Avanza Capital Alternatives

While Avanza Capital Holdings serves accredited investors seeking 20% annual returns, B2B businesses looking for merchant financing solutions need alternatives designed specifically for their needs. Resolve Pay offers a modern, non-recourse approach to net terms financing that eliminates risk while accelerating cash flow.

Key Takeaways

• Fundamental product difference: Avanza Capital is an investment vehicle for accredited lenders, while Resolve Pay is purpose-built for B2B merchants seeking to offer net terms to customers
• 100% non-recourse protection: Resolve Pay eliminates merchant risk with complete bad debt protection on approved invoices, unlike recourse-based alternatives
• Transparent, competitive pricing: Transparent flat fees typically around ~2.61% to ~3.5% for 30-day net terms versus opaque pricing models and compounding monthly fees
• AI-powered speed: Credit decisions in 30 seconds to 48 hours versus weeks for traditional financing options
• Full AR automation included: Reduce manual work by 50%+ with integrated invoice creation, payment reminders, and reconciliation

1. Resolve Pay — Purpose-Built B2B Net Terms Without Risk

Resolve Pay stands as the premier alternative for B2B businesses seeking to offer net terms without assuming financial risk. Unlike Avanza Capital Holdings, which operates as an investment platform for accredited investors, Resolve Pay is specifically designed for merchants who want to increase sales while protecting their cash flow.

Key Features:

• 100% non-recourse financing with zero merchant liability on approved invoices
• AI-powered credit decisions in 30 seconds to 48 hours
• Net 30, 60, or 90-day payment terms with instant buyer approval up to $25,000
• Advance pay of up to 100% on approved invoices within 24 hours
• Transparent flat-rate pricing of 2.61-3.5% for 30-day terms
• Full AR automation reducing manual work by 50%+
• White-label payment portal maintaining merchant brand control

Comprehensive Platform Integration:

Resolve Pay seamlessly connects with your existing tech stack through robust integrations including QuickBooks, NetSuite, Xero, Shopify, BigCommerce, Magento, and WooCommerce. The platform's bi-directional sync ensures real-time invoice updates and automated bookkeeping, eliminating manual data entry errors.

The AI-powered AR automation suite handles the entire credit-to-cash lifecycle: instant credit checks requiring only a business name and address, automated invoice creation, intelligent payment reminders, and collections management. This comprehensive approach saves businesses an average of 14+ hours per week in manual administrative work.

Risk-Free Growth Model:

Resolve Pay's business model fundamentally differs from traditional financing options. With 100% non-recourse financing, merchants receive advance payment while Resolve assumes all credit risk. This means if a customer defaults, the merchant keeps the advance payment with no obligation to repay. This risk-free model enables businesses to confidently offer net terms, resulting in 30-60% higher order values and increased customer retention.

The platform currently serves over 15,000 businesses and is backed by Insight Partners and PayPal co-founder Max Levchin, having raised significant funding including a $60M Series A. Recent case studies demonstrate significant impact: businesses achieving 5x revenue growth, concrete suppliers scaling sales without additional risk, and manufacturers improving cash conversion by 60 days.

Understanding Working Capital Challenges in B2B Commerce:

According to Fed Small Business, cash flow management remains the top challenge for small and medium-sized B2B businesses. Traditional payment terms create a working capital gap where businesses must pay suppliers before collecting from customers, constraining growth and operational flexibility.

Resolve Pay addresses this fundamental challenge by decoupling invoice timing from cash availability. Businesses can extend competitive payment terms to customers while receiving immediate payment, effectively eliminating the working capital gap that limits growth. This model aligns with modern B2B buyer expectations while preserving seller financial health.

2. Traditional Invoice Factoring — The Legacy Alternative

Traditional invoice factoring represents the established but increasingly outdated approach to accounts receivable financing. While factoring companies purchase outstanding invoices at a discount, they typically operate with significant limitations compared to modern solutions.

Key Characteristics:

• Usually recourse-based financing, leaving merchants liable if customers default
• Advance rates typically 70-90% versus Resolve's up to 100%
• Ongoing fees of 1-5% per month that compound quickly
• Factor contacts customers directly, potentially damaging merchant relationships
• Manual underwriting processes taking days to weeks
• Limited technology integration capabilities

Cost Structure Reality:

For a $10,000 invoice, traditional factoring costs typically range from $200-500 initially (2-5% plus additional fees), but the monthly compounding structure means extended payment periods create exponentially higher costs. The recourse nature means merchants must buy back unpaid invoices or face collection actions, creating ongoing liability that impacts balance sheets and credit relationships.

The U.S. Small Business Administration notes that while invoice factoring provides quick access to capital, businesses should carefully evaluate total costs including ongoing monthly fees, especially for invoices with extended payment terms. The recourse structure common in traditional factoring creates contingent liabilities that may affect a company's ability to secure other forms of financing.

While established factoring companies offer industry familiarity, the limitations of traditional models become apparent when businesses need to maintain customer relationships, access transparent pricing, or integrate with modern e-commerce platforms. The contact between factors and end customers can strain business relationships, as customers may perceive factoring as a sign of financial distress.

3. Merchant Cash Advances — High-Cost Emergency Funding

Merchant Cash Advances (MCAs) provide quick access to capital but at significant cost, making them suitable only for true emergency situations rather than strategic growth financing.

High-Cost Structure:

• Effective APR often ranging from 35-350%
• Daily or weekly repayment deductions that strain cash flow
• Personal guarantees typically required
• Minimal underwriting leading to approval without business viability assessment
• No customer relationship enhancement or sales growth benefits

When MCAs Make Sense:

MCAs serve businesses with urgent cash needs who cannot access traditional financing, but they create a debt obligation that must be repaid regardless of customer payment status. Unlike Resolve Pay's non-recourse model, MCA providers have direct repayment rights that can impact daily operations through automatic cash withdrawals.

According to industry analysis, MCA costs can quickly become unsustainable for ongoing business operations, making them inappropriate for B2B companies seeking to offer net terms as a competitive advantage.

Research published by the National Bureau of Economic Research indicates that merchant cash advances, while providing rapid capital access, often lead to repeat borrowing cycles due to their high cost structure and aggressive repayment terms. For B2B businesses seeking sustainable growth financing, this creates a fundamental mismatch between the funding mechanism and business objectives.

4. SBA Loans and Traditional Bank Financing — Low-Cost but Limited

Traditional bank financing offers the lowest interest rates but comes with significant limitations for B2B businesses seeking flexible net terms solutions.

Bank Financing Constraints:

• Approval timelines of 30-90 days versus Resolve's 30 seconds to 48 hours
• Strict credit requirements excluding many small and mid-market businesses
• Fixed repayment schedules regardless of customer payment timing
• Limited integration with e-commerce and accounting platforms
• No customer relationship enhancement capabilities

Strategic Limitations:

While SBA loans provide low-cost capital for general business purposes, they don't address the specific need to offer competitive net terms to customers. Banks don't facilitate the credit assessment, invoicing, and collections processes that modern B2B businesses require to compete effectively.

Traditional financing creates debt obligations on business balance sheets, whereas Resolve Pay's non-recourse model provides off-balance-sheet working capital that scales with sales volume without impacting debt ratios. This distinction becomes particularly important for businesses seeking to maintain favorable debt-to-equity ratios or preserve borrowing capacity for other strategic purposes.

The application process for traditional bank loans typically requires extensive documentation including multiple years of tax returns, detailed financial statements, business plans, and collateral appraisals. This administrative burden, combined with the lengthy approval timeline, makes bank financing impractical for businesses needing immediate capability to extend net terms to customers.

5. Revenue-Based Financing — Growth Capital with Trade-offs

Revenue-Based Financing (RBF) providers offer an alternative funding model where businesses repay advances as a percentage of future revenue.

RBF Characteristics:

• Repayment tied to revenue rather than fixed schedules
• Higher costs than bank financing but lower than MCAs
• Minimal collateral requirements
• Limited customer relationship benefits
• No integrated AR automation or credit management

Strategic Considerations:

RBF works well for businesses with predictable revenue streams seeking general growth capital, but it doesn't specifically address the B2B net terms opportunity. Unlike Resolve Pay, RBF providers don't enhance customer purchasing power or provide the infrastructure to manage trade credit relationships effectively.

The lack of integrated accounts receivable automation means businesses still face manual processes for invoicing, collections, and reconciliation, missing the operational efficiency gains that drive competitive advantage. RBF also doesn't provide the instant credit decisioning capability that enables B2B businesses to approve customer orders in real-time during the sales process.

6. Business Credit Cards — Limited B2B Applicability

Business credit cards provide individual purchasing power but lack the infrastructure needed for B2B trade credit relationships.

Credit Card Limitations:

• Individual liability rather than business-to-business credit
• Limited credit lines insufficient for B2B order sizes
• High interest rates (15-25% APR) for carried balances
• No integration with B2B ordering or invoicing systems
• No accounts receivable automation benefits

B2B Context Challenges:

While credit cards work for individual business expenses, they don't facilitate the business-to-business credit relationships that drive B2B commerce. Large B2B orders often exceed credit limits, and the individual liability model doesn't align with corporate procurement processes.

Resolve Pay's business credit check and net terms infrastructure specifically addresses B2B relationship dynamics, providing corporate credit lines that scale with business needs while maintaining professional buyer-seller relationships.

Making the Right Choice for Your B2B Business

When evaluating alternatives to investor-focused platforms like Avanza Capital, B2B merchants should prioritize solutions that specifically address their unique needs:

Implementation Timeline Reality:

• Same day: Resolve Pay (with existing e-commerce integrations)
• 1-2 weeks: Traditional factoring (basic setup)
• 30-90 days: Bank financing and SBA loans
• Ongoing: MCAs and RBF (continuous application processes)

Risk Management Priority:

For B2B businesses, non-recourse protection should be non-negotiable. Resolve Pay's 100% non-recourse model eliminates the bad debt risk that can devastate margins, while maintaining customer relationships through white-label experiences.

The difference between recourse and non-recourse financing fundamentally impacts business risk profiles. With recourse financing, a single large customer default can create a cascading financial crisis, forcing businesses to repay advances while simultaneously managing collection efforts and replacing lost revenue. Non-recourse financing transfers this risk to the financing provider, enabling businesses to make confident growth decisions.

Total Cost of Ownership:

For $500K in annual invoices, Resolve Pay costs approximately $13,050-17,500 annually with transparent flat-rate pricing. This compares favorably when considering that traditional factoring's monthly compounding fee structure can result in significantly higher annual costs, particularly for invoices with extended payment terms. When factoring in the estimated 14+ hours per week in AR time savings and revenue growth from increased order values, Resolve Pay delivers superior ROI.

The total cost analysis should also consider hidden costs in alternative financing models: application fees, monthly minimums, early termination penalties, and the operational burden of managing multiple systems. Resolve Pay's all-inclusive model with integrated AR automation eliminates many of these hidden cost centers.

Integration Requirements:

Modern B2B businesses need seamless connections between their payment, accounting, and e-commerce systems. Resolve Pay's comprehensive integrations ensure data flows automatically between platforms, eliminating manual reconciliation and reducing errors.

The platform's bi-directional sync capability means invoice status updates, payment confirmations, and customer information automatically synchronize across all connected systems. This automation eliminates the duplicate data entry and reconciliation work that typically consumes hours of administrative time weekly.

Frequently Asked Questions

What makes Resolve Pay different from Avanza Capital Holdings?

Avanza Capital Holdings is an investment vehicle for accredited investors seeking 20% annual returns, with a $100K minimum investment requirement. Resolve Pay is specifically designed for B2B merchants who want to offer net terms to their customers. These are fundamentally different products serving completely different markets—Avanza serves investors, while Resolve serves businesses seeking to enhance customer relationships and accelerate cash flow.

How does Resolve ensure 'risk-free' financing for sellers?

Resolve Pay provides 100% non-recourse financing, meaning merchants retain advance payments even if customers default. Unlike recourse factoring or traditional loans, Resolve assumes all credit risk on approved invoices. This risk-free model allows businesses to offer competitive net terms without worrying about bad debt impacting their bottom line.

Can businesses integrate Resolve with existing software?

Yes, Resolve Pay offers robust integrations with leading platforms including QuickBooks, NetSuite, Xero, Sage Intacct, Shopify, BigCommerce, Magento, and WooCommerce. The platform provides bi-directional sync capabilities that automatically update invoice status, payment information, and customer data across systems, eliminating manual data entry and reconciliation errors.

What are the fees for Resolve's net terms?

Resolve Pay offers transparent pricing ranging from 2.61% to 3.5% for 30-day net terms, with fees varying based on advance percentage and risk assessment. Unlike traditional factoring with compounding monthly fees or MCAs with effective APRs of 35-350%, Resolve's predictable pricing allows for accurate financial planning with no hidden costs or monthly minimums.

Do buyers incur interest when using Resolve?

Buyers receive 0% interest financing for 30-60 days with no fees when they pay on time. Credit card processing fees are passed to buyers only when they choose to pay by credit card through the online payment portal, providing transparency while maintaining multiple payment options including ACH, wire transfer, and check.

This post is to be used for informational purposes only and does not constitute formal legal, business, or tax advice. Each person should consult his or her own attorney, business advisor, or tax advisor with respect to matters referenced in this post. Resolve assumes no liability for actions taken in reliance upon the information contained herein.