A merchant cash advance gives your business an upfront lump sum and lets you repay through a small agreed percentage of future card sales.
The provider advances a lump sum based on your recent card turnover. In return, an agreed percentage of your daily card sales is used to repay the advance until the full amount and pre-agreed cost are cleared.
Because repayments are linked to sales, a quieter trading day means a smaller repayment and a stronger trading day means a bigger one.
Retail, hospitality, beauty, leisure, and online sellers often have uneven revenue. A merchant cash advance mirrors that reality better than a loan built around static monthly repayments.
A merchant cash advance usually fits businesses that take regular card payments, have been trading for at least six months, and want speed without giving up cash-flow flexibility.
No. It is a form of revenue-based funding repaid through future card sales rather than fixed loan instalments.
The amount usually depends on your monthly card turnover, time trading, and how consistently your business performs.
Yes. The agreed percentage stays the same, but the amount repaid rises and falls with your daily card takings.