Some opportunities won't wait for underwriting.
A merchant cash advance is not a loan — it is a purchase of a portion of your future revenue at a discount. Repayment flexes with your sales, so slow weeks cost less. It is the fastest capital available, and we are candid with clients: it should be used deliberately, not by default.
Merchant Cash Advances at a glance
- Loan amounts
- $5,000 – $2,000,000
- Term length
- 3 – 18 months of remittances
- Typical pricing
- Factor rates typically 1.10 – 1.49 (not an APR)
- Funding speed
- 24 – 48 hours to funding
- Credit guidance
- 500+ FICO considered; revenue is the main test
Key Benefits
- Funding in as little as 24 hours
- Approval driven by revenue, not credit score
- Repayment flexes with daily sales volume
- No fixed collateral requirement
Best Fit For
- Retail and restaurant businesses with heavy card volume
- Owners who need capital within days
- Businesses with credit challenges but real revenue
- Short-term needs with a clear, fast payback
Why use a broker instead of going to your bank?
MCA pricing is opaque and stacking offers can destroy a business. We show you the true cost in APR terms, compare it against cheaper alternatives first, and only place an advance when it genuinely beats the other options.
Learn more about working with a brokerHow merchant cash advances compare
We broker every product on this list, so this comparison is about fit — not about steering you toward one option.
Compared with
Working capital term loan
A term loan is materially cheaper and reported as debt with an interest rate. An MCA is faster and easier to qualify for, but its effective cost is far higher.
Compared with
Business line of credit
A line of credit costs nothing when unused and can be drawn repeatedly. An MCA is a single lump sum with daily or weekly remittances until the purchased amount is delivered.
Compared with
Invoice factoring
Factoring advances against invoices you have already earned, so it is usually cheaper. An MCA advances against sales you have not made yet.
Merchant Cash Advances: frequently asked questions
Is a merchant cash advance a loan?
Technically no. It is the purchase of a set amount of your future receivables at a discount, which is why pricing uses a factor rate rather than an interest rate.
What is a factor rate and how do I convert it?
A factor rate is a multiplier. A $50,000 advance at 1.30 means $65,000 total remittance. Divide the total cost by the funded amount and annualize over the expected term to compare it fairly against an APR.
How fast can I get a merchant cash advance?
Frequently within 24 to 48 hours using only three to six months of bank statements.
Can I get an MCA with bad credit?
Often yes. Approvals near a 500 FICO are common because underwriting focuses on consistent deposits and daily card volume rather than personal credit.
Can I pay off an advance early?
Sometimes at a discount, but many advances are not priced to reward early payoff. Always confirm the prepayment terms before signing, and ask us to review them.
Should I stack multiple advances?
We advise against it. Stacked positions compound daily remittances and are the most common cause of cash flow failure. We would rather consolidate you into a cheaper product.
More answers on the business financing FAQ and in the commercial lending glossary.
Other financing solutions
Working Capital Loans
Cover payroll, inventory, and day-to-day expenses with flexible short-term capital.
Commercial Real Estate Loans
Purchase, refinance, or build commercial properties with structures matched to your project.
Bridge Loans
Move quickly on opportunities while you arrange long-term financing.
Ready to explore merchant cash advances?
A 15-minute conversation is all it takes to know if this is the right fit. No obligation.