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FARO Technologies Inc and Revenue-Based Funding for Precision-Tech Businesses

FARO Technologies is a publicly traded 3D measurement and imaging company — but the vendors, resellers, and industrial shops in its ecosystem often fund growth through revenue-based capital, not bank loans. Here is how that path works.

DN
Dinero Editorial Team
Updated Sep 1, 2026 · 6 min read

If you run or supply a precision-technology or industrial-measurement business connected to FARO Technologies Inc — a reseller, integrator, calibration lab, machine shop, or field-services firm — the fastest funding path is usually revenue-based financing (RBF) through an MCA marketplace, where approval rests on your bank deposits and monthly revenue rather than your credit score. FARO itself is a large public company that raises capital through equity and corporate credit facilities, but the small and mid-sized businesses that sell, service, or build around FARO's hardware rarely have that option. For them, revenue-based capital typically means a minimum around $10,000, a FICO floor near 500, and funding in 24-48 hours once bank statements are reviewed. It is never guaranteed, and it is repaid from a share of ongoing sales, so the model fits businesses with steady deposit flow far better than pre-revenue or lumpy-cycle operations.

Key takeaways

  • FARO Technologies Inc is a publicly traded 3D measurement and imaging company, not a small-business lender.
  • Businesses adjacent to FARO — resellers, calibration labs, integrators, fabrication shops — commonly use revenue-based financing for working capital.
  • Approval is based on business bank deposits and revenue, not credit score alone; FICO floors are often around 500.
  • Minimum funding typically starts near $10,000, scaling with verifiable monthly revenue.
  • Funding commonly arrives in 24-48 hours after bank-statement review.
  • Repayment is a fixed share of ongoing revenue, so it fits steady-deposit businesses far better than lumpy or pre-revenue ones.
  • Revenue-based capital costs more than a bank loan and is never guaranteed — it is best used as short-cycle, revenue-generating working capital.

Who FARO Technologies Inc actually is — and why funding questions come up

FARO Technologies Inc is a US-headquartered public company that designs and sells 3D measurement, imaging, and realization technology — laser scanners, portable coordinate-measuring arms, and software used in manufacturing, construction, forensics, and product design. As a listed corporation, FARO funds itself through public equity markets and institutional credit lines, not through small-business advances.

So why does "FARO Technologies funding" get searched? Almost always it is a smaller business adjacent to FARO looking for working capital: an authorized reseller carrying inventory, a metrology or calibration service bureau, a systems integrator waiting on project payments, or a fabrication shop that just bought scanning equipment and needs cash to bridge the next cycle. These are the operators revenue-based financing is built for.

What revenue-based financing is (and is not)

Revenue-based financing — often structured as a merchant cash advance (MCA) — provides an upfront lump sum in exchange for a fixed portion of your future revenue until an agreed amount is repaid. It is a purchase of future receivables, not a term loan, which is why the qualification logic is different:

  • Approval is deposit-driven. Underwriters read 3-6 months of business bank statements to confirm consistent revenue, not just a credit report.
  • Credit is a factor, not the gate. Many programs accept FICO 500+ because repayment is tied to cash flow.
  • Speed is the trade. Funding commonly lands in 24-48 hours versus weeks for a bank.
  • Repayment flexes with sales. Remittances are a share of revenue, so slower weeks generally mean smaller pulls.

It is not a bank loan, not equity, and not a line of credit. It carries a higher cost of capital than a traditional loan, and it is never guaranteed — approval and terms depend entirely on what your deposits show.

Decision framework: when revenue-based funding fits, and when to avoid it

Use this as an underwriter would.

Works best when:

  • You have steady monthly revenue and consistent bank deposits an underwriter can verify.
  • The use of funds is short-cycle and revenue-generating — inventory to fill a signed order, payroll to staff a project, equipment repair that keeps jobs moving.
  • You need capital in days, not weeks, and a bank timeline would cost you the opportunity.
  • Your credit is bruised (FICO 500s) but your sales are healthy.

Avoid or pause when:

  • Revenue is pre-launch, lumpy, or heavily seasonal with long dead stretches — daily or weekly remittances can strangle cash flow.
  • You are funding a long-payback capital project (a multi-year build) better matched to an equipment loan or SBA product.
  • You are already carrying multiple advances; stacking compounds cost and risk fast.
  • The need is not truly revenue-generating — refinancing old debt with more expensive capital rarely ends well.

For a deeper walk-through of costs and structure, see our guide to revenue-based financing and our merchant cash advance pillar.

Realistic example scenarios

These figures are illustrative only — for example, not quotes. Actual amounts, factor rates, and terms depend on your bank statements and the marketplace offers you receive.

Business typeMonthly revenue (for example)Use of fundsAdvance range (for example)Est. funding time
FARO-authorized reseller~$120,000Stock demo units & inventory$25,000-$60,00024-48h
Metrology / calibration lab~$60,000Bridge payroll between contracts$15,000-$30,00024-48h
Systems integrator~$200,000Cover materials on a signed project$40,000-$100,00024-72h
Machine / fabrication shop~$45,000Repair scanning equipment$10,000-$20,00024-48h

Notice the pattern: the advance scales with verifiable deposit volume, and every use case is short-cycle and tied to keeping revenue moving.

How approval actually works, step by step

  1. Application. Basic business details — legal name, time in business, industry, monthly revenue.
  2. Bank statements. Usually the last 3-6 months. This is the core of the decision — underwriters check deposit consistency, average daily balance, and existing advance activity.
  3. Soft credit view. A FICO check confirms you clear the ~500 floor; it rarely drives the outcome on its own.
  4. Marketplace offers. On a marketplace, multiple funders may return offers, letting you compare amount, remittance frequency, and term rather than taking the first yes.
  5. Funding. Once you accept and clear verification, capital commonly arrives within 24-48 hours.

The cleaner and more consistent your deposits, the stronger your position — and the more room you have to negotiate.

Costs, risks, and how to protect your cash flow

Revenue-based capital is priced with a factor rate, not an APR, and the total cost of capital is higher than a bank loan. Because repayment comes off the top of your sales, the real risk is cash-flow compression: if remittances are set too aggressively relative to your margins, you can starve day-to-day operations.

Protect yourself by matching the advance size to genuine revenue-generating need, avoiding stacking multiple advances, confirming the remittance cadence (daily vs. weekly) fits your deposit rhythm, and reading how the agreement handles slow periods. Treat it as short-cycle working capital, not permanent financing.

Alternatives worth comparing

If your situation points away from an advance, weigh these:

  • Equipment financing — better for buying scanners, arms, or shop machinery with a long useful life.
  • SBA loans — lower cost, longer terms, but slow and credit-intensive.
  • Business line of credit — flexible revolving access if your credit and time-in-business qualify.
  • Invoice factoring — strong fit when your cash gap is unpaid B2B invoices rather than a lump-sum need.

Many precision-tech operators end up blending tools — an equipment loan for the hardware, revenue-based capital for the working-capital bridge between projects.

Frequently asked questions

Does FARO Technologies Inc offer financing to small businesses?

FARO Technologies is a public 3D-measurement company that funds itself through equity and corporate credit — it is not a small-business lender. Businesses in its ecosystem (resellers, labs, integrators, shops) typically use revenue-based financing or an MCA marketplace for working capital instead.

Can I qualify for revenue-based funding with a low credit score?

Often yes. Many revenue-based programs accept FICO scores around 500 and up because approval is driven mainly by your business bank deposits and monthly revenue rather than credit alone. Nothing is guaranteed — terms depend on what your statements show.

How much funding can a precision-tech or industrial business get?

Minimums usually start near $10,000, and the amount scales with verifiable monthly revenue. As an illustrative example, a reseller doing around $120,000 a month might see offers in the $25,000-$60,000 range. Your actual offer depends on underwriting.

How fast is funding?

Once bank statements are reviewed and you accept an offer, capital commonly arrives within 24-48 hours — far faster than a traditional bank or SBA loan, which can take weeks.

What documents do I need to apply?

Typically a short application plus the last 3-6 months of business bank statements. The statements are the heart of the decision, so consistent deposits and a healthy average balance strengthen your position.

How is revenue-based financing repaid?

Through a fixed share of your ongoing revenue, remitted daily or weekly, until the agreed amount is satisfied. Because it flexes with sales, slower periods generally mean smaller pulls — but the cadence should still match your cash-flow rhythm.

Is a merchant cash advance the same as a loan?

No. An MCA or revenue-based advance is a purchase of future receivables, not a term loan. It is priced with a factor rate rather than an APR, costs more than a bank loan, and is best used as short-cycle working capital for revenue-generating needs.

When should I avoid revenue-based funding?

Avoid it if your revenue is pre-launch or highly seasonal with long dead stretches, if you are funding a long-payback capital project better suited to an equipment or SBA loan, or if you are already carrying multiple advances. Stacking compounds cost and cash-flow risk quickly.

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