Understanding Income Share Agreements

No. Your obligations do not include paying back the principal amount of our investment.

After you receive funding from BFF, you owe a fixed percentage of your income for a fixed number of weeks in which you are employed for at least 40 hours a week.

As long as you faithfully make payments equaling the agreed upon percentage of your income for the agreed upon length of time in which you are working, your obligations are complete.

This is why we say: We are not a loan, we are better than a loan in every way.

Your income includes that which you earn. Generally, we use box 1 of your W2 form. Not included in our calculation of your personal income are unearned cash flows such as inheritance, debt forgiveness, and lottery winnings.

Your payments stop until you're gainfully employed again.

With BFF, we are truly your financial partner. If you are experiencing financial hardship we want to give you enough financial flexibility to get back on your feet again. This is just one of the reasons why we are better than a loan.

Your payment amounts will also go down correspondingly.

Since you owe a fixed percentage of your income, your payments will mirror fluctuations in your income. Rise or fall, your payments will stay the same fixed percentage of your income. This way, your payments remain affordable.


The Application Process

We evaluate each application based on its individual merit. We are looking for people with promising prospects of having future income.

We look at things like creditworthiness, income, and employment history but we are smart enough to know that each person has a unique set of circumstances and a unique story that should be taken into account.

We do not consider factors such as race, religion, ethnicity, or sexual orientation.

If your business has a healthy history of earning you an income that you report to the government and pay taxes on then why not? Just remember, we are investing in your income not the income of the business. We currently do not offer seed investment for businesses.

Click on Apply for Funding silly 🙂

Your initial application will not affect your credit score.

After you apply we will contact you to see if we can move forward in a way that accommodates your needs.

The duration of your income share agreement is fixed at the outset of your funding and determined based on a number of factors including:

  • How much money you receive in funding
  • How much income we project you will earn over the life of the contract
  • What percentage of your income you would like to commit (can't be more than 15%)
  • How long you would like your income share agreement to last.

  • If you qualify, we will work with you to reach an arrangement that fits your needs.
    The percentage of your income you commit is fixed, never more than %15, and determined prior to funding based on a number of factors including:

  • How much money you receive in funding
  • How much income we project you will earn over the life of the contract
  • What percentage of your income you would like to commit
  • how long you would like your income share agreement to last.

  • If you qualify, we will work with you to reach an arrangement that fits your needs.

    After Funding

    Anything legal.

    We've funded people who have used their funds for various purposes including buying furniture, paying off high-interest credit cards, improving their credit score among others.

    We do not limit the possible uses of our funding aside from stating the obvious which is: whatever you use the funds for must be legal.

    We ask that you report any change in your income through your account page on our website and we will adjust your payments accordingly.

    Additionally, for each year in which your income share agreement is active with us, we will ask you to share your W-2 and/or your tax returns at the end of the year in order to verify that the amount we collected during the year corresponded with the share of your income we agreed to.

    Reconciliation payments are then made either to you or to us depending on if you overpaid or underpaid.

    The short answer is:

    Yes.

    The longer answer is:

    When we make an offer we provide a "prepayment schedule" which is the amount the customer can pay at any time to buy us out of our right to share in their income.