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6 Best Merchant Cash Advance Companies for 2025

Written by

Randa Kriss

Edited by

Sally Lauckner

Last updated on March 27, 2025

Fact checked and reviewed
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The best MCA companies are transparent about their products and how they work. However, consider other types of funding before turning to a merchant cash advance.

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Merchant cash advance companies provide you with an upfront sum of capital — known as a merchant cash advance — that you repay using a percentage of your debit and credit card sales, plus fees.
Generally, you’ll want to consider all other types of small-business loans before turning to a merchant cash advance (MCA) because this product is expensive and can lead to a harmful cycle of debt. If you’re thinking about an MCA, however, it’s important to understand your options and know what to look for in a provider.

How much do you need?

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We’ll start with a brief questionnaire to better understand the unique needs of your business.

Once we uncover your personalized matches, our team will consult you on the process moving forward.

Here are 6 best merchant cash advance companies

LenderNerdWallet RatingMax loan amountMin. credit scoreNext steps

Forward Financing - Merchant cash advance

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Best for bad credit

$300,000500

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Fora Financial - Revenue advance

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Best for strong revenue

$1,500,000570

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Giggle Finance - Merchant cash advance

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Best for self-employed individuals

$10,000300

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Rapid Finance - Merchant cash advance

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Best for low fees

$500,000600

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Fundomate- Business funding

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Best for flexible repayment

$500,000600

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Expansion Capital Group - Merchant cash advance

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Best for startups

$300,000500

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I'M INTERESTED IN:

Our pick for

bad credit

Forward Financing is an MCA company that provides funding to borrowers with a minimum credit score of 500. If approved, you may be able to receive funds the same day that you sign your agreement.

Forward Financing - Merchant cash advance

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Max loan amount
$300,000
Min. credit score
500

Pros

  • Can be approved for financing within the same business day.
  • Simple application process with minimum documentation.
  • Can be used to build business credit.
  • No prepayment penalties.

Cons

  • Daily or weekly payments required.
  • Charges an origination fee.

Forward Financing - Merchant cash advance

Max loan amount
$300,000
Min. credit score
500

Our pick for

strong revenue

To qualify for an MCA from Fora Financial, you need a minimum credit score of 570, six months in business and $20,000 in monthly revenue. Fora offer advances up to $1.5 million, with the ability to borrow more once you've repaid at least 60%.

Fora Financial - Revenue advance

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Max loan amount
$1,500,000
Min. credit score
570

Pros

  • Large advance amounts available.
  • No physical collateral required.
  • Prepayment discounts available.

Cons

  • Charges one-time processing fee.
  • UCC lien may be required.

Fora Financial - Revenue advance

Max loan amount
$1,500,000
Min. credit score
570

Our pick for

self-employed individuals

Giggle Finance offers fast funding designed specifically for freelancers, contractors, online sellers and other self-employed individuals. There is no minimum credit score requirement to qualify.

Giggle Finance - Merchant cash advance

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Max loan amount
$10,000
Min. credit score
300

Pros

  • No minimum credit score requirement.
  • Same-day funding available.
  • Specifically designed for freelancers and self-employed individuals.

Cons

  • Funding maxes out at $10,000 ($20,000 for repeat customers).
  • Factor rate and fee information not available on website.
  • Charges an origination fee.

Giggle Finance - Merchant cash advance

Max loan amount
$10,000
Min. credit score
300

Our pick for

low fees

Rapid Finance does not charge an origination fee, maintenance fees or prepayment penalties, which can help bring down the overall cost of financing. Factor rates can be as low as 1.12.

Rapid Finance - Merchant cash advance

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Max loan amount
$500,000
Min. credit score
600

Pros

  • No prepayment penalties or other fees.
  • Can be approved with a credit score as low as 600.

Cons

  • Daily or weekly payments.
  • Lengthy time in business requirement.

Rapid Finance - Merchant cash advance

Max loan amount
$500,000
Min. credit score
600

Our pick for

flexible repayment

Fundomate offers a daily, weekly or biweekly repayment schedule. Additionally, if you can pay your advance back ahead of schedule, prepayment discounts are available.

Fundomate- Business funding

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Max loan amount
$500,000
Min. credit score
600
Est. APR
18.00-75.00%

Pros

  • Cash can be available in as little as 24 hours.
  • Can get a discount for prepaying your loan.

Cons

  • Rates can be high compared with traditional banks.
  • May have to pay an origination fee.

Fundomate- Business funding

Max loan amount
$500,000
Min. credit score
600
Est. APR
18.00-75.00%

Our pick for

startups

You may be able to qualify for an MCA from Expansion Capital with a minimum of $8,333 in monthly revenue, a credit score of 500 and six months in business, making it a good choice for startup businesses with limited revenue.

Expansion Capital Group - Merchant cash advance

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Max loan amount
$300,000
Min. credit score
500

Pros

  • Simple application with minimal documentation required.
  • Low minimum credit score requirement.
  • Daily or weekly repayment available.
  • Offers prepayment discounts.

Cons

  • Business assets required as collateral in some cases.
  • Factor rate and fee information not available on website.
  • Charges an origination fee and a monthly servicing fee.

Expansion Capital Group - Merchant cash advance

Max loan amount
$300,000
Min. credit score
500

How Much Do You Need?

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How to choose a merchant cash advance company

You’ll want to research and vet several merchant cash advance companies before deciding which one is right for your business.
Some MCA companies have been criticized for confusing contracts and misleading sales tactics — leading businesses to fall victim to cycles of expensive debt that are difficult to break.
Although some states have taken legal action to require transparency from MCA companies in recent years, predatory lenders still try to take advantage of business owners, promising things like “guaranteed approval” or “business loans with no credit check.”
Not all merchant cash advance companies are bad actors, but it’s important to watch for red flags — and look elsewhere if an offer doesn’t seem right.
As you compare MCA providers, consider these factors:

🤓 Nerdy Tip

Reputable MCA companies are transparent about how their products work. This includes being upfront about the factor rate you will receive, additional fees they charge and repayment requirements for the advance. You shouldn’t feel pressured to sign an MCA agreement, especially if you don’t have a clear understanding of your obligations under the contract.

What is a merchant cash advance?

A merchant cash advance is an alternative form of business financing based on a business’s credit and debit card sales. A merchant cash advance company offers a lump sum of money to businesses in exchange for a portion of their future sales revenue. Advances can range from a few thousand dollars to $5 million or more.
Merchant cash advances are also referred to as business cash advances and business payday loans.

How does a merchant cash advance work?

  • Automatic repayments. Borrowers are typically set up for automatic repayments through a percentage of their debit and credit card sales or withdrawals from their business bank account. These payments are typically made daily or weekly.
  • Factor rates. MCA companies charge a factor rate instead of an interest rate. For example, an advance of $50,000 with a factor rate of 1.2 would require a total repayment of $60,000 ($50,000 x 1.2 = $60,000).
  • Additional fees. In addition to a factor rate, you may also pay charges such as underwriting, administration, setup or service fees. And some MCA lenders offer prepayment discounts if you repay the advance early.
  • Term lengths. Term lengths vary by lender, but generally run from three to 24 months. In some cases, the MCA company may advance you additional funds if you’ve paid off a portion of the original advance.

How to improve your chances of getting traditional financing

Review your credit history
Reviewing your personal and business credit reports for accuracy and then removing errors or outdated information can often help raise your credit scores.
There are also steps you can take to build your business credit score that may make it easier to get traditional financing. This may include applying for an employer identification number, setting up trade credit with your suppliers or applying for a business credit card.
Offer collateral
A borrower who offers collateral — an asset such as equipment, a vehicle or real estate — may find it easier to get approved by a lender. Lenders look to minimize the chances that a loan won’t be repaid. They assess risk based on a borrower’s credit, time in business, business revenue and other factors. The lender’s risk can be lowered by offering an asset that can be seized if you default on the loan.
Add a cosigner
If you’re having difficulty getting approved for traditional financing, adding a cosigner may help you avoid MCA financing. When someone agrees to be a cosigner on a business loan, they agree to make payments on the loan if you don’t. Having two guarantors on a loan can reduce the risk to the lender and improve your chances of getting approved.
A cosigner with excellent credit, strong income and assets would typically work to your benefit when applying for a loan. But remember that if you default on the loan, the cosigner’s finances will be affected along with your own.

Alternatives to merchant cash advance companies

It’s worth exploring other options besides merchant cash advances, which can include:
Last updated on March 27, 2025

Wondering if you qualify?

It’s possible to get a business loan even if you have bad credit. Bad-credit business loans are available from alternative sources, like online or nonprofit lenders.

See Your Loan Options

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