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Quick Takeaway: Route borrowers by business problem, repayment source, urgency, documentation, cash-flow strength, and risk — not by speed, habit, or commission.

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Funding Product Matrix for Brokers.docx

funding-product-matrix-for-brokers.csv

funding-product-matrix-for-brokers-one-page.pdf

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Broker Product Routing Asset

Most bad funding conversations start when one product gets treated like a miracle cure. This Funding Product Matrix helps brokers, referral partners, consultants, and funding agency operators route borrowers by actual business problem: cash-flow need, urgency, collateral, receivables, equipment, credit readiness, and repayment fit. Use this as a first-pass product routing tool before submitting files, pitching offers, or sending a borrower into the wrong funding alley wearing flip-flops.

Main Funding Product Matrix

Product Category Best-Fit Borrower Use of Funds Minimum Readiness Signals Red Flags Documents Needed Repayment Structure Urgency Fit Product Fit Score Broker Notes CTA / Next Best Action
Merchant Cash Advance / MCA Business with consistent revenue, urgent capital need, limited access to slower products Short-term working capital, emergency cash gap, payroll bridge, inventory bridge Consistent deposits, active business bank account, recent revenue history, ability to handle frequent payments Thin margins, low average daily balance, existing stacked advances, irregular deposits, unclear use of funds Bank statements, business info, ownership info, revenue details, existing debt summary Typically repaid from future revenue or sales activity; structure varies by provider High urgency / fast funding need 1–5 Use carefully. MCA may fit urgent short-term needs but can strain cash flow if repayment does not match revenue timing. Review cash-flow impact before submission
Business Line of Credit / LOC Business needing flexible access to capital over time Working capital, seasonal gaps, payroll timing, inventory cycles, repeat short-term needs Stable revenue, decent credit profile, organized bank activity, manageable existing debt Borrower wants to max it immediately, weak revenue, heavy overdrafts, no repayment discipline Bank statements, tax returns or financials if required, business formation info, credit profile, debt schedule Revolving access; borrower draws as needed and repays based on lender terms Medium urgency / ongoing flexibility 1–5 Best when borrower needs repeat access instead of one lump-sum fix. Consider LOC if need is recurring
Equipment Financing Business purchasing or leasing equipment tied to revenue Vehicles, machinery, tools, medical equipment, kitchen equipment, production assets Specific equipment identified, vendor quote or invoice, business use case, revenue to support payment Borrower wants cash for non-equipment use, unclear asset value, equipment does not support revenue, poor documentation Equipment quote/invoice, business docs, bank statements, ownership info, possibly tax returns/financials Usually fixed payments tied to financed equipment; terms vary by lender/provider Medium urgency / planned purchase 1–5 Do not route equipment purchases into working capital by default. Match asset need to asset financing. Collect equipment quote and route to equipment option
Accounts Receivable / Invoice Financing B2B business waiting on unpaid invoices from customers Cash tied up in invoices, payroll before invoice collection, supplier payments, working capital bridge Valid invoices, creditworthy customers, clear aging schedule, B2B revenue model Consumer-facing business, disputed invoices, weak customer quality, invoices too old, concentrated customer risk Invoice aging report, invoices, customer details, bank statements, contracts or purchase orders if available Advance against invoices or factoring structure; repayment tied to customer payment Medium-high urgency / receivables timing gap 1–5 Strong fit when the borrower has cash trapped in receivables instead of a general revenue problem. Request AR aging and invoice samples
Credit Builder Offers Business not ready for larger funding but wants to improve fundability over time Vendor accounts, reporting tradelines, secured credit tools, business credit setup, fundability preparation Active entity, EIN, business bank account, willingness to build gradually, clean business information Needs same-day funding, expects guaranteed credit lines, has no cash flow, wants shortcut instead of readiness work Business entity info, EIN, business address, bank account status, current credit profile, vendor/payment history Smaller recurring payments or vendor account activity; structure varies by offer Low urgency / preparation phase 1–5 This is a nurture and readiness path, not emergency funding. Never sell as guaranteed approval. Route to credit builder checklist or nurture sequence
Term Loan Established business with stable cash flow and defined capital need Expansion, refinance, working capital, larger planned project, hiring, renovations Stronger revenue, organized financials, acceptable credit profile, clear use of funds, repayment capacity Urgent same-day need, unstable cash flow, weak documentation, high existing debt burden Bank statements, tax returns, P&L, balance sheet, debt schedule, business docs, ownership info Usually fixed repayment over a defined term; terms vary by lender Medium-low urgency / planned funding 1–5 Better for borrowers who can document and wait. Not always best for panic funding. Prepare full financial packet
SBA-style / Longer-Term Financing Borrower with stronger profile, patience, and larger planned use of funds Expansion, equipment, real estate, refinance, working capital, acquisitions Strong documentation, time in business, repayment capacity, acceptable credit, clean business records Needs funds immediately, incomplete documents, weak financials, poor tax records, unrealistic timeline Tax returns, financial statements, business plan or use-of-funds summary, bank statements, ownership docs, debt schedule Longer-term repayment structure; eligibility and terms vary by program/lender Low urgency / strategic planning 1–5 Strong option when borrower can wait and qualify. Not a fast-cash substitute. Start documentation review early
Inventory Financing Product-based business needing stock before revenue arrives Inventory purchase, seasonal stock, supplier payments, bulk orders, ecommerce scaling Sales history, inventory demand, supplier invoice, clear sell-through plan, payout/revenue timing Dead inventory, weak margins, no sales history, unclear demand, over-ordering, ad spend cash crunch Supplier invoices, sales reports, inventory plan, bank statements, platform payout history if applicable Repayment tied to business cash flow or inventory cycle; structure varies Medium urgency / seasonal or growth timing 1–5 Best when inventory demand is real and cash timing is the issue. Review inventory forecast and margin math
Revenue-Based Financing Business with predictable revenue and growth need Growth capital, marketing, inventory, expansion, platform-driven sales Consistent monthly revenue, growth signals, clear revenue source, repayment capacity Unstable revenue, low margins, inflated projections, borrower treating it like free money Bank statements, sales reports, platform data if applicable, revenue history, business docs Repayment often tied to revenue performance or fixed structure depending on provider Medium-high urgency / growth need 1–5 Can fit growth-stage businesses, but repayment must be modeled against real cash flow. Compare against LOC/MCA based on repayment pressure

Product Fit Scoring Key

Use this 1–5 score to rate how well a product category fits the borrower. This is not an approval score. It is a routing tool for broker review.

Score Meaning Broker Interpretation
1 Poor Fit Product likely does not match the borrower’s need, profile, urgency, or repayment capacity. Do not route without a strong reason.
2 Weak Fit Product may technically be possible, but there are major concerns or better alternatives. Human review required.
3 Possible Fit Product may be worth exploring if documents and cash-flow review support it. Compare against at least one alternative.
4 Strong Fit Product appears aligned with use of funds, repayment source, urgency, and borrower profile. Proceed with document collection and lender/provider review.
5 Best Initial Route Product strongly matches the borrower’s problem and profile. Still not a guarantee; submit only after full review.

When Human Review Is Required

Human review should be required when: