The Billups-Birch Reduction chemistry has been shown to functionalize single-walled carbon nanotubes (SWCNTs) without damaging the sidewalls, but has challenges in scalability. Currently published work uses a large mole ratio of Li to carbon atoms in the SWCNT (Li:C) to account for lithium amide formation, however this increases the cost and hazard of the reaction. We report here the systematic understanding of the effect of various parameters on the extent of functionalization using resonant Raman spectroscopy. Addition of 1-iodododecane yielded alkyl-functionalized SWCNTs, which were isolated by solvent extraction and evaporation, and purified by a hydrocarbon wash. The presence of SWCNT growth catalyst residue (Fe) was shown to have a strong adverse effect on SWCNT functionalization. Chlorination-based SWCNT purification reduced the amount of residual Fe, and achieve a maximum I/I ratio using a Li:C ratio of 6:1 in a reaction time of 30 min. This result is consistent with published literature requiring 20-fold mole equivalents of Li per mole SWCNT with a reaction time of over 12 h. This new understanding of the factors influencing the functionalization chemistry will help cut down material and process costs, and also increase the selectivity of the reaction toward the desired product.