Everestbusinessfunding.com Review

Based on looking at the website Everestbusinessfunding.com, our review highlights significant concerns regarding its ethical standing, particularly from an Islamic perspective, due to its explicit offering of “revenue-based financing.” This model, while appearing different from traditional loans, often involves elements that align with riba interest, which is strictly prohibited in Islam.

The platform’s primary function—providing “working capital” with “fast turnaround times” and “flexible funding options”—strongly suggests a transaction structure where money is exchanged for more money over time, a core characteristic of interest.

Therefore, we cannot recommend Everestbusinessfunding.com as an ethical financing option.

Overall Review Summary:

• Ethical Compliance Islamic: Unacceptable due to potential riba interest elements in “revenue-based financing.”
• Transparency: Lacks detailed explanations of the financing structure to clarify its compliance with ethical financial principles.
• Website Information: Presents standard business funding information but omits crucial details regarding the underlying financial mechanisms.
• Recommendation: Not recommended for businesses seeking ethically compliant halal financial solutions.

While Everestbusinessfunding.com aims to help businesses with quick access to capital, the underlying principles of “revenue-based financing” often fall into the category of interest-based transactions, which are fundamentally misaligned with Islamic financial ethics.

The focus on immediate returns on capital provided, without clear profit-loss sharing or asset-backed structures, raises red flags.

In Islam, financial transactions should be based on real economic activity, shared risk, and tangible assets, not merely the exchange of money for a larger sum of money.

Therefore, engaging with such platforms carries a significant risk of participating in riba, which is considered a major sin and leads to negative long-term outcomes, both materially and spiritually.

Instead of pursuing interest-based or interest-like financing, businesses are strongly encouraged to explore genuinely ethical and halal alternatives that promote fair trade, shared risk, and real economic partnership.

Best Alternatives for Ethical Business Funding:

• Alhamdulillah Islamic Finance
  • Key Features: Offers various Sharia-compliant financing solutions like Murabaha cost-plus financing, Ijarah leasing, and Musharakah partnership. Focuses on real asset transactions and risk-sharing.
  • Price: Varies based on the financing product and agreement. Typically involves a profit margin or rental fee, not interest.
  • Pros: Fully Sharia-compliant, promotes ethical business practices, supports real economic growth.
  • Cons: Application process might be more detailed due to Sharia requirements, fewer providers compared to conventional finance.
• Guidance Residential
  • Key Features: Primarily known for home financing, but their model Diminishing Musharakah can be adapted for business asset financing. It involves joint ownership and gradual acquisition.
  • Price: Monthly payments include a profit portion rental and an equity portion.
  • Pros: Well-established, strong reputation for Sharia compliance, transparent structure.
  • Cons: May not be suitable for all types of working capital needs, more focused on asset acquisition.
• United States Halal Chamber of Commerce Halal Certification Bodies
  • Key Features: While not a direct financier, they provide resources and connections to halal-certified businesses and ethical financial institutions. They can guide businesses toward legitimate halal investment and funding sources.
  • Price: Membership or certification fees may apply for specific services.
  • Pros: Gateway to a network of ethical businesses, provides credibility for halal operations, valuable resource for Islamic entrepreneurs.
  • Cons: Not a direct funding source, requires proactive networking and research.
• CrowdFundMe Ethical Crowdfunding Platforms
  • Key Features: Some crowdfunding platforms facilitate equity-based or profit-sharing campaigns, which can be structured to be Sharia-compliant. Businesses offer shares or a portion of future profits to investors.
  • Price: Platform fees and a percentage of funds raised.
  • Pros: Access to a broad investor base, allows for direct engagement with supporters, avoids debt and interest.
  • Cons: Fundraising success is not guaranteed, requires a compelling business proposal, compliance with crowdfunding regulations.
• Amazon Business Line of Credit
  • Key Features: For businesses selling on Amazon, this offers credit based on sales performance. While traditional lines of credit may involve interest, exploring options specifically designed for sellers might reveal structures that are less riba-prone, especially if tied to direct sales revenue. It’s crucial to scrutinize the terms for interest-based charges.
  • Price: Interest rates apply, so careful review is necessary to ensure it’s avoided. This is a conventional alternative that needs extreme caution to avoid riba.
  • Pros: Convenient for Amazon sellers, potentially fast access to capital.
  • Cons: Highly likely to involve interest riba, requiring meticulous review to ensure Sharia compliance, which is often difficult to achieve.
• Invoice Factoring Halal-compliant providers
  • Key Features: Selling your unpaid invoices to a third party at a discount to get immediate cash. If structured correctly, where the discount is a fee for service rather than an interest charge on borrowed money, it can be permissible.
  • Price: A percentage of the invoice value the discount.
  • Pros: Quick access to cash, improves cash flow without incurring debt, can be structured ethically.
  • Cons: Not all factoring services are Sharia-compliant. requires careful due diligence to ensure the fee is not disguised interest.
• Leasing Ijarah-based
  • Key Features: Instead of buying equipment with interest-based loans, businesses can lease it through an Ijarah contract, where the lessor bank/institution owns the asset and leases it to the business for a fixed rental fee. Ownership can transfer at the end of the term.
  • Price: Rental payments over the lease term.
  • Pros: Avoids interest, flexible alternative to asset purchase, promotes real economic activity.
  • Cons: Limited to tangible assets, might be more costly than conventional leasing if not structured competitively.

Find detailed reviews on Trustpilot, Reddit, and BBB.org, for software products you can also check Producthunt.

IMPORTANT: We have not personally tested this company’s services. This review is based solely on information provided by the company on their website. For independent, verified user experiences, please refer to trusted sources such as Trustpilot, Reddit, and BBB.org.

Examining Everestbusinessfunding.com: A Review of its Business Model

Everestbusinessfunding.com presents itself as a provider of “revenue-based financing,” aiming to help business owners secure working capital quickly.

However, a deeper look into this model reveals a significant concern regarding its permissibility within Islamic finance, primarily due to its inherent resemblance to interest-based transactions riba. The core promise of “fast working capital” for various business needs like buying equipment, making payroll, or expanding operations, while appealing, typically implies a structure where a fixed or variable charge is applied to the advanced capital, irrespective of the underlying asset or shared risk, making it ethically problematic for a Muslim audience.

Everestbusinessfunding.com Review & First Look

Upon initial examination, Everestbusinessfunding.com projects an image of accessibility and speed for businesses in need of capital. The website emphasizes a “fast and hassle-free application and funding process,” with “funding up to $1,000,000” and “flexible funding options.” While these features might seem attractive to a business owner facing immediate cash flow needs, the lack of explicit detail regarding the mechanism of “revenue-based financing” on the homepage raises questions. There is no mention of a profit-loss sharing agreement, asset ownership transfer, or a clear fee structure that definitively distances it from interest. This absence of transparency on the fundamental financial structure is a red flag, especially when considering Islamic financial principles where clarity and avoidance of ambiguity gharar are paramount. The business model appears to focus on providing capital in exchange for a predetermined portion of future revenue, which, without a clear, Sharia-compliant underlying transaction, often translates to a disguised form of interest.

• Website Layout: Clean and professional, easy navigation.
• Key Claims: Fast working capital, funding up to $1,000,000, easy online application.
• Missing Information: Detailed explanation of “revenue-based financing” from a Sharia-compliant perspective. explicit disclaimers regarding interest or profit-sharing.
• Contact Information: Provides a physical address 102 W 38th Street, 6th Floor, New York, NY 10018, phone, and fax.
• CEO Information: The website does not prominently display the CEO’s name or direct contact information on the homepage. Information regarding the CEO of Everest Business Funding often requires deeper research into company registration databases or business news. For instance, public records or industry reports might reveal the leadership, but this isn’t readily available on their primary marketing site. The absence of this information on the homepage is not unusual for a financial service provider but can reduce a sense of direct accountability for some users.

The Ethical Dilemma of Revenue-Based Financing

The concept of “revenue-based financing” often positions itself as an alternative to traditional debt, but its structure frequently mirrors interest.

In a typical scenario, a funder provides capital in exchange for a percentage of the business’s future gross revenues until a predetermined multiple of the original advance is repaid.

For example, if a business receives $100,000, they might agree to repay $120,000 a 1.2x multiple through a percentage of daily or weekly sales.

This additional $20,000, regardless of how it’s termed, functions similarly to interest on borrowed money.

• Riba Interest: The fundamental prohibition in Islam is against riba, which encompasses any predetermined excess or surplus stipulated in a loan transaction. Whether this excess is called “interest,” “fee,” or a “multiple,” if it’s tied to the amount of capital provided and guaranteed, it falls under the umbrella of riba.
• Lack of Risk-Sharing: A key tenet of Islamic finance is risk-sharing. In a truly ethical partnership, the financier shares in the potential profits and losses of the venture. If the revenue-based financing model guarantees a return regardless of the business’s profitability, it shifts all risk to the entrepreneur, which is contrary to Islamic principles.
• Speculation Gharar: The specific percentage and duration of revenue sharing can sometimes introduce elements of excessive uncertainty gharar, especially if future revenues are highly unpredictable and the repayment period is open-ended until a certain multiple is hit. This can lead to ambiguity about the actual cost of financing.
• Comparison to Permissible Models: Contrast this with permissible Islamic financing models like Murabaha cost-plus sale, Ijarah leasing, or Musharakah/Mudarabah profit-loss sharing partnerships. These models involve either the sale of tangible assets with a clear profit margin, the leasing of assets, or genuine equity partnerships where both parties share in the venture’s success and failure.

Everestbusinessfunding.com’s Business Funding Model in Detail

Everestbusinessfunding.com states it provides “revenue-based financing.” This means they advance capital to a business, and in return, they receive a fixed percentage of the business’s daily or weekly sales until the advanced amount, plus an agreed-upon premium, is repaid.

This repayment is directly linked to the business’s revenue flow.

• Key Mechanism: The repayment amount is a multiple of the initial capital. For example, a $100,000 advance might require a total repayment of $120,000 or $130,000. This additional amount, often termed a “factor rate” or “retrieval rate,” is the problematic element.
• No Collateral Required: Often, such funding models are unsecured or require minimal collateral, focusing instead on the business’s future revenue potential.
• Speed and Accessibility: The primary advantage touted by such providers is the speed and ease of access to funds compared to traditional bank loans, which typically involve extensive paperwork and collateral requirements. This appeal often draws businesses that might be struggling to secure conventional financing.
• Impact on Cash Flow: While the repayment fluctuates with revenue, meaning lower payments during slow periods, the overall cost of capital is typically higher than conventional loans, and the “multiple” repaid often exceeds the principal amount advanced, essentially acting as interest.

Everestbusinessfunding.com Pros & Cons Focus on Cons

When evaluating Everestbusinessfunding.com from an ethical standpoint, the “cons” heavily outweigh any perceived “pros.” The primary benefit of speed and accessibility comes at the cost of ethical compromise for Muslim entrepreneurs. Accutraderplus.com Review

• Cons from an Islamic perspective:
  • Potential Riba: The most significant concern. The “revenue-based financing” model, as typically structured, involves a predetermined excess paid back on the capital advanced, which aligns with the definition of riba interest in Islamic law. This makes the transaction impermissible.
  • Lack of Risk-Sharing: The funding entity typically guarantees a return on its capital regardless of the business’s actual profit or loss. This transfers all the operational risk to the entrepreneur, violating the Islamic principle of shared risk in financial partnerships.
  • High Cost of Capital: While seemingly flexible, the total amount repaid the “multiple” is often significantly higher than the principal received, making it an expensive form of financing compared to conventional loans or ethically structured alternatives.
  • Uncertainty Gharar: Depending on the specifics, the fluctuating daily/weekly repayment might introduce some ambiguity if the total repayment period or final exact cost is not clearly defined at the outset, though typically a cap the “multiple” is set.
  • No Asset-Backed Transaction: Unlike Islamic finance models like Murabaha or Ijarah, this is purely a money-for-more-money transaction, lacking an underlying tangible asset or genuine partnership in a commercial venture.
  • Ethical Implications: Engaging in riba-based transactions is considered a major sin in Islam, leading to severe spiritual and societal consequences, including a lack of blessings barakah and financial instability in the long run.

Why Avoid Interest-Based Funding in Islam?

The prohibition of riba interest in Islam is a cornerstone of its economic system.

It’s not merely a religious commandment but a principle designed to foster economic justice, equity, and stability.

When looking at platforms like Everestbusinessfunding.com, understanding this prohibition is crucial.

• Economic Justice: Riba creates an unjust system where wealth is concentrated in the hands of those who lend money, exploiting the needs of others. It allows capital to grow without engaging in real economic activity, production, or shared risk.
• Risk Aversion vs. Risk Sharing: Interest encourages risk aversion from the financier, as their return is guaranteed regardless of the venture’s success. Islamic finance promotes risk-sharing, where both parties bear the potential for profit and loss, encouraging responsible investment and genuine partnership.
• Inflation and Debt: Interest can exacerbate economic inequalities and contribute to cycles of debt. It places an undue burden on borrowers, especially during economic downturns, as they are obligated to repay the principal plus interest, even if their venture fails.
• Barakah Blessing: From an Islamic spiritual perspective, wealth acquired through riba is devoid of blessings and may not lead to prosperity in the long term. True prosperity barakah is linked to ethical earnings and righteous conduct.
• Societal Impact: A financial system based on interest can lead to speculative bubbles, financial crises, and a widening gap between the rich and the poor. Islamic finance aims to build a compassionate and just society through equitable wealth distribution and sustainable economic practices. Therefore, even if a business is successful with “revenue-based financing,” the ethical cost is significant, undermining the spiritual integrity and long-term well-being encouraged by Islamic teachings.

Navigating Ethical Business Financing: Everestbusinessfunding.com Alternatives

For Muslim entrepreneurs, finding ethical business financing is paramount.

Given the issues with models like Everestbusinessfunding.com’s “revenue-based financing,” exploring truly Sharia-compliant alternatives is not just an option but a necessity.

These alternatives adhere to Islamic principles, ensuring financial transactions are built on justice, equity, and shared risk.

Exploring Sharia-Compliant Financing Models

The world of Islamic finance offers several robust models designed to meet various business funding needs without resorting to interest.

These models provide viable alternatives to conventional loans and potentially problematic revenue-based schemes.

• Murabaha Cost-Plus Financing:
  • Mechanism: The financier purchases an asset e.g., equipment, raw materials requested by the client and then sells it to the client at an agreed-upon marked-up price. The client repays the total price in installments.
  • Ethical Aspect: It’s a true sale transaction with a transparent profit margin, not a loan with interest. Ownership of the asset transfers, and the profit is a legitimate return on trade.
  • Application: Ideal for purchasing specific assets or inventory.
• Ijarah Leasing:
  • Mechanism: The financier purchases an asset and leases it to the client for a fixed rental period. Ownership remains with the financier during the lease, but the client has the right to use the asset.
  • Ethical Aspect: The rental income is permissible as it’s a return on the use of a tangible asset. It can be structured as Ijarah Muntahia Bil Tamleek lease ending in ownership, where the asset is transferred to the client at the end of the term.
  • Application: Suitable for machinery, vehicles, property, or other long-term assets.
• Musharakah Partnership:
  • Mechanism: Both the financier and the client contribute capital to a venture, and they share in the profits and losses according to a pre-agreed ratio.
  • Ethical Aspect: This is a true equity partnership, embodying the core principle of risk-sharing. If the business incurs a loss, the financier also loses a portion of their capital, proportional to their contribution.
  • Application: Ideal for new ventures, expansion projects, or joint ventures where shared ownership and risk are desired.
• Mudarabah Profit-Sharing Partnership:
  • Mechanism: One party Rab-ul-Mal, the financier provides capital, and the other party Mudarib, the entrepreneur/business owner provides expertise and labor. Profits are shared according to an agreed ratio, but losses are borne solely by the financier unless the Mudarib is negligent.
  • Ethical Aspect: It’s a genuine partnership based on trust and shared outcomes. The financier takes the financial risk, while the entrepreneur takes the operational risk.
  • Application: Suitable for entrepreneurs with strong business ideas but limited capital.
• Takaful Islamic Insurance:
  • Mechanism: While not a funding model itself, Takaful is the Islamic alternative to conventional insurance. Participants contribute to a fund, which is used to cover damages experienced by any participant. It’s based on mutual cooperation and solidarity, avoiding elements of interest, gambling maysir, and excessive uncertainty gharar.
  • Application: Provides ethical risk management for businesses, protecting assets and operations in a Sharia-compliant way.

How to Evaluate Ethical Funding Providers

When seeking alternatives to Everestbusinessfunding.com, Muslim entrepreneurs must exercise diligence to ensure the financing structure is genuinely Sharia-compliant.

This involves asking specific questions and scrutinizing the terms. Sandwell.ac.uk Review

• Transparency of Structure: Does the provider clearly explain the underlying contract e.g., Murabaha, Ijarah, Musharakah? Is the profit or fee directly linked to a tangible asset or a genuine partnership, rather than just the amount of capital provided?
• Avoidance of Interest: Is there any predetermined, fixed return on the principal amount regardless of business performance? Any term like “interest rate,” “APR,” or a fixed “return multiple” that guarantees a return on cash rather than profit from trade or asset use is a red flag.
• Risk Sharing: Does the financier share in the business’s risk? In true Musharakah or Mudarabah, the financier bears financial loss if the venture fails without negligence on the entrepreneur’s part.
• Asset-Based Transactions: Are the transactions tied to real assets or services? Islamic finance emphasizes financing real economic activity rather than speculative financial instruments.
• Sharia Board/Advisor: Does the institution have a recognized Sharia Supervisory Board or an independent Sharia scholar to review and certify their products and services? This is a crucial indicator of genuine compliance.
• Fees and Charges: Are all fees clearly defined and related to legitimate services e.g., administrative costs rather than being disguised interest?
• Reputation and Track Record: Research the provider’s reputation within the Islamic finance community. Look for reviews and testimonials focusing on their adherence to ethical principles.

Understanding the Cost of Non-Compliance: Riba

The act of engaging in riba is not merely a technical breach but a severe ethical and spiritual transgression in Islam.

The Quran and Sunnah explicitly condemn it, highlighting its destructive impact on individuals and society.

• Quranic Stance: The Quran, in Surah Al-Baqarah 2:275, states: “Allah has permitted trade and forbidden interest.” It further warns of war from Allah and His Messenger for those who persist in dealing with interest.
• Prophetic Sayings: The Prophet Muhammad peace be upon him also cursed the one who consumes riba, the one who pays it, the one who records it, and the two witnesses to it, stating they are all equal in sin.
• Societal Harm: Historically, interest has been linked to economic instability, debt crises, and social inequality. It encourages speculative behavior, discourages productive investment, and can lead to financial exploitation.
• Loss of Barakah: For a Muslim, earning through haram forbidden means, including riba, results in a loss of barakah blessing in one’s wealth and life. This means that even if one accumulates significant wealth, it may not bring true contentment, spiritual peace, or lasting benefit.
• Accountability in the Hereafter: Ultimately, engaging in riba is an act that carries severe accountability in the Hereafter. For a believer, avoiding riba is a fundamental aspect of their faith and a commitment to living by divine guidance.

Therefore, while a platform like Everestbusinessfunding.com might offer quick financial solutions, the hidden cost of potential riba involvement far outweighs any perceived convenience for a Muslim business owner.

Prioritizing ethical compliance over speed or ease of access is a commitment to both spiritual well-being and long-term sustainable business practices.

How to Avoid Unethical Funding Models

For businesses, especially those adhering to Islamic principles, steering clear of funding models that might involve riba or other unethical elements is critical.

This requires a proactive approach, including thorough research, careful vetting, and a commitment to ethical financial practices.

Due Diligence in Funding Selection

Before engaging with any funding provider, especially those offering non-traditional financing like “revenue-based funding,” it’s essential to perform rigorous due diligence.

This goes beyond just understanding repayment terms and delves into the ethical structure of the transaction.

• Examine the Contract: Do not sign any agreement without fully understanding its terms. If the contract involves a predetermined return on capital that is not tied to a genuine profit-sharing or asset-based transaction, it is likely riba. Look for language that clearly states the financier is sharing in the profits and losses of the business, or that the transaction is a sale of a tangible asset with a clear profit margin.
• Seek Expert Advice: Consult with a knowledgeable Islamic finance scholar or an advisor experienced in Sharia-compliant business transactions. They can help scrutinize the contract and identify any hidden riba elements or other impermissible aspects.
• Understand the “True Cost”: While Everestbusinessfunding.com promotes “flexible funding options,” analyze the total amount repaid the “multiple” in relation to the principal received. If this “multiple” is significantly higher and represents a fixed gain on the capital advanced, it’s a strong indicator of an interest-like transaction.
• Verify Asset Ownership: If the funding is for purchasing an asset, ensure that the financier actually owns the asset before selling or leasing it to you as in Murabaha or Ijarah. A direct loan to purchase an asset, with interest, is not permissible.
• Transparency: A reputable and ethical financier will be transparent about their financial structures and willing to explain how their products comply with ethical guidelines. Red flags include evasiveness, vague terms, or a refusal to provide detailed breakdowns of fees and profits.

Alternatives to Debt for Business Growth

Beyond specific Islamic finance models, there are other strategies businesses can employ to grow without resorting to interest-based debt.

These methods align with ethical principles by focusing on equity, shared risk, or organic growth. Loucheperfume.com Review

• Bootstrapping:
  • Mechanism: Self-funding a business through personal savings, initial revenues, or careful management of expenses. This involves reinvesting profits back into the business.
  • Pros: Complete control, no debt obligations, forces disciplined financial management, higher long-term profit retention.
  • Cons: Slower growth, limited capital for large-scale expansion.
• Equity Financing:
  • Mechanism: Selling a portion of your company’s ownership equity to investors e.g., angel investors, venture capitalists. In return, investors provide capital and often expertise.
  • Pros: No debt repayment, investors share in the risk, can bring valuable mentorship and networks.
  • Cons: Dilution of ownership, loss of some control, requires a compelling business plan and valuation.
• Profit-Sharing Agreements beyond Mudarabah/Musharakah:
  • Mechanism: Entering into agreements with partners or investors where they receive a share of the profits for a specific period in exchange for capital or services, without a fixed repayment obligation on the principal.
  • Pros: Flexible, aligns incentives, avoids debt.
  • Cons: Requires clear legal agreements, potential for disputes over profit calculation.
• Grants and Awards:
  • Mechanism: Securing non-repayable funds from government programs, foundations, or competitions.
  • Pros: Free money, enhances reputation.
  • Cons: Highly competitive, often specific eligibility criteria, application process can be lengthy.
• Customer Pre-payments/Deposits:
  • Mechanism: For service-based businesses or those with custom orders, requesting upfront payments or deposits from customers can provide working capital.
  • Pros: Interest-free capital, strengthens customer commitment.
  • Cons: Not suitable for all business models, requires trust from customers.

The Long-Term Consequences of Riba

Beyond the immediate financial implications, engaging in riba has profound long-term consequences that extend beyond the transactional level, impacting spiritual well-being and societal health.

• Erosion of Barakah Blessing: From an Islamic perspective, wealth acquired through impermissible means, such as riba, lacks divine blessing. This can manifest as constant financial struggle despite apparent income, dissatisfaction, or the inability to utilize wealth for truly beneficial purposes.
• Moral Decay: The pursuit of interest fosters a mindset of greed and exploitation, undermining compassion and cooperation within society. It encourages passive income generation without contributing to real economic production or value creation.
• Economic Instability: Historical and contemporary economic analyses often link interest-based systems to financial crises, boom-bust cycles, and increased wealth disparity. The compounding nature of interest can lead to unsustainable debt burdens for individuals and nations.
• Spiritual Emptiness: For a believer, knowingly engaging in forbidden practices creates a spiritual disconnect and a sense of guilt, impacting one’s relationship with the Divine. True prosperity is not just about material accumulation but also about inner peace and spiritual fulfillment.
• Social Division: Riba exacerbates the gap between the rich and the poor, leading to social unrest and resentment. Islamic finance, by contrast, promotes equitable distribution of wealth and supports a more cohesive society.

Therefore, while Everestbusinessfunding.com might offer a fast solution for capital, the long-term ethical and spiritual costs associated with its revenue-based financing model are considerable.

Choosing ethical alternatives is not just a compliance issue but a strategic decision for sustainable and blessed business growth.

FAQ

What is Everestbusinessfunding.com?

Everestbusinessfunding.com is an online platform that offers “revenue-based financing” to businesses, providing them with working capital quickly in exchange for a percentage of their future revenues.

Is Everestbusinessfunding.com Sharia-compliant?

No, Everestbusinessfunding.com’s “revenue-based financing” model is unlikely to be Sharia-compliant because it typically involves a predetermined excess paid back on the capital advanced, which is considered riba interest in Islam, regardless of how it’s termed.

What is “revenue-based financing”?

Revenue-based financing is a funding method where a business receives capital in exchange for a percentage of its future gross revenues, paid back until a predetermined multiple of the original advance is repaid.

Why is “revenue-based financing” problematic in Islam?

It’s problematic because the “multiple” repaid often acts as an interest-like charge on the capital advanced, lacking true risk-sharing and being a money-for-more-money transaction, which falls under the prohibition of riba interest.

What is riba interest in Islam?

Riba is any predetermined excess or surplus stipulated in a loan transaction, where money is exchanged for more money over time.

It is strictly forbidden in Islam due to its exploitative nature and lack of shared risk.

Are there alternatives to Everestbusinessfunding.com for Muslim businesses?

Yes, there are several Sharia-compliant alternatives, including Murabaha cost-plus financing, Ijarah leasing, Musharakah partnership, Mudarabah profit-sharing, and ethical crowdfunding. Juliatravel.com Review

How does Murabaha financing work?

In Murabaha, a financier purchases an asset requested by the client and then sells it to the client at an agreed-upon marked-up price, which the client repays in installments.

This is a true sale transaction, not an interest-bearing loan.

What is Ijarah financing?

Ijarah is an Islamic leasing contract where the financier purchases an asset and leases it to the client for a fixed rental period.

Ownership typically remains with the financier during the lease, potentially transferring at the end.

Can Musharakah be used for business funding?

Yes, Musharakah is an equity partnership model where both the financier and the client contribute capital to a venture and share in its profits and losses according to a pre-agreed ratio, embodying true risk-sharing.

What is Mudarabah financing?

Mudarabah is a profit-sharing partnership where one party provides capital financier and the other provides expertise and labor entrepreneur. Profits are shared by agreement, and losses are borne solely by the financier unless the entrepreneur is negligent.

Is crowdfunding permissible in Islam for business funding?

Yes, if structured ethically.

Equity-based crowdfunding or profit-sharing crowdfunding models can be permissible if they avoid debt and interest, and genuinely share profits and losses, aligning with Musharakah or Mudarabah principles.

What should I look for in an ethical funding provider?

Look for transparency in their financial structure, clear avoidance of interest, evidence of risk-sharing, asset-backed transactions, and ideally, an independent Sharia Supervisory Board or advisor.

How can I verify if a financing product is Sharia-compliant?

Always request detailed contract terms, consult with a knowledgeable Islamic finance scholar, and verify if the institution has a recognized Sharia board or external certification. Premierfoodsafety.com Review

What are the consequences of engaging in riba from an Islamic perspective?

Engaging in riba is considered a major sin in Islam, leading to a lack of blessings barakah in wealth, spiritual emptiness, economic injustice, and severe accountability in the hereafter.

Does Everestbusinessfunding.com require collateral?

The homepage doesn’t specify collateral requirements, but “revenue-based financing” often positions itself as unsecured or requiring minimal collateral, focusing on future revenue streams.

How fast can I get funding from Everestbusinessfunding.com?

The website advertises “fast turnaround times,” implying quick access to capital, which is a common appeal of revenue-based financing models.

Does Everestbusinessfunding.com have a physical address?

Yes, the website lists a physical address: 102 W 38th Street, 6th Floor, New York, NY 10018.

Can I find customer reviews for Everestbusinessfunding.com?

Yes, the website has a “Customer Reviews” section linked directly from the homepage, indicating they share testimonials.

What is the typical funding amount offered by Everestbusinessfunding.com?

The website states they offer “Funding up to $1,000,000.”

How can I contact Everestbusinessfunding.com?

They provide a phone number 800-619-2943 and a fax number 888-493-4091 on their homepage.