May 10, 2023
min read
Written by: 
Nikolaus Hilgenfeldt
Ecommerce Growth

4 Best Inventory Financing Loans for Businesses in 2023

With the rise of ecommerce, consumers now have instantaneous access to a global marketplace of goods and services. As a result, businesses have had to improve to keep up with their lofty expectations.

However, many online stores have trouble meeting customer demands because of insufficient cash flow. But, when it comes to financing inventory, online retailers may be in the dark if they just consider traditional funding methods.

This post will discuss the 4 best inventory financing loans to help you better manage inventory and respond to client requests.

Read on to see how inventory finance might help your ecommerce business prosper in the modern business environment.

Let's start!

4 Best Inventory Financing Loans for Businesses

In simple words, an inventory loan is borrowed capital used to acquire inventory. 

However, unsecured short-term loans and lines of credit are viable financing options for purchasing inventory.

1. Myos


Loan amount: €10.000-2.500.000

APR: Depending on your product score

Minimum credit score: /

Myos is a financial provider specializing in asset-based funding and working capital for small ecommerce businesses.

Utilizing an AI-powered system, Myos assesses the value of your products in the market and offers an appropriate loan to help you grow your business.

With comprehensive funding solutions, Myos helps businesses overcome the challenges of managing their inventory and cash flow to focus on growing their business and serving their customers.

How it Works

If you're an ecommerce seller, Myos offers 2 types of financing suitable for your needs, regardless of the platform you use. 

1. Inventory financing will assist you in stocking products in preparation for busy periods.

For example, holidays and, if your product is seasonal, planning for the most popular seasons.

Finance your future orders with your manufacturer, where Myos handles deposit and balance payments.


2. Stock financing uses your existing inventory as collateral to fuel your store's growth. Take the extra capital and invest in any expansion strategy, such as marketing or new product launches.



To be eligible for funding from Myos, you need to meet several requirements:

  1. A registered office in Germany, Austria, Cyprus, or the United Kingdom (UK).
  2. You must have been in business for at least 6 months.
  3. You've been selling goods for at least 50 days.

Since the loan is based on your products, it's essential to ensure that they meet the following criteria to qualify for funding:

  1. Your products must have been sold in ecommerce for at least 50 days, such as on Amazon, eBay, or your online shop.
  2. Your products must have a shelf life and life cycle of at least 1 year.
  3. Your products must be sold for at least 5€.

Example of Myos Inventory Financing


Let's say you sell women's clothing, and you're preparing for your peak season.

You anticipate a significant increase in demand and need to place a bulk order of over 50,000€ with your manufacturer.

However, the products can take several months to arrive in your inventory. During that time, the money you've invested in the order isn't generating a profit.

It can strain your cash flow and make it difficult for you to prepare enough stock.


By financing your bulk order, Myos can help you reclaim your cash flow and get a head start on selling your products.

Myos takes care of the down payment and/or balance payment with your manufacturer, and the products are delivered to your warehouse service provider.

You receive a free quantity of designer clothing to start selling immediately, and if you need more inventory, you can simply pay back part of the financing amount and get the clothing released for you to sell.


💡Myos calculates interest on the remaining balance of your loan. So, for instance, if you have received €/£50,000 from Myos and make regular monthly payments, your monthly costs will be lower compared to paying back the entire amount on the final day.

In addition, it gives you greater control over your monthly expenses, allowing you to manage your repayments more effectively.

Pros and Cons

✅ No personal guarantee. Only goods are used as collateral.

✅ Less stringent loan requirements make it easier to qualify for funding.

✅ Minimal paperwork, with a simple 3-step online application process.

✅ Quick funding within 72 hours.

✅ Confidential financing, as there is no need to notify your suppliers or customers.

✅ Flexible payment options are available at no extra cost.

✅ Customer support is always available via email, chat, or in person.

✅ Myos partnered with a network of 200+ warehouses in DACH and the UK, and over 70+ best in class ecommerce service providers

❌ The limited amount of funding may not be suitable for larger businesses.

2. Kickpay


Loan amount: It depends on your expected sales for the next 16 weeks.

APR:  Fixed fee of 3-7%

Minimum credit score: /

Kickpay provides financing solutions for ecommerce businesses by assessing their projected sales for the next 16 weeks.

Kickpay analyzes data from various sources, like your ecommerce channels, fulfillment center, and bank, to verify your sales history by stock keeping unit (SKU). 

In addition, you don't have to pay the interest, just a fixed rate of  3-7%.

How It Works

You can apply online, and Kickpay requires access to your sales and inventory data.

After reviewing it, Kickpay determines the expected sales for each product SKU within a reasonable timeframe.

The account setup process can take up to 7-10 days, and it takes an additional 24-48 hours to receive your funds.

You don't have any monthly payments. Instead, an automated system is connected to your fulfillment center to track the number of units that ship daily. Then, the day after shipment, Kickpay deducts the financing amount plus a flat fee from your connected bank account via ACH payment.

Suppose the inventory remains unsold after 16 weeks. In that case, you have three options:

  • Pay off the balance with no extra fees.
  • Refinance the loan.
  • Pay an additional fee and the minimum payment amount per week.


Kickpay's general requirements include the following:

  • Sales records for 12 months.
  • You keep your inventory in the USA.
  • Your business is US-based, and you use a fulfillment center.
  • You have $20,000 or more in monthly revenue.
  • Your financing needs are up to $1,000,000.

Pros and Cons

✅ No personal guarantee.

✅ Fixed fee of 3%-7%.

✅ You have to repay after inventory is shipped to customers

❌ Requires the use of a third-party fulfillment center.

❌ Fixed fees may be more expensive than comparable interest expenses.

❌ You must store your inventory in the US.

3. Ritmo


Loan amount: Up to £3M.

APR: A fixed fee depending on the loan amount

Minimum credit score: /

Ritmo is a financing platform that provides capital to companies with stable sales. It takes a small portion of the company's revenue until you repay the total funding.

The Growth capital loan allows you to receive between £5,000 and £3 million in 24 hours to invest in inventory.

How It Works

There are no interest or hidden costs, just a fixed fee. There are not any guarantees or personal endorsements either.

You'll know exactly how much you must pay for the capital before you accept the offer and sign the contract.

Ritmo's algorithms will determine the proportion of sales allotted for repayments based on an examination of the success of your business data.

To access funding, you need to go through a 3-step process:

1. Connect your sales and marketing accounts to the forecasting engine at RITMO.

2. Choose the most convenient return rate and receive up to £3 million in under 24 hours.

3. Pay the loan back with a small percentage of your sales.

 If your sales fall, the payback period lengthens, and vice versa.


You can apply for inventory financing, provided you meet the following criteria:

  • You've earned at least £10K monthly on average during the last 6 months.
  • You have a revenue history of at least 12 months with reliable business indicators.
  • You have at least 6 months of demonstrated investment in marketing platforms (Google Ads, Facebook Ads, and Amazon Ads).
  • You accept payments via the online checkout.

Pros and Cons

✅ Fast online application process.

✅ No hidden costs or interest fees.  

✅ No personal guarantee is required.

❌ Eligibility is based on revenue.

❌ The refund percentage is between 2% and 20% of your sales, depending on your business situation.

4. ViceVersa


Loan amount: From €10,000 to €5M

APR: /

Minimum credit score:

Viceversa provides online businesses with revenue-based finance. This type of financing allows you to raise capital based on your company's track record, business plan, and performance, and repayments are made depending on the revenue earned.

You can receive up to €5M to optimize your cash flow and manage expenses with non-dilutive, guarantee-free working capital.

How It Works

Once the business is eligible, you have 2 funding proposals based on your financial, business, and marketing track records.

Then, connect your company's existing sales and marketing platforms, such as Shopify, WooCommerce, Facebook, or Google Ads.

The amount of funding you'll receive, and the agreed-upon Revenue Sharing Percentage (RSP) define the multiple. The payback duration is adjustable and dictated by the company's revenue. You can return the multiple quickly if the business succeeds.

A revenue-sharing arrangement returns the multiple automatically. A portion of the company's revenue is set aside to repay the loan until you attain the agreed-upon multiple.


To be eligible for financing, you must meet the following requirements:

  • Online sales for more than 6 months
  • Monthly earnings of at least 10,000€
  • Budget for online marketing exceeding 10,000€
  • An online business model includes SaaS, Subscription, Ecommerce, Mobile App, or D2C.

Pros and Cons

✅ Suitable for different business models.

✅ There is no need for any guarantees.

✅ Easy application process.

❌ You need to have a budget for online marketing.

❌ Funding offer depends on various factors.

Comparison Table



All in all, businesses looking to maximize their earnings and increase the size of their operations could potentially benefit from inventory financing loans.

This kind of loan makes it easy for companies to access the required funds for inventory purchases, order fulfillment, and other day-to-day tasks without imposing any major financial concerns.

Additionally, with flexible repayment terms, businesses can repay their loans as they sell their inventory, which makes it a convenient and low-risk funding solution.


Are you interested to learn more?

Sign up with Myos today, and never run out of stock!


What Types of Businesses Can Benefit from Inventory Financing?

Inventory financing can be helpful for businesses in various industries, including retail, wholesale, manufacturing, and distribution. 

What Are the Benefits of Inventory Financing?

The main benefit of inventory financing is that it allows businesses to access the working capital they need to grow and expand. It can also help companies to manage cash flow and take advantage of new opportunities.

What Are the Drawbacks of Inventory Financing?

The main drawback of inventory financing is that it can be more expensive than other types of funding. Additionally, you may need to provide detailed information about inventory, and restrictions on how to use these funds may exist.

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