Why revenue matters more than your credit score
Banks focus heavily on personal credit because a loan is repaid on a fixed schedule no matter how the business performs. A merchant cash advance works differently: the funder purchases a share of your future receivables and is repaid from your sales. Because repayment is tied to your revenue, funders look first at:
- Your average monthly deposits over the last 4 months
- How consistent those deposits are
- Your average daily bank balance and number of negative days or overdrafts
- Existing advances or loan payments showing on your statements
Credit still plays a role in pricing, but a strong, steady revenue history can outweigh a low score.
What "bad credit" funding usually looks like
Be realistic: lower credit scores usually mean higher costs and shorter terms. Here is what to expect:
- Smaller first advance. Funders often start conservatively and offer larger amounts once you have a positive payment history.
- Higher factor rate. Pricing reflects risk. Always compare the total payback amount, not just the advance.
- Shorter terms. Terms of a few months up to about a year are common.
Before you sign, make sure you understand the total cost of every offer.
How to improve your chances of approval
- Keep deposits in one business account. Revenue spread across personal accounts is hard to verify.
- Avoid overdrafts and negative days in the months before you apply.
- Submit complete statements — every page for all 4 months.
- Be upfront about existing advances. Funders will see them on your statements anyway.
- Request a realistic amount. A common range is roughly 50–150% of one month's revenue.
Situations that can often still be funded
- Low personal credit scores — including below 500
- Past late payments or high credit card utilization
- A previous bank loan decline
- Limited business credit history
Some situations are harder to fund, such as an open bankruptcy or very inconsistent revenue. Applying is the fastest way to find out where you stand.
Funding by industry
Restaurants · Trucking · Construction · Medical & Dental · Retail Stores · Auto Repair Shops · Salons & Spas · E-commerce · Landscaping · HVAC & Plumbing · Manufacturing · Wholesale & Distribution · Gyms & Fitness · Hotels & Hospitality