Merchant cash advance
Fast funding against your future revenue
When your business needs capital fast — payroll, inventory, a new contract, an unexpected expense — a merchant cash advance puts money in your account in as little as 24 hours. No collateral and no lengthy approval process.
What is a merchant cash advance, and how does repayment work?
A merchant cash advance is not a loan — it is an advance against your business’s future revenue. You receive a lump sum upfront and repay it plus a fixed fee through an automatic percentage of your daily credit and debit card sales, called the holdback. Because repayment is a percentage rather than a fixed payment, you pay more on strong sales days and less on slow ones, while the total owed never changes. RAN Funding offers advances from $5,000 to $1,000,000 at factor rates starting at 1.08, over 3 to 24 months, funded same day to 48 hours, with no collateral required and credit scores accepted from 500.
Not a loan — an advance on future sales
RAN Funding provides a lump sum of capital upfront. In return you repay the advance plus a fee through a small, automatic percentage of your daily credit and debit card sales — the “holdback” or retrieval rate.
Repayment happens automatically every business day. When sales are strong you pay more; when sales are slow you pay less. The total you owe never changes — only the daily amount moves with your revenue. No collateral is required.
How repayment works: a real example
Say your restaurant generates $80,000 per month in revenue. RAN Funding approves you for a $60,000 advance at a factor rate of 1.20, with a 15% holdback.
What to have ready before you apply
Documents required
- Valid government-issued ID (driver’s license or passport)
- Voided business check
- 3 to 4 most recent business bank statements (PDF) Some states require 4 months.
Qualifications
- Minimum credit score: 500
- Minimum monthly revenue: $10,000
- Time in business: 6 months+
- Collateral: none required
Ready to see your options?
No obligation and no credit pull to apply. A funding specialist will come back to you with the offers you qualify for.
Questions we get about this product
Is a merchant cash advance right for my business?
An MCA is best for businesses that need fast, flexible capital and may not qualify for traditional bank loans. If you have consistent monthly revenue and an immediate capital need, an MCA is worth exploring. Speak to a RAN Funding advisor and we will help you work out the best fit.
What is the difference between a factor rate and an interest rate?
A factor rate is a simple multiplier applied to the advance amount to calculate total repayment. A 1.20 factor rate on $50,000 means you repay $60,000 in total. Unlike an APR, a factor rate does not compound and does not change regardless of how long repayment takes.
Can I pay off my MCA early?
Yes. There are no prepayment penalties at RAN Funding. Early payoff is always an option, and some products offer early payoff discounts.
Can I qualify if I have had previous credit problems?
Yes. RAN Funding regularly approves businesses with prior credit issues. Merchant cash advances are based primarily on revenue rather than credit score.
Not quite right? Compare the alternatives
One application puts you in front of all of these. A specialist will point you to the ones that fit.