How YouLend Works: Complete Guide 2025

How YouLend Works in 60 Seconds

1. You connect your e-commerce platform or payment processor (10 minutes)
2. YouLend analyzes your sales data automatically (instant)
3. You receive offer - amount, factor rate, daily repayment % (24-48 hours)
4. You accept and e-sign agreement (5 minutes)
5. Funds arrive in your business account (24 hours)
6. Automatic repayment - they take agreed % of daily sales until repaid

Step 1: Application (10 Minutes)

Visit youlend.com and click "Get Started". You'll need:

• Business details (company number, trading address)
• Director/owner information (name, DOB, address)
• Connection to sales platform (Shopify, Amazon, payment processor)

Open Banking Connection: Instead of uploading bank statements, you authorize YouLend to securely read your transaction data via open banking API. Faster and more secure than manual upload.

Step 2: Automated Analysis (Instant)

YouLend's algorithm analyzes your sales data:

• Revenue trend: Growing, stable, or declining?
• Consistency: Predictable sales or highly variable?
• Seasonality: Do you have clear seasonal patterns?
• Returns/refunds: High return rate = higher risk
• Account age: How long you've been trading

Based on this analysis, their algorithm determines:

• Maximum funding amount you qualify for
• Factor rate (1.10-1.35x depending on risk)
• Recommended daily repayment percentage

Step 3: Offer Received (24-48 Hours)

You'll receive an offer showing:

• Advance amount: e.g., £50,000
• Factor rate: e.g., 1.25x
• Total repayment: e.g., £62,500
• Daily deduction: e.g., 15% of card sales
• Estimated term: e.g., 8-10 months based on current sales

Step 4: Acceptance (5 Minutes)

If happy with terms:

• Review full agreement (read carefully!)
• Check factor rate, repayment %, and any conditions
• E-sign the contract online
• Authorize repayment deduction from your processor

Step 5: Funding (24 Hours)

Once agreement signed, funds typically arrive within 24 hours. Money goes directly to your business bank account via faster payment. No checks or delays.

Step 6: Automatic Repayment (Daily)

How repayment works:

1. Each day, your payment processor settles card sales to your account
2. Before settlement, YouLend deducts agreed percentage (e.g., 15%)
3. You receive remaining 85% as normal
4. Process repeats daily until total amount repaid

Real Example:

• Monday card sales: £1,000 → YouLend takes £150 (15%), you get £850
• Tuesday card sales: £1,500 → YouLend takes £225 (15%), you get £1,275
• Wednesday card sales: £500 → YouLend takes £75 (15%), you get £425

Notice: Repayment flexes with your sales automatically. Busy day = higher repayment. Quiet day = lower repayment.

What Happens if Sales Drop?

Scenario: Your sales drop 50% during quiet period.

• Normal sales: £2,000/day → YouLend takes £300 (15%)
• Sales drop to £1,000/day → YouLend takes £150 (15%)

Your repayment automatically halves. This protects your cash flow. Compare to traditional loan where you'd still owe full £300/day regardless of sales - risking default.

Repeat Funding: How It Works

Once you've repaid 50-75% of your first advance, YouLend offers "top-up" funding:

• Faster approval: Decision in hours (vs days for first advance)
• Better rates: Proven track record = lower factor rate (often 0.05-0.10x better)
• Higher amounts: Successfully repaid £30k? May qualify for £75k second time

Common Questions

Can I pay off YouLend early?

Yes, no penalty. If you repay the full outstanding balance early, you save on the remaining period. Some businesses get windfall (large sale, tax refund) and pay off early to minimize total cost.

What if I have no sales one day?

Zero sales = zero repayment that day. Repayment automatically pauses. Resumes next day when sales occur. This is the key advantage over fixed monthly loan payments.

Can YouLend take more than agreed percentage?

No. Percentage is fixed in contract. If contract says 15%, they take exactly 15% - not 15.1%, not 16%. This is regulated and monitored.

Bottom Line

YouLend's process is streamlined for e-commerce businesses: connect platform, get instant analysis, receive offer in 24-48hrs, funds in account next day, automatic repayment flexes with sales. Simple, fast, and transparent.

Before applying: Compare YouLend's offer against iwoca (better rates) and 365 Finance (hospitality specialists). The 10 minutes spent comparing saves £3,000-£10,000 on average.