8fig Review | Podcastbricks

8fig is a financing and planning platform designed to support ecommerce businesses, particularly those operating on platforms like Shopify, Amazon, eBay, Wix, and Walmart. Founded by Yaron Shapira (CEO), Roei Yellin (CRO), and Assaf Dagan (CTO), the company is headquartered in Austin, Texas. Unlike traditional lenders, 8fig provides dynamic, continuous funding based on a business’s projections rather than revenue alone, ensuring flexibility to adapt to market fluctuations. Additionally, it offers a suite of software tools to streamline supply chain management, sales forecasting, and cash flow optimization. The company’s mission is ambitious: to help 10,000 sellers achieve eight-figure revenue by 2025.

How Does 8fig Work?

8fig’s process is straightforward yet tailored to the unique needs of ecommerce sellers. Here’s a step-by-step overview:

Application and Eligibility: Sellers begin by connecting their online store and bank account to the 8fig platform. This allows 8fig to analyze sales data, revenue trends, and business health without requiring credit checks or collateral. To qualify, businesses must:
- Operate an active online store for at least six months.
- Generate at least $8,000 in monthly revenue or $100,000 in annual sales.
- Sell physical products (dropshipping businesses and sole proprietorships are not eligible).
Growth Plan Creation: Once approved, sellers use 8fig’s free planning tool to build a customized “Growth Plan.” This involves creating “Lines,” which are visual representations of supply chain expenses for each product batch, including inventory, freight, logistics, and marketing costs. The platform’s AI technology analyzes these inputs to validate growth projections and determine funding offers.
Funding Disbursement: Funding is allocated based on the Growth Plan, covering up to 90% of supply chain costs. Unlike lump-sum loans, funds are disbursed strategically to align with inventory cycles, ensuring optimal cash flow. Sellers can adjust funding amounts and remittance schedules in response to real-time events like demand spikes or shipping delays.
Repayment: 8fig’s remittance schedule is tied to sales, meaning payments are only required when goods are sold. This reduces financial strain during slow periods. The cost of capital is fixed, ranging from $6,000 to $10,000 per $100,000 funded, depending on the business’s risk profile and growth potential.
Ongoing Management: The platform’s dashboard provides real-time insights into sales, cash flow, and supply chain performance. Sellers can forecast sales, monitor trends, set revenue targets, and benchmark against competitors, replacing cumbersome spreadsheets with user-friendly visuals.

Key Features of 8fig

8fig stands out for its blend of funding and software capabilities. Below are its core features:

1. Flexible, Equity-Free Funding

8fig provides continuous capital without taking equity, allowing sellers to retain full ownership of their business. Funding is tailored to each batch of inventory, with no upper limit, and sellers can request changes to their funding plan at any time. This agility is particularly valuable in ecommerce, where inventory delays or demand fluctuations are common.

2. Supply Chain Management Tools

The platform’s “Line Lab” and “Line” tracking features enable sellers to map out supply chain expenses for each product batch. These tools help calculate capital needs, visualize production schedules, and adapt to changing market conditions. The dashboard replaces complex spreadsheets with intuitive visuals, making it easier to manage logistics, freight, and marketing budgets.

3. AI-Driven Insights

8fig leverages AI to analyze sales data and validate growth trajectories. This ensures funding offers are accurate and aligned with a business’s potential. The platform also provides forecasting tools to predict sales, monitor trends, and optimize cash flow, acting as a virtual CFO for small and mid-sized businesses.

4. User-Friendly Dashboard

The 8fig dashboard is praised for its clean, modern interface. Sellers can track financial and sales data, manage funding requests, and view performance metrics in one central location. The platform integrates seamlessly with major ecommerce platforms, simplifying onboarding and data analysis.

5. Comprehensive Support

Beyond funding, 8fig offers tools for marketing spend management, inventory planning, and competitor benchmarking. The company is also developing an AI-powered “virtual C-Suite,” including CFO, CMO, and COO functionalities, expected to launch in 2023. This aims to provide data-driven guidance for ecommerce teams.

Benefits of Using 8fig

8fig offers several advantages for ecommerce sellers seeking to scale:

Flexibility: The ability to adjust funding and repayment schedules in real time is a game-changer for businesses facing unpredictable market conditions. Unlike traditional loans, 8fig’s model aligns with cash flow needs.
No Equity or Credit Checks: Sellers retain 100% ownership and avoid personal risk, as funding decisions are based on business performance rather than credit scores.
Holistic Growth Support: 8fig goes beyond funding by providing tools to streamline operations, forecast sales, and optimize supply chains, making it a comprehensive growth partner.
Fast and Efficient Process: Many users report quick onboarding and funding offers within one to two days, especially for Shopify sellers whose sales data can be easily accessed.
Proven Results: Case studies highlight significant growth, with some sellers reporting a 450% sales increase to $6 million while maintaining cash flow stability.

Drawbacks and Concerns

Despite its strengths, 8fig has faced criticism and limitations, as noted in user reviews and industry analyses:

High Cost of Capital: The fixed cost of $6,000–$10,000 per $100,000 funded translates to an effective annual percentage rate (APR) of 40–50% in some cases, which some users find prohibitively expensive. The complex “Lines” structure can also make it difficult to calculate true costs upfront.
Lengthy Approval Process: Some reviewers report delays in the review process, with funding decisions taking longer than expected. Documentation requirements can be cumbersome, adding to the time and stress of onboarding.
Inconsistent Funding Offers: A few users have experienced issues where funding offers were revised or withdrawn after signing contracts, leading to frustration and perceptions of unreliability.
Customer Support Variability: While many praise 8fig’s support team, particularly representatives like Tanner and Juan, others report declining support quality over time or slow response times during peak periods.
Not Suitable for Startups: 8fig is designed for established businesses with at least six months of sales history and $100,000 in annual revenue, making it inaccessible for new ecommerce ventures.
Mixed User Reviews: Trustpilot reviews give 8fig a 4-star rating based on 187–197 reviews, but negative feedback highlights issues like abrupt plan changes, predatory terms, and unmet expectations. Some users question the authenticity of positive reviews.

Pricing Structure

8fig’s pricing is centered around its Growth Plan, which includes access to all platform features. Key points include:

No Upfront Costs: Sellers only pay when they draw funds, reducing initial financial barriers.
Fixed Cost of Capital: The fee ranges from 6–10% per $100,000 funded, determined by the business’s risk and growth potential. For example, a $100,000 funding line could cost $6,000–$10,000, paid as goods are sold.
Customized Fees: Fees vary based on the seller’s sales history, projections, and supply chain needs, ensuring a tailored approach but potentially complicating cost comparisons with competitors.
High Effective APR: Some users estimate the effective APR at 40% or higher, which is comparable to other ecommerce funding platforms but significantly more expensive than traditional bank loans.

Eligibility Requirements

To qualify for 8fig’s services, businesses must meet the following criteria:

Operate an online store on a supported platform (Shopify, Amazon, eBay, Wix, Walmart, etc.).
Have at least six months of sales history.
Generate minimum annual sales of $100,000 or monthly revenue of $8,000.
Sell physical products (excludes dropshipping and sole proprietorships).
Be based in the US (for funding purposes).

8fig requires secure access to the seller’s store and bank account to validate sales and financial data, but it emphasizes data privacy and does not share information with third parties.

User Experiences

User reviews of 8fig are mixed, reflecting both its potential and its challenges:

Positive Feedback: Many users appreciate the platform’s ease of use, responsive customer support, and ability to scale operations. For example, one Shopify seller praised the seamless integration and quick funding process, while another credited 8fig for enabling a 450% sales increase. Trustpilot reviews highlight exceptional service from representatives like Tanner and Juan, with some calling 8fig an “incredible partner” for small businesses.
Negative Feedback: Critics argue that 8fig’s terms can be predatory, with high costs and unexpected plan changes causing financial strain. A Reddit user described a “disaster” where funding was delivered at inopportune times, leading to inventory delays and doubled repayment demands. Others have called the approval process slow and the funding model convoluted, with some labeling 8fig as a “scam” or questioning the legitimacy of positive reviews.
TrustScore: 8fig has a Trustpilot TrustScore of 3.87/5 based on 24 reviews and a 4-star rating from 187–197 reviews, indicating generally positive but polarized feedback. Scamadviser rates 8fig.co as “very likely not a scam” with a high trust score, supported by its SSL certificate and long-standing domain.

8fig vs. Competitors

8fig operates in a competitive space alongside platforms like Wayflyer, Clearco, and Ritmo. Here’s how it compares:

8fig vs. Wayflyer: 8fig allocates funds based on projections, offering more flexibility for inventory planning, while Wayflyer uses revenue-based financing tied to sales performance. 8fig’s fixed cost of capital (6–10%) is comparable to Wayflyer’s, but 8fig’s software suite is more comprehensive. Wayflyer offers funding from $10,000 to $20 million, while 8fig has no upper limit.
8fig vs. Clearco: Clearco focuses on revenue-based financing for established businesses, whereas 8fig supports a broader range of ecommerce sellers, including those in earlier growth stages. 8fig’s planning tools and AI-driven insights give it an edge for supply chain management.
8fig vs. Ritmo: Both platforms offer similar funding models and dashboards (e.g., Ritmo Insights), but 8fig’s AI-driven virtual C-Suite and no-equity model differentiate it. Ritmo may appeal to sellers seeking simpler terms.

Is 8fig Legitimate?

8fig is widely regarded as a legitimate platform, with a positive trust score from Scamadviser and a strong presence in the ecommerce financing space since 2020. Its SSL certificate, transparent eligibility criteria, and lack of credit checks enhance its credibility. However, negative reviews and reports of inconsistent funding offers raise concerns about reliability for some users. Potential users should thoroughly review contracts and calculate costs before committing.

Who Should Use 8fig?

8fig is best suited for:

Established ecommerce sellers with at least six months of sales history and $100,000 in annual revenue.
Businesses on supported platforms (Shopify, Amazon, etc.) seeking flexible, equity-free funding.
Sellers needing comprehensive tools for supply chain management, sales forecasting, and cash flow optimization.
Entrepreneurs willing to accept higher costs (6–10% per $100,000) for rapid scaling without personal risk.

It is not ideal for startups, dropshipping businesses, or sellers unable to manage the added complexity of external funding.

Conclusion

8fig is a powerful tool for ecommerce sellers looking to scale rapidly without sacrificing equity or navigating rigid traditional loans. Its flexible funding model, AI-driven insights, and robust supply chain tools make it a compelling choice for established businesses on platforms like Shopify and Amazon. Success stories, such as a 450% sales increase for some users, underscore its potential to drive growth. However, high costs, a complex repayment structure, and mixed user experiences highlight the need for careful consideration.