If you sell on Amazon, Shopify, eBay, Walmart Marketplace, or your own DTC site, you've felt the cash conversion cycle problem in your bones. You pay your supplier 30 days before the inventory hits the warehouse, then 14-21 days more before it ships, then platforms hold your payouts for another 7-14 days. From the time you wired your supplier to the time the proceeds from selling that batch hit your account, two months can easily pass — and the next batch of inventory needs to be ordered before the first one has fully sold through. This is why "growing e-commerce business" and "broke" are not contradictory.
The e-commerce cash conversion problem in numbers
A simplified example. You sell $200K/month at 40% gross margin. To stock the next month, you need to order $120K of inventory (the cost basis of next month's sales). That order goes out 6 weeks before the inventory ships, and the inventory takes another 4 weeks to fully sell. So you need to put $120K out the door before the previous month's $200K has even finished landing in your account. As your business grows, this gap widens — every doubling of revenue requires roughly a doubling of inventory tied up in the cycle.
Funding option 1: General working-capital lenders
The lenders on our top 10 list all fund e-commerce sellers under standard underwriting. You apply with your business bank statements; they don't care which platforms you sell on. Pros: keep platform flexibility, fund off total revenue (not platform-specific revenue), get cash to your operating account where you can use it anywhere. Cons: rates are higher than platform-specific programs because the lender doesn't have the platform's data advantage.
Best fit: Multi-channel sellers (Amazon + Shopify + DTC), sellers with diversified revenue, anyone who wants funds in their own bank account rather than as platform credit.
Coast to Coast Fast Funding
$5K – $5M range, 500 credit floor, 24-hour funding. Strong fit for sellers doing $50K-$500K/month who want to fund the inventory cycle without platform lock-in.
Funding option 2: Platform-specific programs
Amazon Lending
Available by invitation only to Amazon sellers with consistent history. Repayment auto-deducts from Amazon payouts. Rates are competitive (often APR equivalents in the high teens). Downside: you can't get it on demand — Amazon decides when to offer it.
Shopify Capital
Same model for Shopify sellers — invitation-based, repaid as a % of daily sales. Pre-qualifies based on Shopify Payments data. Generally competitive but limited to the funded amount Shopify offers.
PayPal Working Capital
For businesses processing through PayPal. Up to 35% of last 12 months' PayPal sales. Repaid as a % of daily PayPal sales. Useful complement, not usually a primary funding source.
Funding option 3: Inventory-specific financing
Wayflyer
Revenue-based financing specifically for e-commerce. Funds against forward revenue projections. Particularly strong for DTC brands with consistent monthly revenue between $50K and $5M.
Settle
Pays your suppliers on net-60 terms while giving you 60 days before you owe. Functions more like supplier credit than a traditional loan. Best for sellers with established supplier relationships.
8fig
Continuous funding for Amazon-focused sellers — funds your inventory orders directly to suppliers. Tight integration with Amazon data.
How to pick the right path
A quick decision flow:
- Is most of your revenue on one platform? If yes, check whether you've been offered Amazon Lending or Shopify Capital. If the offer is reasonable, it's often the cheapest path.
- Do you need money for inventory specifically? If yes, Wayflyer or 8fig are designed for this. The repayment structure matches inventory turn cycles.
- Do you want maximum flexibility on what you spend on? A general fast-funding lender like Coast to Coast wires cash to your bank account where you can use it for anything — inventory, marketing, hires, equipment.
- Do you need it today? General fast funders are typically faster than Wayflyer / 8fig underwriting cycles. Platform programs are invitation-only and not available on demand.
The biggest mistakes e-commerce sellers make with funding
Over-leveraging on a single SKU bet
Funding a massive inventory buy on one SKU because it's been selling well is how stockouts and warehouse fills happen in the wrong direction. Use funding to maintain the cycle, not to gamble on demand explosions.
Stacking platform funding with general funding
If Amazon is taking a percentage of your payouts AND you have a daily ACH withdrawal from a general MCA, your free cash flow can disappear fast. Add up the combined repayment burden before stacking.
Mistaking gross revenue for available cash
$200K in sales doesn't mean $200K available to repay. Subtract COGS, platform fees, fulfillment, ads, refunds. Your real available cash is closer to 15-25% of gross. Repayment schedules need to fit that, not your topline.
Frequently asked questions
Will general lenders fund Amazon-only sellers?
Yes — they'll review your business bank statements, which show the Amazon payouts as deposits. Same approval process as any other business.
Do I need an LLC to qualify for e-commerce funding?
Strongly preferred. Sole proprietors selling on Amazon under a personal name can sometimes qualify but at smaller amounts and higher rates. Forming an LLC and routing payouts through a business bank account is the single biggest unlock for better funding offers.
Can new e-commerce sellers (under 6 months) get funded?
Harder but possible. Rapid Finance accepts 3+ months in business. Below that, look at inventory-specific options like Settle or supplier credit terms rather than working capital.
See what you qualify for
Get a no-obligation quote from our #1-ranked lender, Coast to Coast Fast Funding — $5K to $5M, funded in under 24 hours, 500 minimum credit.
Start your free quote →Soft credit check · 60-second pre-qualification