3–6 Months in Business With Consistent Card Sales? An MCA May Be Available—But Check the Cost

If your business has only been operating for several months but already processes regular credit or debit card sales, a merchant cash advance may be one of the financing categories you encounter when searching for working capital.

What Are Typical Merchant Cash Advance Requirements?

The EIN Business Funding guide identifies approximately 500 to 600+ personal credit, three to six months in business, regular credit or debit card sales and consistent monthly revenue as common merchant cash advance qualification factors.

Those requirements can make MCAs easier to qualify for than many traditional business financing products.

Which Businesses May Encounter MCA Financing?

Businesses with regular card-based sales may be more aligned with the typical profile described in the funding guide. That can include many retail, restaurant and other customer-facing businesses.

What Is the Main Caution?

The source specifically describes merchant cash advances as generally among the most expensive forms of business financing. Easier qualification should therefore not be confused with lower cost.

Business owners should understand the full financing structure and compare the available option against the amount needed, expected cash flow and ability of the business to support the obligation.

What Information Should You Have Ready?

Know your current credit score, time in business, monthly revenue, deposit consistency, existing business debt and exact use of funds before beginning the funding conversation.

If your business has consistent sales but limited operating history or lower credit and you need capital now, complete the EIN Business Funding pre-qualification to explore potential funding options before committing to a financing product.

FAQs

What credit score may be considered for a merchant cash advance?
The funding guide identifies approximately 500 to 600+ as a common credit range.

How long does a business typically need to be operating for an MCA?
The guide lists approximately three to six months in business as a typical benchmark.

Are merchant cash advances usually inexpensive?
No. The funding guide describes MCAs as generally among the most expensive business financing options.

Businesses with regular card sales and three to six months of operating history may encounter MCA financing, but cost should be evaluated carefully.