Merchant cash advance
Merchant cash advance funding, approved on your revenue.
An advance on future sales, repaid as a small percentage of daily or weekly receipts. The fastest option we offer: decisions in hours, funding in as little as 24 hours.
- Amount
- $10K to $500K
- Funding
- 24 hours
- Term
- 3 to 18 months
- Repayment
- Daily or weekly remittance
- Credit
- 500+
How it works
How an MCA works.
Three numbers explain every advance: how much you get, what it costs, and how you pay it back.
- 01
You get an advance
A lump sum wired to your business bank account, sized off average monthly revenue rather than a credit score.
$10K to $500K
- 02
Priced with a factor rate
A fixed multiplier, typically 1.15 to 1.45, sets the total payback before you sign. It does not move with time.
e.g. 1.28
- 03
You remit a holdback
A percentage of daily or weekly sales, or a fixed ACH pull, goes toward the payback until it is met.
Daily or weekly remittance
Legally and structurally, an MCA is a purchase, not a loan: AXIS buys a fixed dollar amount of your future receivables at a discount, and remits fewer dollars if sales slow down. That is why pricing uses a factor rate instead of an interest rate, and why the remittance is called a holdback instead of a payment. For the full walkthrough, read How does a merchant cash advance work? and Factor rate, explained.
Illustrative example
What a $60,000 advance can look like.
A sample advance, not a quote. Your factor rate, term and remittance depend on your revenue and file.
| Advance amount | $60,000 |
|---|---|
| Factor rate | 1.28 |
| Total payback | $76,800 |
| Estimated term | Approximately 9 months |
| Daily remittance (approx.) | ≈ $404 |
Is that expensive? Priced as an APR, this structure typically works out well above what a bank loan would charge, often in the range of 40% to 80% annualized, sometimes higher on shorter terms. What that number misses: MCA pricing reflects speed and revenue-based risk, not collateral or a multi-week underwriting file. If the $16,800 cost buys inventory that turns into $40,000 in sales inside the term, the math can work. If it is covering a shortfall with no clear payoff, a slower, cheaper product from the funding lineup is usually the better call.
Who qualifies
Six months in business is usually enough to start.
- 6 months or more in business
- $10,000+ in average monthly revenue
- An active business bank account
- Personal credit score of 500+ (revenue matters more than the number)
- Fewer than 5 NSFs (non-sufficient-funds days) per month
- A registered, operating U.S. business
Best uses
When an MCA is the right tool.
Situations where the speed and structure of an MCA earns its cost.
Inventory
Buy stock at volume pricing ahead of a season, without waiting on the cash to build up first.
Payroll bridge
Cover a payroll cycle when a large invoice or slow month lands at the wrong time.
Seasonal push
Fund a marketing or staffing push ahead of your busiest weeks, then repay from the lift it creates.
Equipment repair
Get a down truck, oven or machine back online fast when it cannot wait on a slower approval.
Need to draw funds more than once?
A business line of credit revolves as you repay, instead of a single lump-sum advance.
See Business Line of CreditFinancing a specific truck, kitchen or machine?
Equipment financing uses the asset as collateral, which usually prices lower than an MCA.
See Equipment FinancingMCA vs. line of credit
MCA or a line of credit?
Two revenue-friendly products, built for different rhythms of spending.
| Compare | Merchant Cash Advance | Business Line of Credit |
|---|---|---|
| Funding speed | 24 hours | 1 to 3 days |
| Pricing | Factor rate (fixed payback) | Interest on the outstanding balance |
| Repayment | Daily or weekly remittance | Weekly or monthly |
| Reusability | Renew around 50% paid down | Revolves as you repay, reuse anytime |
| Collateral | None (UCC filing on receivables) | None (UCC filing, personal guarantee) |
| Best for | Fast working capital, seasonal gaps, inventory buys, payroll bridges | Cash-flow smoothing, recurring inventory, unexpected repairs |
Industries
Built for revenue-heavy trades.
MCAs work well anywhere revenue is frequent and consistent, even if the season is not.
Trucking & Logistics
Keep the wheels turning between invoices.
Funding for TruckingRestaurants & Food Service
Fund the slow season before it starts.
Funding for RestaurantsRetail & Storefronts
Stock the shelves for the season that pays the year.
Funding for RetailE-commerce & Online Sellers
Buy inventory at the pace your ads can sell it.
Funding for E-commerceStraight answers
Questions about merchant cash advances.
Is a merchant cash advance a loan?
No. An MCA is a purchase of a fixed amount of your future receivables at a discount, not a loan. That is why it is priced with a factor rate instead of an interest rate, and why there is typically no fixed maturity date. Read the full breakdown in How does a merchant cash advance work?
How is the factor rate different from an interest rate?
A factor rate is a fixed multiplier applied once to the advance to set the total payback, and it does not change based on how quickly you repay. An interest rate accrues over time, so paying early usually lowers the total cost. See Factor rate, explained for the full comparison.
Can I renew or get a second advance before the first one is paid off?
Often, yes, once you are roughly 50% paid down on the current advance and revenue supports it. Stacking a second advance on top of a fresh one raises cost and risk, so we underwrite renewals against your current remittance capacity, not just your file.
Does applying for an MCA affect my credit score?
Applying triggers a soft credit inquiry only, which does not affect your score. A hard pull happens only if you accept an offer that requires one, and that is disclosed before you sign.
What happens if my sales drop after I take an advance?
With a true percentage holdback, your remittance falls with your sales, since it is calculated as a share of daily or weekly receipts. With a fixed ACH structure, the payment stays the same regardless of sales, so ask which structure is being offered and whether a reconciliation clause exists.
Is a merchant cash advance only for business use?
Yes. AXIS Capital MCAs are commercial financing for business purposes only. This is not a consumer loan, and funds are underwritten and disbursed against business bank statements and revenue.
See your MCA offer in hours, not weeks.
Two-minute application. Same-day decision. Funding in as little as 24 hours.
Soft credit pull. No obligation. No impact to your score.