Business Cash Advance (Variable Payment)

A Business Cash Advance (Variable Payment) otherwise known as a Merchant Cash Advance (MCA) is a great financing option for a small business that is looking for immediate funding and repayment terms to align to the business’s cash flow. The business repays the lender's advance with a percentage of its daily credit/debit card sales. With this type of funding, the business makes variable payments rather than fixed payments.. 

Before applying for a cash advance, please utilize the Lendzero Business Cash Advance (Variable Payment) calculator to estimate your potential daily payments. 

Insert the information below into the calculator:

• Requested amount: You may request an advance upto $750K
• Holdback %: This number typically ranges between 1% to 25%

Monthly credit/debit sales: Calculate your monthly credit/debit card sales for the last 3 months

Use our Business Cash Advance (Variable Payment) calculator to estimate the daily payment for a cash advance.

Sample of How to Utilize the Cash Advance Calculator

For example, Tom’s Bakery wants a $150K cash advance for new equipment. Tom applies for an MCA and receives approval for the $150K amount with a 17% holdback and $63K in monthly credit/debit sales.

By entering Tom’s $150K advance amount, 17% holdback and $63K in monthly credit/debit sales into the Business Cash Advance (Variable Payment) calculator, we can see Tom’s estimated daily payment would be$510.

The Business Cash Advance (Variable Payment) calculator will show you the estimated amount you’ll need to repay each day. 

To be clear, definitions are below.

• Requested amount: The desired funding amount
• Holdback %: This is the previously agreed to percentage of credit/debit card sales that the lender will use to pay back the advance 

Monthly credit/debit sales: This is the average amount of credit/debit card sales for the business