What is a merchant cash advance?
A merchant cash advance (MCA) is upfront capital, $5K to $500K, that you repay by giving the funder a fixed percentage of your daily or weekly revenue until a set total is paid back. Technically it's not a loan at all: it's a purchase of your future receivables. MCAs are among the fastest and most accessible funding products in existence, and also among the most expensive, which is exactly why you should understand the math before a salesperson does it for you. Quordx Capital brokers MCAs but treats them as a tool for specific situations, never a default, and always shows the true cost first.
This page is one option inside our broader guide to Alternative Financing. See how it stacks up against the other alternative-funding tools we track.
Last updated · Reviewed by Cody Dreis
50+ Lenders|Funding in as little as 24 hours
How an MCA Works, Including the Real Cost
Instead of an interest rate, an MCA uses a factor rate, typically 1.15 to 1.50. Two features make MCAs different from loans. First, repayment flexes with revenue: the funder takes an agreed percentage of daily or weekly sales, so payments shrink in slow weeks and grow in busy ones. Second, the cost is fixed at signing: paying early does not reduce what you owe, unlike a loan where early payoff saves interest.
Because repayment can compress into months, the effective annualized cost often far exceeds what the factor rate suggests. The accessibility is real, though: 3-6 months in business, roughly $10K+ monthly revenue, and credit scores from around 500-550 can qualify, with funding in as little as 1-3 business days.
Before You Take an MCA, Compare These
Working capital loans: ($5K-$500K): Best first alternative; similar speed and accessibility, conventional loan structure, often cheaper.
Business lines of credit: ($10K-$250K+): Best for recurring gaps; interest only on what you draw, at 10%-35%+ APR online.
A/R financing / invoice factoring: (70-90% advanced): Best for B2B businesses; unlocks cash you've already earned at a typically lower cost.
Equipment financing: ($5K-$5M+): Best if the cash need is equipment; collateralized rates commonly run 7%-20%.
How Quordx Capital Works
One five-minute application lets Quordx Capital's matching process scan a 50+ lender network and return 3-7 best-fit options ranked by approval probability, including cheaper alternatives to an MCA whenever your profile supports them. Decisions usually arrive in 24-48 hours; funding in 3-7 business days, faster for some products.
What to Expect
Expect the full math, in writing, before anything moves: total payback, the revenue percentage, and what that implies if sales dip. If an MCA is genuinely your best available option, sometimes it is, Quordx Capital will say so; if it isn't, Quordx Capital will decline to push it. Borrowers pay nothing for the matching, and looking obligates you to nothing.
Apply for Funding
No obligation · Initial inquiry doesn't impact credit · Takes about 10 minutes
Written by
Cody Dreis
Founder, Quordx Capital
Read full bio
Related articles
More on this topic from the Quordx Capital library.
Keep exploring alternative financing
Important Disclosures
Quordx Capital is a business funding broker, not a lender. We facilitate introductions between U.S. small and medium-sized businesses and lenders or capital providers in our network. All credit decisions, funding amounts, rates, fees, repayment terms, and timelines are determined solely by individual lenders based on their own underwriting criteria.
Funding figures and timelines shown on this page are illustrative and represent ranges within our lender network, they are not guarantees and individual outcomes may vary based on business profile, industry, time in business, revenue, credit history, and lender availability. Not all applicants qualify for every product.
The initial inquiry does not impact your personal credit score. Some lenders may perform a hard credit pull during underwriting; Quordx only authorizes such checks with your specific consent for the lender presenting an offer. Applicants are protected under the Equal Credit Opportunity Act (ECOA) from discrimination based on race, color, religion, national origin, sex, marital status, age, or because all or part of an applicant's income derives from any public-assistance program.
This Site is intended for commercial, business-purpose financing for U.S. businesses only. Not available for consumer loans, residential mortgages, or owner-occupied real estate. Quordx may receive compensation from lenders when applications result in funded transactions. This does not change the rate, fee, or terms offered to you. See our Advertiser Disclosure for details.
By submitting an application or contact information, you consent to be contacted by Quordx and its lending partners via phone, text, and email, including by automated means, regarding your funding inquiry. Consent is not a condition of receiving funding. Message and data rates may apply. Reply STOP to opt out. See our Privacy Policy and Terms of Service.