Revenue-Based Advance (MCA)
Receive capital today in exchange for a percentage of future daily revenue.
A merchant cash advance or revenue-based advance provides fast access to capital — sometimes within 24–48 hours by purchasing a portion of your future business revenue at a discount. Rather than fixed monthly payments, a set percentage (called the holdback or retrieval rate) of daily credit/debit card sales or bank deposits is automatically remitted until the advance plus a factor fee is repaid.
This makes it one of the most flexible options available: payments flex down when revenue slows and up when revenue surges, protecting cash flow during slow periods. It is ideal for businesses with strong, consistent card volume — retail, restaurants, salons, medical offices — that need fast capital for immediate opportunities or gaps. Funding amounts typically range from $5,000 to $2 million.
Example
A boutique clothing store generates $80,000/month in card sales and needs $50,000 quickly to stock up before the holiday season. They receive a $50,000 advance with a 1.35 factor rate (total payback: $67,500). At a 15% daily holdback, roughly $400/day is remitted. The advance is repaid in about 4–5 months — right after the holiday rush generates peak revenue.
