YouLend vs 365 Finance Merchant Cash Advance Comparison 2026
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- Both lenders provide revenue based funding repaid as a percentage of card or online sales, but their funding limits and partner models differ.
- YouLend distributes funding largely via embedded finance partnerships, while 365 Finance operates as a direct UK merchant cash advance provider.
- Costs are typically structured as fixed fees rather than interest rates, so effective pricing varies by deal and cannot be inferred from APRs alone.
- Choosing between them usually comes down to where you trade, how you take payments, your trading history and whether you prioritise embedded offers at checkout or direct applications.
1. Products and terms at a glance
Both YouLend and 365 Finance provide revenue based business funding linked to card or online sales, but the way products are packaged and delivered is different.
YouLend
YouLend describes itself as a global embedded financing platform, working with e commerce platforms, payment providers and marketplaces to offer merchants access to funding based on their transaction data according to its main site. For merchants, this typically appears as a business cash advance or revenue based finance offer, rather than a traditional term loan, with repayments taken automatically as a fixed percentage of ongoing sales based on its merchant page and platform overview. Independent comparisons also describe YouLend as a merchant cash advance provider where advances are repaid as a share of daily card sales rather than fixed monthly payments, which aligns with iwoca's lender profile and Merchant Savvy's review.
Specific minimum and maximum funding amounts vary by partner integration and risk profile, and public ranges can differ across third party sites, so for the purposes of this comparison it is safest to treat YouLend's available facility size as varies. Merchant Savvy and other comparison sites indicate that YouLend can support advances from a few thousand pounds into six or seven figures, but individual eligibility and limits depend on transaction history and partner route, so businesses should not assume that any published range will apply in their own case.
YouLend structures its offers with a fixed fee agreed upfront, rather than charging interest, and this fee is added to the total repayment amount, according to explanations of its model in Smart Funding Solutions' guide and references to "no interest" with a fixed fee in YouLend's own merchant information. Because repayments are taken as a proportion of future sales, there is typically no formally fixed term, instead the effective duration shortens or lengthens depending on how quickly a merchant's revenue flows through.
Eligibility criteria for UK merchants are not listed in a single public checklist, but YouLend states in its FAQ that it provides short term revenue based financing where eligibility and pricing are assessed using payment data via Open Banking and partner integrations. External profiles mention that merchants usually need a minimum level of monthly card or online sales and a trading history, but precise minimums vary by partnership and sector, so businesses should treat criteria as varies and rely on the specific partner application journey for concrete thresholds.
365 Finance Merchant Cash Advance
365 Finance, a trading name of 365 Business Finance Limited, focuses on UK merchant cash advances and related unsecured business funding products according to its homepage and company footer. Its flagship product is a merchant cash advance facility that allows businesses taking card payments to obtain funding, then repay through a percentage of future card sales rather than fixed instalments.
On its product page, 365 Finance highlights that merchant cash advances are repaid through an agreed share of daily card takings with no fixed term, and it describes this as a flexible alternative to regular unsecured loans that can support working capital, refurbishment, marketing and other business uses based on its product description. A separate eligibility page under its "How do you apply" section confirms that to qualify, businesses generally need to have traded for at least 12 months and to take a minimum level of card payments each month, for example at least £3,500 in card transactions, and that they must operate in the UK, based on 365 Finance's application guidance. Third party comparison sites such as BMCAA and Alternative Business Funding also summarise typical eligibility expectations, but specific thresholds can change over time, so businesses should rely on the lender's current information.
Under its broader offering, 365 Finance also markets related unsecured funding options such as unsecured business loans that share similar revenue linked repayment structures and are presented as fast, flexible alternatives to bank credit. However, this comparison focuses on the core merchant cash advance since it most directly matches how YouLend structures its funding.
2. Costs and repayments in practice
Both lenders focus on fixed fee pricing rather than conventional interest rates, which makes direct APR style comparisons difficult and potentially misleading. Costs also vary by deal, sector and risk profile, so the figures discussed below are illustrative only.
How pricing is structured
YouLend
YouLend states on its merchant page that it does not charge interest but instead agrees a fixed fee and repayment percentage upfront, and then automatically collects a share of each sale until the total amount plus fee has been repaid, as outlined in its overview for merchants. External sources such as Smart Funding Solutions and Merchant Savvy echo this description, explaining that YouLend uses an upfront fixed fee, often expressed as a percentage of the amount advanced, and that this fee structure means there is no compounding interest.
The specific fee or factor rate band that applies in any case is not consistently published for the UK market as of 2026 and can change with risk appetite and partner arrangements, so any numeric ranges discussed on aggregator sites should be treated as indicative only. For responsible comparison, the cost of YouLend funding should therefore be considered varies and assessed based on personalised offers.
365 Finance
365 Finance markets its merchant cash advance as having no APR, fixed terms or fixed monthly payments, instead charging a pre agreed fee that is repaid through a fixed share of future card takings according to its product page and FAQ content. Third party platforms such as Alternative Business Funding describe this in factor rate terms, where the total repayable amount is the advance multiplied by an agreed factor, but exact factor ranges depend on the individual application and are not set out as a fixed public scale on the lender's own site.
Because 365 Finance also avoids quoting APRs and relies on tailored pricing, the most accurate way to characterise its costs is again varies. Businesses should request a personalised quote if they want to compare the total repayable amount against other funding options or against a traditional unsecured business loan.
Repayment mechanics
Both YouLend and 365 Finance use revenue linked repayments that adapt to trading volumes, which can make cash flow management more predictable for seasonal or card heavy businesses.
YouLend
YouLend explains that repayments are taken as a fixed percentage of each sale processed through the relevant payment gateway or card provider, with no fixed monthly payment, as set out in its platform overview and reiterated in its merchant explainer. Merchant Savvy summarises this as repayments tied to a percentage of daily revenue, highlighting that businesses pay more on busy days and less on quieter ones, which can smooth cash flow for merchants whose income fluctuates through the year, based on its review.
When a merchant receives a renewal or top up offer, YouLend explains in its renewals and payments documentation that only one advance is repaid at a time; new funding does not start drawing repayments until the previous advance has been settled. This structure is designed to prevent multiple layers of revenue based repayments competing for the same cash flow, but it also means that accepting renewals extends the period over which a business is sharing a portion of sales.
365 Finance
For 365 Finance, repayments are described as a fixed percentage of future card sales collected until the advance and agreed fee are settled, with no fixed term and no fixed monthly instalment, as set out on its merchant cash advance page. The lender's FAQ and application guidance highlight that this model means repayments fall in quieter months and rise when sales are stronger, which is a general feature of merchant cash advances also described in industry guides such as AccessPaySuite's UK MCA explainer.
365 Finance also notes that its funding is unsecured, meaning it does not generally require fixed assets as collateral, although it may still require personal guarantees or other security arrangements depending on underwriting policies, which are not exhaustively detailed on the public site and therefore should be regarded as varies.
Illustrative comparison table
The table below summarises high level structural differences without quoting specific fee ranges or approval times, which vary by case.
| Feature | YouLend | 365 Finance Merchant Cash Advance |
|---|---|---|
| Primary product model | Revenue based funding delivered largely as merchant cash advance style offers via partners and platforms, based on YouLend's site and iwoca's profile | Direct merchant cash advance funding to UK SMEs, according to 365 Finance's product page |
| Typical repayment method | Fixed percentage of card or online sales deducted automatically until advance plus fixed fee repaid, as outlined on YouLend's merchant page | Fixed percentage of future card takings until advance plus fixed fee repaid, as described on 365 Finance's product page |
| Pricing structure | No interest, single fixed fee agreed upfront, pricing varies by risk and partner according to YouLend's explanation and Smart Funding Solutions | No APR or fixed term, cost structured as pre agreed fee or factor on the advance, with pricing varying per deal based on 365's product page and Alternative Business Funding |
| Eligibility highlights | Short term revenue based finance for merchants using partner platforms or payment providers, with eligibility assessed via transaction data and Open Banking according to YouLend's FAQ | UK businesses that have traded for a minimum period and take a minimum level of card payments each month, for example 12 months trading and at least £3,500 in card volume, based on 365 Finance's "How do you apply" page |
| Regulatory context | YouLend Limited is authorised and regulated by the FCA in the UK as a payment institution, as stated in its FAQ | 365 Finance notes in its Irish complaints notice that its products are not regulated by the FCA, and UK complaints information is set out separately in its UK complaints notice |
Worked examples
The following examples are purely illustrative and assume simplified fee structures. Actual offers from YouLend or 365 Finance will differ and will depend on individual underwriting.
Example 1, seasonal retailer with moderate card turnover
Assume a retailer processes £20,000 per month in card and online sales. They take a £20,000 revenue based facility.
- For illustration, assume the total repayable including fee is £25,000, which implies an effective fixed fee of 25 percent of the advance.
- Assume the repayment percentage is set at 12 percent of card and online sales.
Repayment pattern if sales remain constant at £20,000 per month:
- Monthly repayment would be 12 percent of £20,000, that is £2,400.
- At this rate, it would take approximately 10.4 months to repay £25,000 in total.
If sales fall to £15,000 in quieter months, monthly repayment falls to £1,800, extending the effective term, while stronger months at £25,000 of sales would see repayments rise to £3,000 and shorten the term. This mechanism describes how both YouLend style revenue based funding and the 365 Finance merchant cash advance flex with turnover based on their product descriptions, but the actual fee and share of sales would vary by lender and risk profile.
Example 2, hospitality business seeking refurbishment funds
Assume a hospitality venue processes £60,000 per month in card sales and takes a £40,000 merchant cash advance.
- Illustratively, assume the total repayable is £52,000, which equates to a 30 percent fixed fee on the advance.
- Assume the repayment percentage is 10 percent of card sales.
Repayment pattern with stable turnover of £60,000 per month:
- Monthly repayment is 10 percent of £60,000, that is £6,000.
- It would take around 8.7 months to clear £52,000 in total.
If trade dips to £40,000 in off season months, repayments reduce to £4,000 per month and the payback period extends beyond 12 months. Conversely, if turnover rises to £80,000 after refurbishment, repayments increase to £8,000 per month and the advance clears in around 6.5 months. This demonstrates the inherent trade off in merchant cash advance style products, faster growth helps clear funding more quickly, while weaker trading slows repayments but prolongs the period in which revenue is shared.
3. Speed and service
For many SMEs, speed of decision and funding, alongside support quality, will matter as much as headline cost. Both lenders market fast application journeys, but precise timelines vary.
YouLend
YouLend highlights that merchants can "get business cash in as little as 48 hours" and that the application is largely automated using existing transaction data, as described on its merchant page and also in partner materials such as the JOOR partner application page, which mentions safe and secure funding in as little as 24 hours. Because these timelines are often framed as "in as little as" and depend on the partner and merchant profile, the most accurate way to summarise YouLend's funding speed is varies but typically fast for eligible merchants.
YouLend's FAQ and complaints policy describe its approach to customer support and dispute resolution, including contact channels and the right for UK customers to escalate certain complaints to the Financial Ombudsman Service where YouLend has carried out regulated activities. Public review platforms such as Trustpilot show a high aggregate score and highlight comments about responsive service, but these reviews are anecdotal and individual experiences will vary.
365 Finance
365 Finance markets its merchant cash advance as a quick funding option, but its product pages focus more on the simplicity of the process than on exact timeframes. Its "How do you apply" guide explains that businesses typically complete a short online application and provide card processing statements and bank statements, after which a decision is made once underwriting has assessed trading performance. External sources such as news coverage on The Fintech Finance News site have referred to approvals often within a day in previous years, but as processing times can change with demand and underwriting policy, it is safer to summarise funding speed as varies, often relatively fast compared with traditional bank applications.
365 Finance's complaints notice sets out how customers can raise concerns and how the firm will respond, including email contacts and timescales for acknowledging and resolving complaints. Reviews on independent sites, including finance brokers and comparison platforms like BMCAA, often describe the firm as responsive and relationship driven, but again these are qualitative impressions rather than guaranteed service standards.
4. Who each lender suits
Neither lender is universally better; suitability depends on how your business operates and how you prefer to access finance.
YouLend
YouLend may suit businesses that:
- Trade heavily through online platforms, marketplaces or payment service providers that partner with YouLend, since this can allow near frictionless offers based on existing transaction data according to its description of embedded partnerships.
- Value automated top up offers triggered by sales performance, as described in its renewals documentation, where merchants can often access additional funding once a certain proportion of the existing advance is repaid.
- Prefer minimal manual paperwork and rely on integrating funding into their existing checkout or dashboard environment, which YouLend positions as a benefit in its platform overview.
Because YouLend operates internationally and via partners, it may be particularly appealing to ecommerce and omni channel merchants who process substantial online payments and want funding offers that scale with their platform activity.
365 Finance
365 Finance may suit businesses that:
- Take a significant proportion of payments by card through UK acquirers and want to work with a direct UK provider, as set out in its product page and site footer.
- Prefer a more traditional relationship style merchant cash advance provider where they can speak directly with an account manager during and after the application process, an approach described on partner sites such as Capalona's lender overview.
- Have at least 12 months trading history and meet the minimum monthly card turnover thresholds that 365 Finance outlines on its eligibility guidance.
365 Finance is likely to be of interest to high street retail, hospitality and service businesses that process steady card volumes and want funding closely matched to those in person card takings.
5. How to apply
YouLend
Because YouLend is primarily an embedded lender, merchants usually access its funding via partner platforms rather than by approaching YouLend directly. Its merchant page explains that eligible businesses typically see funding offers inside their ecommerce, payment or marketplace dashboards, generated from transactional data. The application experience generally involves:
- Receiving a pre assessed offer based on sales history, or triggering an eligibility check using data sharing tools such as Open Banking as referenced in YouLend's FAQ.
- Selecting a desired funding amount within the personalised range provided, along with choosing a preferred repayment percentage if the partner journey allows this.
- Reviewing the total cost including the fixed fee and repayment terms which are set out clearly before acceptance according to YouLend's merchant information.
- Accepting the agreement electronically, after which funds are typically disbursed to the merchant account and repayments begin automatically based on future sales.
Where YouLend is accessed through brokerage or aggregator sites, the initial application may run via the intermediary, but the core steps around data sharing, personalised offer generation and electronic agreement remain broadly similar according to external descriptions on Merchant Savvy and iwoca.
365 Finance
365 Finance offers a more conventional direct application process. Its "How do you apply" guide explains the typical steps for a merchant cash advance as follows, based on the lender's own page:
- Complete a short online enquiry form or speak directly with the 365 Finance team to outline your business details and funding needs.
- Provide recent card processing statements and business bank statements so that underwriters can assess card turnover and trading stability, as requested on the application guidance page.
- Receive a tailored funding proposal outlining the amount available, the total repayable including the fixed fee and the agreed percentage of future card takings.
- Review and sign the agreement electronically if you wish to proceed, after which funds are sent to your business bank account and repayments start automatically against card receipts.
365 Finance also works through introducers and brokers who may support the documentation and communication, but the underlying requirements around trading history and card turnover come from 365 Finance's own eligibility criteria.
6. Final verdict
Choosing between YouLend and 365 Finance is less about headline pricing, which varies in both cases, and more about how you sell, how you want to access funding and whether you prefer an embedded platform led experience or a direct relationship with a UK merchant cash advance provider.
Both lenders use revenue linked repayments and fixed fee pricing to avoid traditional interest rate structures, and both can be relatively fast compared with high street bank loans. However, YouLend's strength lies in its deep integration with ecommerce and payment platforms and its global reach, whereas 365 Finance positions itself squarely as a direct funder to UK SMEs that are comfortable sharing a proportion of card takings in exchange for predictable cash flow based repayments.
When comparing specific offers, businesses should focus on the total repayable amount, the share of sales being taken, any security or guarantee requirements and the impact on cash flow under realistic trading scenarios rather than relying on generic APR conversions, which are not how these products are priced.
Choose YouLend if:
- You primarily trade online or via marketplaces that already partner with YouLend and you want funding offers to appear directly in your platform dashboard.
- You prefer an automated, data driven eligibility assessment using your existing transaction history rather than preparing detailed forecasts and business plans.
- You value the option of ongoing renewal offers that scale with your sales and want to integrate funding into a wider embedded finance ecosystem.
Choose 365 Finance if:
- You run a UK based retail, hospitality or service business with consistent card turnover and want to work directly with a merchant cash advance specialist.
- You prefer to discuss your requirements with a lender that markets itself as relationship focused and accessible by phone or online enquiry.
- You meet the minimum trading history and card volume criteria set out in 365 Finance's eligibility guidance and want a facility that tracks your in person card sales closely.
7. Sources
- YouLend main site and platform overview
- YouLend merchant information page
- YouLend FAQ and FCA authorisation reference
- YouLend UK complaints policy
- YouLend renewals and payments documentation
- iwoca YouLend lender profile
- Merchant Savvy review of YouLend
- Smart Funding Solutions explainer on YouLend loans
- Trustpilot reviews for YouLend
- 365 Finance homepage
- 365 Finance merchant cash advance product page
- 365 Finance, How do you apply for a Cash Advance
- 365 Finance unsecured business loans page
- 365 Finance FAQs
- 365 Finance UK complaints notice
- BMCAA overview of 365 Business Finance
- Alternative Business Funding profile of 365 Business Finance
- Fintech Finance News article on 365 Business Finance
- AccessPaySuite UK merchant cash advance guide
