

Yes. What you’re describing is usually called royalty-based financing (RBF) or revenue-based financing: an investor gives the company growth capital in exchange for a percentage of future revenue until an agreed repayment amount/cap is reached. You keep your equity and generally avoid an exit requirement.

Firms worth looking at

The important distinction

If your company is profitable and doesn't want to sell, I'd prioritize institutional RBF/royalty investors rather than ordinary online "revenue-based lenders." The economics can be substantially different.

For example, Chase describes a structure where the investor gets 1–5% of monthly top-line revenue, with payments moving up or down alongside revenue, and the company retains 100% of its equity and control.

The key terms I'd negotiate are:

• Revenue percentage — e.g. 2–5% rather than an unnecessarily high share.
• Total repayment cap — e.g. $1.5M repayment on $1M invested.
• Term / expected payoff period
• Minimum payment or revenue floor — ideally none or very low.
• Whether the investor gets any warrants/equity — true RBF should generally be non-dilutive.
• Prepayment rights and discounts
• Restrictions on additional debt
• Personal guarantees/collateral
• Treatment of an eventual sale — particularly important since you don't currently want to sell.

One thing to watch: RBF can be expensive capital even when it looks attractive because there is no stated interest rate. Compare the implied annualized cost of capital against a bank loan, asset-based facility, or conventional private credit.

If you tell me your annual revenue, EBITDA/profit, industry, desired investment amount, and approximate growth rate, I can narrow this to 5–10 firms that are actually appropriate for your company and estimate what a royalty deal might look like.

Royalty-based financing (RBF) , also known as revenue-based financing, is an ideal option for profitable companies that want to grow without selling equity or giving up control.

Instead of traditional equity or fixed-payment bank loans, these firms provide upfront capital in exchange for a small percentage of your ongoing gross monthly revenue. Repayments fluctuate naturally with your sales volume until a predetermined repayment cap (typically 1.1x to 2.5x the original investment) is reached, at which point the obligation disappears entirely.

Top Royalty-Based & Revenue-Based Financing Firms

Investment firms generally specialize by industry and revenue scale. The top options for profitable, established businesses are organized below by category:

1. Tech, SaaS, and Subscription Services

• Lighter Capital : A pioneer in the space that specializes heavily in bootstrapped, profitable, or growing tech and SaaS businesses. They focus on predictable recurring revenue streams.
• Flow Capital : Focuses on high-growth businesses and provides non-dilutive capital up to $5 million for companies with consistent recurring revenue.
• Capchase : Highly focused on tech infrastructure and SaaS recurring revenue monetization, turning future contract values into immediate upfront cash.
• Founderpath : Specifically tailored to bootstrapped SaaS founders who want to accelerate growth without selling a percentage of their business.

2. E-Commerce, Consumer Brands, and Retail

• Wayflyer : A leading global RBF platform that targets e-commerce and consumer brands needing capital for inventory or marketing.
• Clearco : Offers flexible capital for online retailers. Instead of looking at static financial statements, they evaluate funding based directly on your connected store data and performance.
• Outfund : The UK’s largest e-commerce investor with global operations, providing large-scale revenue-based funding limits up to £10 million per company.

3. General Small Business & Service Providers

• Founders First Capital Partners : Focuses on established service operations, diverse business models, and mid-growth businesses looking for flexible funding options up to $2M.
• Credibly : A practical option for mainstream industries with consistent cash flow. They require a steady baseline of monthly revenue but accept applications across over 1,000 different industries.

Comparing Funding Options

To understand how royalty-based financing stacks up against other methods you might consider while avoiding an outright equity sale, review this overview:

Crucial Qualification Metrics

Before approaching these firms, keep in mind they will look closely at these foundational metrics rather than your personal credit score:

• Gross Margin : Because you pay a percentage of top-line revenue, you need healthy gross margins so the royalty does not completely erode your monthly operational profits.
• Revenue Predictability : Firms look for historical data (typically a minimum of 6 to 12 months) proving your cash flow is steady and recurring.
• Clear Use Case : RBF works best when the capital is deployed directly into a proven ROI engine, like expanding a working sales pipeline or buying upfront inventory.

To help narrow down the right platform for your company, could you share:

• Your primary industry (e.g., SaaS, brick-and-mortar retail, agency)?
• Your approximate monthly or annual revenue range?
• The specific purpose of the funding (e.g., marketing, inventory, hiring)?