Overview

What a merchant cash advance is

In an MCA transaction, a funder purchases a specified amount of a business's future receivables. The business receives an upfront purchase price and remits a portion of receivables until the purchased amount is delivered, according to the agreement.

Because an MCA is a purchase of receivables rather than a loan, terminology such as principal, interest rate, and loan term does not describe the structure. The governing document defines the purchased amount, the purchase price, the remittance mechanics, and any reconciliation provisions.

Cost, remittance frequency, and reconciliation rights vary by funder and agreement. [INSERT PROGRAM-SPECIFIC STRUCTURE AND COST DISCLOSURE ONCE CONFIRMED]

Who it's designed for

  • Businesses prioritizing speed and a lighter documentation process
  • Companies with consistent daily or weekly receivables
  • Businesses that may not meet bank-style credit standards
  • Situations where timing matters more than the lowest cost of capital

Common uses

  • Short-term working capital
  • Inventory purchases ahead of demand
  • Payroll timing
  • Emergency repairs or unplanned expenses
  • Time-sensitive opportunities
  • Bridging a defined revenue gap

Structure

How it works

  1. 01

    Submit an application with basic business information.

  2. 02

    Provide recent business bank statements and supporting documents.

  3. 03

    The funder reviews receivable volume, deposit consistency, and business profile.

  4. 04

    If offered, review the purchased amount, purchase price, remittance amount and frequency, and all agreement terms.

  5. 05

    Execute the agreement; remittances begin as described in the contract.

Considerations

Potential benefits

  • Documentation requirements are typically lighter than bank-style financing
  • Qualification weighs receivable and deposit activity heavily
  • Remittances are tied to receivables as described in the agreement
  • May be available to businesses that do not fit traditional credit standards
  • Can be used alongside other financing where permitted by existing agreements

Potential benefits depend on the program, underwriting outcome, and the terms of the executed agreement. Nothing here is a guarantee of approval, pricing, or results.

Qualification

What qualification may depend on

  • Monthly receivables and deposit volume
  • Consistency of daily or weekly activity
  • Time in business
  • Average bank balances and negative-day activity
  • Industry
  • Existing advance positions and remittance obligations

Documentation

Documents that may be requested

  • Business application
  • Recent business bank statements
  • Driver's license or other identification
  • Voided business check
  • Merchant processing statements where applicable
  • Existing advance or financing agreements
[MCA DISCLOSURE PLACEHOLDER] — A merchant cash advance is the purchase of future business receivables and is not a loan. Insert required disclosure language, including any state-specific commercial financing disclosure requirements.

Process

How it works

Four steps from application to a financing decision you actually understand.

01

Apply

Complete a short business financing application and provide basic information about your company.

02

Review

A financing specialist reviews your business profile, financing needs, and available documentation.

03

Compare Options

If eligible, review financing structures available based on your business profile and objectives.

04

Choose Your Financing

Select the option that makes the most sense for your business and complete the required closing process.

Start Your Application

[COMPLIANCE PLACEHOLDER] Applying does not obligate you to accept an offer — display only if consistent with company policy.

FAQ

Questions about this program