Did you launch an app or game on a distribution platform and need your revenue right away or can you wait 30-45 days? What could you accomplish with your funds a month (or more) faster? Could you hire an additional developer? Click go on a marketing campaign? Get new equipment?Getting noticed, downloaded, and ultimately paid for a game or app you made is difficult. There are thousands of apps and games that consumers and businesses use. When you do all the hard work and promote your business and finally make money, platforms such as the App Store, Play Store, and Steam pay you 30-45 days after the end of the month in which you had a sale. For example: When someone downloads and pays for your app/game on July 3, you don’t see the money until September. That is a long time to wait for the money you have already earned. This begs the question, "How do I get my distribution platform to pay me faster?"You still need to focus on marketing and acquiring new customers. You still need to make payroll every 2 weeks. You still need to pay rent.So how do you pay the weekly and monthly needs of your business if your platform of choice is paying you 30-45 days after the end of each month?There are a couple of financing options available:
Get a publisher deal
Businesses can work with app and game publishers who will pay for a game to be created and then when revenue comes in the door they’ll first pay for their expenses, and then take equity and/or share of the profits. This is a great option for businesses who have no revenue, need capital to build or finish the app/game as well as need other help outside of financing - marketing, operations, and more.
Business/Personal loan or line of credit
The founders of an app or game can often go to their local bank or an online bank and get a personal or business line of credit or loan. Bank financing typically has the lowest rates of financial products in the market. You will most likely be asked to sign a personal guarantee, or other forms of a guarantee or collateral to get the money. If you're in the early days of building your business, you will likely need to take out a personal loan.
Angel investors are accredited high net worth individuals who provide capital in exchange for equity in the company. A convertible note or SAFE is most commonly used. Find angels through your network, angel.co, and referrals. These individuals invest in you, the idea, and the opportunity.
We provide working capital to app and game companies based on the revenue you have earned but give you the money right away. There are no personal guarantees or long term contracts. No equity in your business is given up. After each month of revenue, we’ll advance you the majority of it while we wait together until the 30 days are up and the platform deposits the regularly scheduled payment. We’ll take a small fee out of the platform’s payment, and remit the remaining revenue to you. No more waiting for 30+ days for your hard-earned money.Only you can decide the best financing tool you should use for your business, but know there are many options. If you have any questions, or if you'd like to discuss your specific situation, don't hesitate to reach out to us via our contact form. We love helping point fellow business owners in the right direction!
Call us at 877.312.0067