Funding Merchants
What a merchant cash advance looks like in full, with the cost, the collection and the daily numbers set out.
Three merchants, every number shown
Illustrative examples using typical market terms. They don't describe real customers; your offer depends on your trading history and our assessment.
| Monthly card takings | £125,000 |
| Advance | £150,000 |
| Factor rate, fixed on day one | 1.20 |
| Total to repay | £180,000 |
| Cost of funding | £30,000 |
| Collected as | 12% of daily card takings |
| Busy day: £6,000 taken | £720 remitted |
| Quiet day: £2,700 taken | £324 remitted |
| Expected duration at these takings | 12 months |
| Monthly card takings | £70,000 |
| Advance | £45,000 |
| Factor rate, fixed on day one | 1.25 |
| Total to repay | £56,250 |
| Cost of funding | £11,250 |
| Collected as | 10% of daily card takings |
| Busy day: £2,800 taken | £280 remitted |
| Quiet day: £1,200 taken | £120 remitted |
| Expected duration at these takings | 8 months |
| Monthly card takings | £52,000 |
| Advance | £30,000 |
| Factor rate, fixed on day one | 1.25 |
| Total to repay | £37,500 |
| Cost of funding | £7,500 |
| Collected as | 12% of daily card takings |
| Busy day: £2,000 taken | £240 remitted |
| Quiet day: £900 taken | £108 remitted |
| Expected duration at these takings | 6 months |
How to read the numbers
Factor rate
A simple multiplier instead of an interest rate. Advance × factor rate = total to repay. It doesn't compound and it doesn't change.
Holdback
The fixed percentage of each day's card settlements that goes to the funder. Take more, repay more that day; take less, repay less. There's no fixed monthly amount.
Why there's no APR
Because there's no interest rate and no fixed term. Compare offers on the total cost and the holdback, and ask what happens on early settlement.
Why it costs more than a bank loan
You're paying for speed, flexibility and a decision based on trading rather than security. If you can wait six to eight weeks for a bank and give security, that will usually be cheaper. If the opportunity or the bill is this week, the comparison changes.
See what your business could be offered
Two minutes to tell us about the business. A funding specialist calls you back, usually the same working day, with a straight answer.