Factor Rate Calculator

Calculate merchant cash advance payback amount, finance charge, net funding, and factor-rate cost before comparing the offer with an APR-style estimate.

$
$
Total Repayment
$67,500.00
Finance Charge
$17,500.00
Net Funding
$50,000.00
Payback Multiple
1.35x
Total Cost Above Advance
$17,500.00

This simple factor-rate view does not annualize the cost. Use the MCA APR decoder for a cash-flow based comparison.

Formula

Total repayment equals advance amount multiplied by factor rate. A $50,000 advance at 1.35 requires $67,500 before considering separate fees.

Finance Charge

Finance charge is total repayment minus the advance. It does not show how fast the money is repaid.

APR Comparison

The same factor rate can have very different annualized costs depending on daily, weekly, or monthly remittance speed.

Decode the full MCA offer

Factor rate is only one part of the cost. Add remittance timing, fees, and holdback assumptions to estimate total cost and APR-style comparison.

Open MCA APR Decoder