While traditional cash advance solutions often come with opaque terms and high costs, forward-thinking B2B businesses are turning to modern alternatives that offer transparent pricing, faster access to working capital, and embedded credit solutions. Resolve leads this transformation with a comprehensive platform that streamlines AR and payments processes while eliminating merchant risk.
Resolve stands as the premier alternative to traditional cash advance solutions by combining embedded credit, embedded invoice financing, and embedded payments into a single comprehensive platform. Founded by former Amazon and PayPal executives who spun off the B2B version of Affirm in 2018, Resolve brings consumer fintech innovation to the B2B space with a focus on simplicity, relational commerce, and embedded solutions.
Comprehensive Platform Features:
How Resolve Transforms B2B Commerce:
Resolve's platform addresses the fundamental challenge of B2B commerce: offering flexible payment terms to increase sales while protecting cash flow. Traditional cash advance solutions often require personal guarantees, charge hidden fees, or maintain recourse liability, putting merchants at financial risk. In contrast, Resolve takes on the credit assessment, credit decision, and majority risk of late payments or defaults, functioning as your "credit team on tap."
The platform's AI-powered automation streamlines the entire invoice-to-cash workflow. LLM-powered invoicing automatically reconciles transactions across systems, while AI agents manage payment reminders and collections workflows. This reduces manual overhead by up to 90% while maintaining your direct relationship with customers through white-label experiences.
Recent customer success stories demonstrate Resolve's impact: businesses have achieved 5x revenue growth by offering net terms without cash flow constraints, while others have tripled their revenue by unlocking larger orders from credit-approved customers.
Unlike traditional factoring arrangements that require selling invoices at steep discounts and notifying customers of the assignment, Resolve maintains your brand relationship while providing upfront liquidity. The platform currently serves thousands of businesses with backing from notable investors including Initialized Capital and Commerce Ventures.
Why Businesses Choose Resolve:
Beyond the core financing features, Resolve offers a complete ecosystem that addresses every aspect of B2B payment challenges. The platform's white-label approach means your customers never know they're interacting with a third party—every touchpoint maintains your branding and strengthens your customer relationships. This is particularly valuable for businesses that have invested years building trust and recognition in their markets.
The non-recourse protection is particularly compelling for businesses that have experienced the stress of traditional factoring. When you advance funds through Resolve, you're not taking on future liability. If a customer defaults, Resolve absorbs that loss, not you. This transforms cash flow management from a risky proposition into a predictable business tool.
Traditional invoice factoring remains a common alternative to cash advances, though it comes with significant drawbacks compared to modern platforms like Resolve. Factoring involves selling your accounts receivable to a third party (the factor) at a discount, typically receiving 70-90% upfront with the remainder (minus fees) paid when your customer settles the invoice.
Key Characteristics:
Understanding Recourse vs. Non-Recourse:
The distinction between recourse and non-recourse factoring is critical for business owners. With recourse factoring, you remain responsible if your customer fails to pay. The factor can demand repayment from you, effectively converting the arrangement into a loan rather than a true sale of receivables. This means you're still carrying the credit risk of your customers while paying fees for what appears to be risk transfer.
Non-recourse factoring, where the factor assumes the default risk, typically comes with higher fees and more stringent customer credit requirements. Even then, many non-recourse agreements contain exceptions for disputes, returns, or other circumstances that push liability back to the seller.
According to Grand View Research, the global invoice factoring market was valued between $3.2 and $4.2 trillion in 2023, indicating widespread adoption despite these limitations.
Businesses considering factoring should carefully evaluate recourse provisions, fee structures, and contract terms. Many find that platforms like Resolve offer superior terms with 100% non-recourse protection, transparent flat fees, and maintained customer relationships.
Business lines of credit from banks and financial institutions represent another traditional alternative to cash advances. These revolving credit facilities allow businesses to draw funds up to a predetermined limit, paying interest only on the amount used.
Typical Features:
Application and Approval Considerations:
Securing a business line of credit requires extensive documentation, including multiple years of financial statements, tax returns, and detailed business plans. Banks evaluate both business and personal credit scores, existing debt obligations, and industry risk factors. The process typically takes several weeks to months, making lines of credit unsuitable for businesses needing immediate working capital solutions.
According to the Federal Reserve's 2024 Report, applicant firms sought a median of $100,000 in financing, and 48% of those applying at large banks received all the financing they sought. These approval rates indicate that roughly half of applicants face partial funding or rejection, highlighting the competitive nature of traditional business credit.
The fundamental mismatch between lines of credit and B2B payment cycles makes them less optimal than accounts receivable financing. Lines of credit create debt obligations independent of your actual receivables, while platforms like Resolve tie financing directly to approved customer invoices, aligning cash flow with business activity. Additionally, lines of credit consume your borrowing capacity even when sitting unused, whereas invoice financing scales naturally with your sales volume.
Revenue-based financing (RBF) has gained popularity as an alternative to traditional debt, particularly among SaaS and subscription businesses. RBF providers advance capital in exchange for a percentage of future revenue until a predetermined repayment cap is reached.
Common Terms:
Market research projects the global RBF market to grow significantly, driven by demand from high-growth technology companies. While RBF eliminates fixed debt payments, it can be expensive compared to accounts receivable financing and doesn't address the core B2B payment challenge of offering net terms to customers.
Unlike Resolve's customer-specific financing that enhances buyer purchasing power while providing seller liquidity, RBF treats all revenue equally and doesn't facilitate B2B commerce relationships. It's better suited for working capital needs unrelated to accounts receivable management, such as funding marketing campaigns or product development initiatives.
Supply chain finance (SCF), also known as reverse factoring, involves large buyers facilitating early payment to their suppliers through financial institutions. The buyer's strong credit rating enables suppliers to receive early payment at favorable rates.
Program Characteristics:
Industry analysis indicates SCF programs have grown significantly, with global volumes exceeding $500 billion annually. However, these programs are only available to suppliers of large corporations that have implemented such programs, leaving the vast majority of B2B businesses without access.
For businesses without access to SCF programs, platforms like Resolve provide similar benefits—early payment on approved invoices with favorable terms—without requiring corporate buyer participation. This democratizes access to efficient working capital solutions across the B2B ecosystem.
When evaluating alternatives to traditional cash advances, consider these key factors:
Risk Management: Choose non-recourse solutions like Resolve that eliminate merchant liability for customer defaults. Traditional factoring and lines of credit often maintain recourse provisions or require personal guarantees, exposing you to significant financial risk if customers fail to pay or your business experiences temporary setbacks.
Cost Transparency: Opt for platforms with flat fee structures rather than complex arrangements with multiple hidden charges. Resolve's transparent pricing of 2.61-3.5% for 30-day terms provides predictable costs compared to variable factoring fees or high APR lines of credit. Understanding your true cost of capital is essential for maintaining healthy margins and making informed pricing decisions.
Customer Experience: Select solutions that maintain your brand relationship with customers. White-label platforms like Resolve preserve your customer connection while handling credit and collections behind the scenes. Your customers receive professional payment experiences without knowing they're interacting with a financing provider, maintaining the trust and rapport you've built.
Integration Capabilities: Ensure seamless integration with your existing tech stack. Resolve's native integrations with QuickBooks and more platforms eliminate manual data entry and reconciliation overhead. Automated data flow between systems reduces errors, saves time, and provides real-time visibility into your financial position.
Implementation Speed: Modern platforms offer rapid deployment compared to traditional financing. Resolve can be implemented in days rather than the weeks or months required for traditional banking relationships or factoring arrangements. This speed-to-value is particularly important for businesses experiencing rapid growth or seasonal demand fluctuations.
Scalability Considerations: As your business grows, your financing solution should grow with you. Invoice financing through platforms like Resolve scales naturally with your sales volume—the more you sell to credit-approved customers, the more funding becomes available. Traditional lines of credit require periodic reviews and renegotiations to increase limits, creating potential cash flow gaps during expansion phases.
For businesses seeking to enhance buyer purchasing power while protecting cash flow, Resolve provides a comprehensive solution by combining credit underwriting, invoice financing, and payment processing in a single platform. The ability to offer net terms and grow revenue while receiving payment in one day instead of 60 represents a fundamental improvement over traditional cash advance alternatives.
Modern alternatives include non-recourse invoice financing platforms like Resolve, traditional invoice factoring, business lines of credit, revenue-based financing, and supply chain finance programs. Resolve stands out by combining embedded credit, embedded invoice financing, and embedded payments into a single platform with 100% non-recourse protection, transparent pricing, and AI-powered automation that reduces manual overhead while maintaining customer relationships.
Offering net terms enhances buyer loyalty and unlocks more revenue through repeat purchases and larger orders, as customers can buy what their business needs now and pay later. With platforms like Resolve, you can offer Net 30, 60, or 90 day terms while receiving up to 100% of the invoice value within 24 hours. This transforms the traditional trade-off between sales growth and cash flow protection, allowing you to increase customer purchasing power without sacrificing your own financial stability.
Non-recourse invoice financing means the financing provider assumes the risk of customer default—you face zero liability if customers don't pay. Traditional factoring is often resource-based, meaning you're responsible for repaying the factor if your customer defaults. Additionally, Resolve maintains your brand relationship with customers through white-label experiences, while traditional factoring often requires notifying customers of the invoice assignment. Resolve's flat fee of up to 3.5% for 30-day terms with 100% advance provides transparent pricing compared to complex factoring fee structures.
AI transforms B2B payments by enabling instant credit decisions that evaluate thousands of data points in real-time, delivering approvals in seconds rather than days. AI-powered accounts receivable automation reduces manual work by up to 90% through automated reconciliation, payment reminders, and collections workflows. Resolve's LLM-powered invoicing automatically syncs transactions across systems, while AI agents manage time-consuming tasks like payment chasing and dispute resolution.
Advance rates vary by provider and customer creditworthiness. Traditional factoring typically offers 70-90% upfront advances, with the remainder paid when customers settle invoices. Resolve offers up to 100% advance on invoices from approved customers within 24 hours, providing complete cash flow freedom. The platform's AI-powered credit assessment evaluates each customer's payment history and financial strength to determine appropriate advance rates, ensuring you receive maximum funding while maintaining appropriate risk management.
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.