Question 1

What is growth capital?

Accepted Answer

Growth capital is funding used to expand a business: new locations, acquisitions, renovations, equipment, and the hires that come with them. Bonside's capital program is built for growing multi-unit brick-and-mortar operators.

Question 2

What is working capital?

Accepted Answer

Working capital is the money that runs the business day to day: payroll, inventory, rent, vendor payments, and the gaps between spending and getting paid. Most working capital products punish the operator for needing them, through daily deductions or rigid lines. Bonside's capital is built for exactly this: a committed amount you draw against as needed, so you take capital when the business calls for it.

Question 3

What does non-dilutive mean?

Accepted Answer

Non-dilutive means the capital raised has no effect on ownership of the business. No equity changes hands, no board seats, no investor approval rights, no warrants. You own exactly as much of the equity in your business after taking Bonside capital as you did before.

Question 4

Why choose Bonside over debt or equity?

Accepted Answer

Debt is cheap but rigid: fixed payments, personal guarantees, collateral, and covenants that punish a soft month. Equity is flexible but permanent: sell 10% today and you have given up 10% of everything the business ever earns. Bonside sits between the two. Monthly collections and the repayment timeline flex with revenue but the total amount collected over time is capped, never increasing or bearing interest.

Question 5

How is revenue-based financing different from debt?

Accepted Answer

Debt financing carries fixed monthly payments of principal and interest, no matter how your business performed that month. It also carries personal guarantees, collateral, and covenants that may trip during a slow period of revenue and cash. Bonside's revenue-based financing collects a fixed percentage of revenue each month, up to a fixed total amount of revenue. Strong revenue months help complete the agreement faster, and slow revenue months elongate the repayment period given they feature lower collections. Bonside's agreement is without personal guarantees or collateral, with no restrictions on how you spend your money.

Question 6

Is this a loan?

Accepted Answer

No. Bonside is structured as a revenue purchase agreement, rather than a loan against your assets. Think of Bonside as the 'buyer' of future revenue and the business as the 'seller'. There's no interest rate, no maturity date, no personal guarantee, and no collateral. We collect a fixed amount of total revenue through a monthly share, and when that total is collected, the agreement is complete.

Question 7

How does this sit on my balance sheet?

Accepted Answer

On day 1, you'll receive your cash without any fees or holdbacks, and book an offsetting liability. Over time, this liability will wind down to zero as revenue is collected each month. We always recommend our partners work with their accountants to correctly track their Bonside capital.

Question 8

Do you take equity?

Accepted Answer

No. Bonside has never taken equity, warrants, or any ownership interest in an operator's business. The capital is non-dilutive by design. You keep every share and every dollar of the value you build with it.

Question 9

Is the capital tied to a single or specific set of locations?

Accepted Answer

No. Bonside underwrites the entire business across all locations and entities, then structures agreements at the whole-company level. This way capital follows your growth plan across buildouts, acquisitions, and renovations rather than being locked to one project. The revenue share is collected against the business as a whole.

Question 10

How does Bonside collect the revenue share each month?

Accepted Answer

Each month we read your prior month's revenue from your POS, send you the exact amount we will collect, and collect it by ACH from your operating account five days later. You see the number before any money moves, nothing is held back at your processor, and there are no daily or weekly deductions.

Question 11

What happens if the business opens or closes a location?

Accepted Answer

Structurally, nothing. Because the agreement sits at the company level, a new location folds into the same revenue base and a closed one comes out of it. Collections stay a percentage of whatever the business earns, regardless of location count. And since capital access is sized against monthly corporate revenue, every location you open increases what you can draw next.

Question 12

Does Bonside file a UCC?

Accepted Answer

Bonside does file a UCC-1 financing statement with each instrument for the sole purpose of serving a public notification that Bonside has purchased revenue from the business and has a right to collect the revenue share. This UCC-1 denotes specifically that Bonside and the business do not have a lender / borrower relationship, rather a buyer/seller relationship.

Question 13

What happens if a business goes bankrupt or closes?

Accepted Answer

Collections are based on a share of revenue, so if the business generates no revenue, there's nothing to collect. If the business closes in the ordinary course, the remaining balance of revenue is not collected, and there is no personal guarantee putting your home or savings behind the agreement. Our underwriting exists to make this rare: across 80+ investments, we've had zero defaults.

Question 14

Does Bonside get involved in the day-to-day operations of the business?

Accepted Answer

No. No board seat, no approval rights, no spend restrictions, no operational covenants. You run the business. Many operators lean on us for benchmarking, access to industry resources, and introductions but that is optional additional value that we provide and never required.

Question 15

Who came up with this type of financing as a way to fuel brick and mortar growth?

Accepted Answer

We did. While scaling her own multi-unit concept, our founder and CEO saw the gap firsthand: bank debt was too rigid, MCAs too punishing, and equity too expensive for a business whose locations were already proving themselves. In 2023, Bonside brought the Repeatable Revenue Agreement to market, the first revenue-based structure designed specifically for multi-unit brick-and-mortar growth, and we have been backing operators with it since.

Question 16

How much revenue do I need to qualify?

Accepted Answer

$1M+ in annual total revenue. We work with operators from $1M to $100M+ in total revenue, across emerging multi-unit brands and established groups.

Question 17

How many locations do I need?

Accepted Answer

2+. Bonside is built for multi-unit operators, because a second location proves the operation is repeatable and gives us unit-level performance to underwrite.

Question 18

Do you work with all brick-and-mortar categories?

Accepted Answer

We work across service-based brick-and-mortar: hospitality, F&B, fitness, wellness, entertainment, petcare, beauty, traditional services, and more. If customers walk through your doors and revenue is earned in person, you are likely in scope. Goods-only merchants are the main exception.

Question 19

What margins do you look for?

Accepted Answer

Strong four-wall performance on a stabilized base. We care less about hitting a single number than whether each mature location produces real cash flow, and whether your unit-level accounting can show it.

Question 20

Am I constrained to a specific market?

Accepted Answer

No. We fund operators across the United States, and capital is not restricted to a city, region, or trade area. Expanding into a new market is one of the most common uses for our capital.

Question 21

Can I get funding for a location I have not built yet?

Accepted Answer

Yes, and it is one of the most common reasons operators come to us. Banks underwrite history, and a location that does not exist has none. We underwrite the whole company and size capital against the monthly revenue your existing locations already generate, so the strength of the current business funds what's next, and once a new location opens, it grows the revenue base your future capital is sized against.

Question 22

What determines the capital amount?

Accepted Answer

Your monthly top-line revenue at the corporate level. Bonside can unlock capital 1:1 against what the business generates in a month across all locations, and you can pull whatever is needed up to that amount. A group doing $500k a month can access up to $500k. Simple by design: the business's own performance sets the ceiling, not a negotiation.

Question 23

Do you work with franchisees?

Accepted Answer

Yes. Multi-unit franchisees are a natural fit: unit economics are proven and buildout costs are well understood. We underwrite the franchisee entity and locations, not the franchisor (unless they have corporate-owned locations, which would be separate).

Question 24

What happens if each unit has different investors?

Accepted Answer

It is common in this industry and rarely a blocker. We structure at the operating-company level, and where locations sit in separate entities with different cap tables, we work through the right structure during diligence.

Question 25

What does Bonside capital cost?

Accepted Answer

Total collection is fixed between 1.12x and 1.5x of the capital provided, collected as a monthly share of top-line revenue. The share and the multiple are set by check size relative to monthly revenue, so terms reflect your profile rather than a rate card. There is no interest rate, no compounding, and the total never grows.

Question 26

How much capital can Bonside unlock?

Accepted Answer

Our checks open at $25k to $10M, and you are welcome to pull what you qualify for in tranches over time. Capital access is sized against monthly corporate revenue, and the range reflects the range of businesses we fund. Smaller checks let operators start the relationship or fund a discrete project. Larger checks fund expansion plans and acquisitions. Our portfolio operators often prefer to take follow-on capital through the same structure as they grow.

Question 27

How does this compare to a bank loan or SBA?

Accepted Answer

Bank debt wins on effective rate and charges the difference in rigidity: personal guarantees, collateral, fixed payments, covenants, and 60 to 90 days to close. If you qualify and can carry all of that, it deserves a look. Bonside closes in 3 weeks with none of those requirements, and will underwrite a location that does not exist yet, which a bank will not.

Question 28

How does this compare to a merchant cash advance?

Accepted Answer

Bonside collects revenue share monthly, collects a total of 1.12x to 1.5x the financing amount over 12 to 48+ months, and writes checks up to $10M. An MCA deducts daily or weekly, collects over 3 to 18 months, typically tops out below $300K, and often holds back some proceeds up front, driving cost up. Refinancing an MCA is one of the most common uses of our capital.

Question 29

Can I repay early without penalty?

Accepted Answer

Yes. There is no prepayment penalty, and for our higher multiple (1.5x) agreements, we offer reduced multiples (1.3x) for early repurchases.

Question 30

Does Bonside require a personal guarantee?

Accepted Answer

No. Your home, savings, and personal assets are never part of the agreement. We underwrite the business, and the business stands on its own.

Question 31

What can I use Bonside capital for?

Accepted Answer

Anything the business needs. There are no restrictions on spend. Common uses: new location buildouts, acquisitions, MCA refinancing, tenant improvements, security deposits, equipment, renovation, marketing, strategic hiring, and more.

Question 32

Does the revenue share ever change?

Accepted Answer

The percentage is fixed in your agreement. The dollar amount collected each month moves with revenue, but the share itself does not change.

Question 33

What if my revenue increases? What if it decreases?

Accepted Answer

The share stays the same either way, and so does the total amount of revenue we collect. A strong month does not cost you more, it moves you to the finish line faster. A soft month eases collections automatically, without a missed payment or a late fee. That's the core of the structure: each collection is a fixed share of what you actually earn each month. Growth also compounds in your favor: as monthly revenue grows, so does the capital you can access.

Question 34

How fast can I get capital?

Accepted Answer

3 weeks from first conversation to funding. Most of that is diligence, not paperwork. Onboarding takes ~10 minutes for operators to connect systems, then we handle the rest. Operators with unit-level financials ready move fastest.

Question 35

What happens after I apply?

Accepted Answer

Three steps: Connect, Approve, Capital. You connect financial and accounting data, we underwrite and return terms, and once signed, capital is deployed. You have a direct point of contact throughout, not a portal queue.

Question 36

What if I need help?

Accepted Answer

You talk to a person. Every operator has a direct line to our team from first conversation through final collection, and most questions are answered the same day.

Question 37

What POS and accounting systems do I need?

Accepted Answer

Almost any. We connect with the major POS and accounting platforms used across brick-and-mortar, and no specific system is required. We will never make you switch.

Question 38

Is my data safe?

Accepted Answer

Yes. Your data is protected legally and technically from the moment you apply. A mutual NDA is embedded in the onboarding platform itself, so your financials are covered before we see a single number, without a separate negotiation. Your information is never sold, never shared with other operators, and never used for anything beyond underwriting and servicing your capital. Bonside is SOC 2 Type II compliant, meaning our security practices are independently audited, data is encrypted, and access inside Bonside is restricted to the team working on your deal. If you go through diligence and choose not to move forward, your data stays protected under the same NDA.

Question 39

How do you work with ecosystem partners, are you sharing my data?

Accepted Answer

We do not sell or distribute your data. Where a partner relationship is relevant to your funding, anything shared is limited, disclosed to you first, and governed by confidentiality that meets SOC 2 Type II standards. You will always know who sees what.

Question 40

Can I remove my data or connection from Bonside?

Accepted Answer

Yes. Data connections exist to support underwriting and collections. When your agreement completes, you can disconnect, and if you go through diligence and do not move forward, we remove connections on request and confirm when removed.

Question 41

Do deductions come directly from the POS system?

Accepted Answer

No. Your POS is how we measure revenue, not how we collect it.

What is Bonside?