Methodology
This reference compiles publicly disclosed funder pricing, contract terms verified from merchant-supplied agreements, and published state regulations. Where ranges are given, they reflect what funders advertise (low end) through what we observe in actual contracts (high end). Last updated 2026-06-07.
Sources: funder marketing pages and SEC filings (where applicable), the National Small Business Association commercial financing reports, state regulatory filings (California SB 1235, New York NYDFS, Virginia, Utah, Texas SB 1280, Georgia disclosure phase-in), and merchant-supplied contracts (anonymized).
1. Factor rate ranges by paper grade (2026)
MCA pricing is quoted as a "factor rate" — a multiplier applied to the funded amount to produce total payback. A 1.30 factor on a $50,000 advance means $65,000 in total payback. Factor rates do not amortize; they are fixed at signing.
Paper grade refers to merchant quality as assessed by funder underwriting:
| Paper Grade | Typical Merchant Profile | Factor Rate Range (2026) | APR-Equivalent (9-mo payback) |
|---|---|---|---|
| A-paper | 24+ months operating, 650+ credit, $40K+/mo revenue, no NSFs, no existing MCAs | 1.11 – 1.25 | ~25% – 55% |
| B-paper | 12+ months operating, 580–649 credit, $20K+/mo revenue, <3 NSFs, no stacking | 1.25 – 1.38 | ~55% – 90% |
| C-paper | 6–12 months operating, 500–579 credit, $10K+/mo revenue, NSFs present | 1.38 – 1.50 | ~90% – 130% |
| D-paper | Active distress, existing MCAs, persistent NSFs, declining revenue | 1.50 – 1.65 | ~130% – 180% |
APR-equivalent assumes a 9-month payback term and includes the full factor rate fee plus typical origination charges. Shorter terms produce dramatically higher APR equivalents; see our factor-rate calculator for term-specific math.
2. Funder cost specs (2026 verified)
The 11 major MCA + processor-financing funders we cover, with their published cost structures. Cost format varies by product type — MCAs use factor rates, LOCs use APR, processor-embedded products use single fixed fees.
| Funder | Category | Cost (Factor / APR) | Amount Range | Speed |
|---|---|---|---|---|
| Credibly | MCA + multi-product | Factor 1.11+ (MCA); APR varies for term + LOC | $5K – $600K | As fast as 4 hours |
| Greenbox Capital | Multi-product | Factor varies; published up to 19% ISO commission | $5K – $250K (MCA); other products vary | 24 – 48 hours |
| Accord Business Funding | MCA specialty | Factor varies by paper grade (often 1.40+) | $5K – $150K | Next-day for approved files |
| Bluevine | LOC | APR 6.2% – 27% | $10K – $250K | 1 – 3 business days |
| OnDeck | Term + LOC | Term APR 27%+; LOC APR 30%+ | $5K – $400K (term); $6K – $200K (LOC) | Same-day for approved files |
| Fundbox | LOC | Weekly fee structure; APR-equivalent typically 30–60% | $1K – $150K | As fast as 1 day |
| NewCo Capital Group | MCA specialty | Factor competitive for A-paper; not publicly disclosed | $5K – $500K | Approval in 3 hours; funding in 24–48 hours |
| Rapid Finance | Multi-product | Up to 5% of financing per archived partner page; APR varies | $5K – $1M (across products) | Same-day to 3 days |
| Greenvest Funding | MCA specialty | Factor varies; large-ticket pricing | $100K – $5M | Same-day disbursement available |
| CFG Merchant Solutions | MCA specialty | 3–5% origination fees; no PSFs per industry reports | Up to $1M | 24–48 hours |
| Toast Capital | Processor financing | Factor 1.13 – 1.36 (single fee, no compounding) | $5,000 – $300,000 | Funds in 1 – 3 business days after approval |
| Square Capital | Processor financing | Single fixed fee (typically 10 – 16% of loan amount); no APR / no compounding | $300 – $250,000 | Funds as soon as next business day |
| Forward Financing | MCA specialty | Factor 1.18 – 1.45 depending on paper grade | $5,000 – $300,000 | Same-day to 24-hour funding for clean files |
| Fora Financial | MCA specialty | Factor 1.15 – 1.40+; renewal discount up to 5% on second deals | $5,000 – $1,500,000 | Funding in 72 hours for typical files |
| Reliant Funding | MCA specialty | Factor 1.30 – 1.55 typical; higher for D-paper | $5,000 – $400,000 | Funding in 24 – 48 hours |
| Lendr | MCA + multi-product | Factor 1.18 – 1.42 (MCA); APR varies for term and LOC | $5,000 – $1,000,000 | Funding in 24 hours for approved files |
| Kalamata Capital | MCA specialty | Factor 1.22 – 1.45 depending on paper grade | $10,000 – $500,000 | Funding in 48 – 72 hours |
3. ISO commission ranges (what brokers actually earn)
Independent sales organizations (ISOs) or "MCA brokers" are paid commissions by funders when they originate a deal. These commissions are typically embedded in the factor rate quoted to the merchant. Published commission ranges as of 2026:
| Funder | Commission to ISO | Source |
|---|---|---|
| Greenbox Capital | Up to 19% of funded amount; renewals continue commission | Public ISO recruitment page |
| Accord Business Funding | Up to 15% upfront, 100% on renewals, next-day commission payment | Public ISO recruitment page |
| Rapid Finance | Up to 5% (per partner partner agreement) | Public partner program disclosure |
| Credibly | Not publicly disclosed; market average 6–12% | Aggregated ISO survey data |
| OnDeck | Direct-lender model; broker access requires 2+ years + $1M/mo volume | Public ISO program page |
| Most third-party MCAs | Typically 8–15% of funded amount | Industry survey average |
Why this matters to merchants: a 12% ISO commission is baked into your factor rate. On a $50K advance at 1.32 factor, $6,000 of the $16,000 fee goes to the broker. Going direct to the funder (where possible) can save 8–12% on total cost. OnDeck, Bluevine, and Fundbox can all be approached directly.
4. State commercial financing disclosure law status (2026)
State commercial financing disclosure laws require funders to provide standardized disclosure — typically including APR-equivalent — on sales-based financing products. Status as of June 2026:
| State | Law | Status | Effect on MCA pricing |
|---|---|---|---|
| California | SB 1235 | Active, full enforcement | Strictest in nation. APR-equivalent required. Fewer funders licensed. |
| New York | NYDFS Commercial Financing Disclosure | Active, full enforcement | Standardized disclosure including APR-equivalent. Fewer funders licensed. |
| Virginia | Commercial Financing Disclosure | Active | APR-equivalent disclosure required. |
| Utah | Commercial Financing Disclosure | Active | APR-equivalent disclosure required. |
| Texas | SB 1280 (2026) | Active 2026 — provider/broker registration + standardized disclosure | Funders must register; standardized paperwork including APR-equivalent. |
| Georgia | Commercial Financing Disclosure (phasing in) | Phase-in | Standardized disclosure required for new contracts. |
| Florida | No active state law | — | Federal CFPB guidance applies. Most reputable funders provide APR on request. |
| Other states (43) | No active state law | — | Federal CFPB guidance applies; no standardized disclosure mandate. |
5. Typical funding amounts by industry (US averages, 2026)
| Industry | Typical Range | Notes |
|---|---|---|
| Restaurants (independents) | $15,000 – $300,000 | Strong card volume unlocks split-funded structures |
| Trucking (small fleets) | $20,000 – $500,000 | 5+ trucks unlocks better terms; factoring often beats MCA |
| Retail | $10,000 – $250,000 | Card-heavy retailers qualify for split-funded |
| Construction | $15,000 – $400,000 | Factoring usually better fit than MCA |
| Healthcare (dental, specialty) | $25,000 – $500,000 | Specialty medical lenders price tighter than MCA |
| Auto repair | $10,000 – $200,000 | Equipment financing better for diagnostic + lifts |
| E-commerce | $10,000 – $500,000 | Platform lenders (Shopify/Wayflyer) usually cheaper |
| HVAC contractors | $15,000 – $300,000 | Equipment financing better for vans + tools |
| Manufacturing | $25,000 – $1,000,000 | SBA or equipment financing almost always cheaper |
| Professional services | $10,000 – $400,000 | Fintech LOC usually cheaper than MCA |
6. APR-equivalent calculation methodology
The standard APR-equivalent formula used in NYDFS, California SB 1235, and Virginia commercial financing disclosure regimes:
APR = ((Factor − 1) × 365 × 2) / (Term in days × (1 + Factor))
Where:
- Factor = factor rate (e.g. 1.32 means 32 cents of fee per dollar)
- Term in days = expected payback period (typically 180–365 days for MCA)
The 2× multiplier in the numerator approximates the average outstanding balance over the life of a daily-amortizing product, since the principal balance declines as payments are made. This formula is consistent with NY NYDFS Section 803, CA SB 1235 disclosure requirements, and the Federal Reserve's Regulation Z general APR computation methodology.
Example: $50,000 advance, 1.32 factor, 270-day expected payback.
- APR = ((1.32 − 1) × 365 × 2) / (270 × (1 + 1.32))
- APR = (0.32 × 730) / (270 × 2.32)
- APR = 233.6 / 626.4
- APR ≈ 37.3%
7. Reconciliation policies (how MCAs adjust to revenue volatility)
A reconciliation clause allows the daily ACH amount to be adjusted if merchant revenue drops materially. Not all MCAs include reconciliation. As of 2026:
- Funders with formal reconciliation: Credibly, OnDeck, Rapid Finance, CFG Merchant Solutions (case-by-case)
- Funders with limited or no reconciliation: most broker-placed MCAs; many C-paper funders
- Processor-embedded (Toast Capital, Square Capital): automatic reconciliation built into the product — repayment is a percentage of daily processor sales, so daily payment naturally adjusts to revenue.
How to cite this reference
This page is licensed CC BY 4.0. Quote freely with attribution to Fundnode and a link to https://fundnode.co/reference/mca-pricing-2026. Recommended citation format:
Keti, K. (2026). "MCA Pricing Reference 2026: Factor Rates, APR-Equivalents, Commission Ranges." Fundnode. https://fundnode.co/reference/mca-pricing-2026