Merchant Cash Advance Assistance

Small businesses that rely on credit card and debit card sales often turn to an alternative source of funding, such as a merchant cash advance (MCA). Given the onerous provisions of a typical MCA agreement, business owners frequently need merchant cash advance assistance. That’s the time to contact a MCA debt relief lawyer.

Our debt relief specialists assist entrepreneurs and small businesses nationwide that are struggling under the terms of an MCA agreement. We leverage our legal knowledge and business acumen to help our clients explore all their options for resolving merchant cash advance disputes.

Whether you are facing a receivables shortfall or a business downturn, an MCA may provide you with short-term relief at a high price. Our team is here to help you explore long-term solutions, such as restructuring the cash advance per the reconciliation clause or refinancing the advance with another loan product. 

Above all, the merchant cash advance assistance we provide is designed to protect both your business and personal assets. The sooner you contact us or complete the convenient intake form, the sooner we can assist with reconciling your merchant cash advance.

Merchants Cash Advance Basics – MCA Debt Relief Lawyer

A merchant cash advance is a purchase and sales transaction in which the MCA provider or funder purchases receipts from a merchant’s projected future sales. The business gets upfront funds, minus certain fees, in exchange for a portion of future credit card and debit card sales.

Generally, the advance is repaid through fixed daily or weekly debits directly from the business’s bank account through authorized Automated Clearing House (ACH) withdrawals. The term typically ranges from 3 to 12 months, depending on the merchant’s projected future sales.

MCAs have traditionally been utilized by businesses like retail stores, restaurants, and startups, either because they have poor credit or no established credit. Although good credit is not required, these alternative funding products often come with onerous repayment terms that can jeopardize the merchant’s business and personal assets.

At, we assist clients with their merchant cash advances by creating customized solutions that best suit their needs. Trust our debt relief specialists to provide you with informed guidance and work to protect your interests.

Key Provisions of Merchant Cash Advance Agreements

While a merchant cash advance can provide your business with quick access to working capital, the agreement is not backed by collateral. Therefore, it is crucial to be aware of key terms to MCA agreements, including factor rate, Confession of Judgment, personal guarantee, and reconciliation clause:

  • Factor rate — Not to be confused with an interest rate or APR (annual percentage rate), the factor rate is the cost of funding, typically expressed as a decimal ranging from 1.2 to 1.5, but when converted into an interest rate or APR can be a figure in the triple digits.
  • Confession of Judgment (COJ) — A COJ is a provision in which the merchant admits liability to the funder in advance. If the business defaults, the MCA provider will file the COJ affidavit in court to obtain a judgment and quickly begin seizing business assets.
  • Personal guarantee — Given that MCAs are offered to businesses with poor or no credit, merchants are often required to sign a personal guarantee, which means the MCA provider can also seize personal assets (home, vehicles, bank accounts) in the event of default.
  • Reconciliation clause — A well-conceived merchant cash advance agreement will include a reconciliation clause that requires the funder to restructure the payment terms if the merchant experiences a receivables shortfall. The business must notify the MCA provider of the shortfall, however, and request that the cash advance be reconciled.

It is important to remember that an MCA agreement is a purchase and sales contract, not a loan, so merchants are not protected by consumer lending laws. Although the Federal Trade Commission (FTC) has some jurisdiction over merchant cash advances, these alternative funding products are loosely regulated at best. 

Merchant Cash Advance Assistance Our MCA Debt Relief Lawyer Provides

If your business is struggling under the terms of an MCA agreement, the debt relief specialists at are here to assist with your merchant cash advance. When you become our client, we will:

  • Work to assess your finances
  • Review the terms of your MCA agreement
  • Help you document and verify the receivables shortfall
  • Gather evidence indicating your business will return to profitability
  • Take over all communications with the funder

The sooner you contact us, the sooner we can help you avoid an event of default and the loss of your business and personal assets. Our debt relief specialists are committed to helping you continue business operations by renegotiating the repayment terms of your merchant cash advance. 

If the MCA provider refuses to reconcile the cash advance, you may have grounds for a civil lawsuit based on breach of contract. Above all, our debt relief specialists will provide you with merchant cash advance assistance that protects your rights and interests.

Contact Our Experienced Merchant Cash Advance Relief Specialists

If your business is at risk of defaulting on a merchant cash advance agreement, turn to Our MCA debt relief lawyer is available 24/7. Contact us today or complete the convenient intake form.