Business Finance
Merchant Cash Advance Calculator
An MCA is priced with a factor rate, not an interest rate - so the headline number hides the true cost. Use this to see what you will repay, how long it takes, and the effective APR.
Calculator
What will an MCA really cost?
Total Repayable
£62,500
Cost of Finance
£12,500
Repayment Period
11.9 months
Effective APR
25%
Daily collection
£175.00
Weekly collection
£1,212.47
An estimate only. The effective APR shown annualises the cost over the estimated repayment period; actual APR depends on how quickly your card revenue repays the advance.
Understand the cost
Factor rates are not interest rates
A factor rate of 1.25 means you repay £1.25 for every £1 borrowed, regardless of how fast you repay. Because repayments flex with your card takings, paying it back quickly does not reduce the cost - which is why the effective APR can look high.
An MCA is fast and flexible, but for many businesses a term loan or revolving facility is cheaper. We will compare both before you commit.