Merchant Cash Advance Quote UK (2026): How to Get and Compare Offers

Last reviewed: 12 October 2026 | Mehmi Financial Group

Looking for a merchant cash advance quote in the UK? The amount your business may qualify for depends on its card sales, trading history, existing financing obligations and the funding provider's eligibility requirements.

To obtain a meaningful quotation, you will generally need to provide basic business information, the amount of funding requested and evidence of recent revenue. Some providers may also request business bank statements and card-processing records.

Unlike a traditional business loan, a merchant cash advance (MCA) typically provides upfront funding in exchange for an agreed percentage of future card sales.

However, not all MCA quotes are structured or priced in the same way. Two providers offering the same advance amount may charge different fees, deduct different percentages of sales and impose different contractual obligations.

This guide explains how to request an MCA quote, what information providers need, how funding costs are calculated and how to compare offers before accepting commercial financing.

How to Get a Merchant Cash Advance Quote in the UK

Businesses can request merchant cash advance quotes directly from funding providers or access financing offers through participating payment platforms.

The process generally follows five steps.

Step 1: Determine how much funding your business needs

Start by calculating the actual amount required.

For example, a restaurant might need £15,000 for kitchen repairs, while a convenience shop might require £25,000 to purchase additional inventory.

Your requested funding amount should reflect a defined commercial need rather than the maximum a provider advertises.

Requesting more than the business can comfortably support may increase financing costs and create unnecessary cash-flow pressure.

Step 2: Calculate your average monthly card sales

Merchant cash advance providers generally place significant weight on debit and credit card transaction history.

Review your recent card-processing statements and calculate the average amount received through eligible card transactions.

Where trading is seasonal, consider both stronger and weaker months.

A business receiving £40,000 in card sales during December but only £15,000 during February should not assess affordability using December alone.

Step 3: Prepare your business information

Most providers will need enough information to identify the business, review its recent performance and evaluate whether the financing arrangement is suitable.

Typical requirements may include business registration details, trading history, recent bank statements and payment-processing records.

Some platforms already hold relevant transaction data, potentially reducing the need to submit documents separately.

Step 4: Request a financing quotation

Once the provider has sufficient information, it may present an indicative quote or a personalised funding offer.

A useful quotation should identify the amount advanced, the funding fee, the total repayment or remittance amount and the percentage of qualifying sales collected.

Any minimum payment requirements, personal guarantees or other material conditions should also be clearly identified.

Step 5: Compare the complete offer before applying or accepting

Do not select a financing provider solely because it offers the largest advance or the fastest expected decision.

Compare the total cost, repayment structure, collection percentage and potential impact on working capital.

An initial estimate is not necessarily a final approval. The provider may still require verification, underwriting and signed documentation.

What Information Do You Need for an MCA Quote?

The exact requirements depend on the funding provider.

However, preparing accurate information before making an enquiry can make it easier to determine whether your business meets the initial criteria.

Business registration and trading details

Providers may ask for your registered company name, Companies House number where applicable, trading address, industry, legal structure and time in business.

Sole traders and partnerships may be eligible for certain products even where they do not operate through a limited company.

Monthly turnover and card revenue

You may be asked for total monthly business revenue and the proportion generated through qualifying debit and credit card transactions.

These numbers are not interchangeable.

For example, a garage generating £60,000 in monthly revenue may receive only £18,000 through card payments, with the remainder paid by bank transfer.

A conventional card-sales-linked MCA provider may place greater weight on the £18,000 of card receipts.

Recent business bank statements

Some providers request recent bank statements to review income, expenditure, financial commitments and general account conduct.

The British Business Bank identifies recent bank statements as part of the documentation that may be needed when applying for a merchant cash advance.

The number of statements required varies. Do not assume every provider requires an identical three-month or six-month period.

Card-processing statements

Providers may review recent activity from payment processors such as Worldpay, Stripe, Square, PayPal or other supported systems.

Relevant information can include transaction volume, average monthly card takings, refunds, chargebacks and fluctuations in sales.

Existing business finance

Disclose current loans, merchant cash advances and other material financial obligations.

Existing daily or weekly deductions can reduce the cash available to support another financing arrangement.

Purpose of funding

Explain why your business needs capital and how it intends to use the funds.

A specific commercial purpose helps establish whether short-term sales-linked funding is an appropriate solution.

What Should Be Included in a Merchant Cash Advance Quote?

A useful merchant cash advance quotation should provide substantially more information than the amount available.

Before accepting any offer, establish the following terms.

1. Gross advance amount

This is the amount the provider agrees to advance.

Confirm whether any fees or other deductions will reduce the amount that actually reaches the business account.

2. Total funding cost

This represents the additional amount charged for providing the advance.

Many UK MCA programmes use a fixed funding fee rather than conventional interest calculated over time.

Ask for the amount in pounds, not merely a percentage or promotional description.

3. Total repayment amount

This is the complete amount the business is contractually required to repay or remit.

It should include the advance and the agreed funding cost, together with any separately applicable compulsory charges.

4. Sales collection percentage

This determines the proportion of qualifying sales collected.

For example, a 12% collection arrangement generally means £12 is directed towards the MCA for every £100 of eligible sales.

The collection percentage is not itself the financing cost.

5. Minimum repayment requirements

Some providers require minimum payments even where sales-linked deductions fall below expectations.

Other MCA arrangements operate without scheduled minimum collections.

This distinction can materially affect affordability during quiet trading periods.

6. Estimated repayment period

A provider may estimate how long it expects collections to continue based on historical revenue.

This estimate is not always a contractual deadline.

Actual repayment can take longer or shorter depending on sales and the agreement.

7. Guarantees and contractual restrictions

Establish whether the agreement contains a personal guarantee, restrictions on changing payment processors, minimum collection obligations or specific default provisions.

Do not treat an indicative quote as complete until the financing cost and material contractual obligations are clear.

Merchant Cash Advance Quote Example: How Much Could It Cost?

Consider a hypothetical UK restaurant requesting £20,000 in working capital.

Assume a provider presents the following illustrative offer.

Funding amount: £20,000

Fixed funding fee: £4,000

Total repayment: £24,000

Collection percentage: 10% of eligible card sales

The restaurant receives £20,000 and agrees to have 10% of qualifying card revenue collected until £24,000 has been remitted.

If the restaurant consistently generates £30,000 in eligible card sales each month, approximately £3,000 would be collected monthly.

At that sales level, the estimated repayment period would be eight months.

If sales instead average £15,000 each month, approximately £1,500 would be collected monthly, producing an estimated repayment period of sixteen months.

These calculations assume constant monthly sales, no separate fees, no minimum payment obligations and no other contractual adjustments.

These are hypothetical figures, not a real provider quotation or a representation of typical UK MCA pricing.

Why the repayment percentage matters

Although the total financing cost is £4,000 in this example, the amount deducted from sales directly affects the business's operating cash.

The restaurant must still meet expenses such as wages, ingredients, rent, utilities, VAT and supplier payments.

A finance offer can be affordable on paper but unsuitable in practice if the deductions leave insufficient working capital.

How Are UK Merchant Cash Advance Quotes Priced?

Many MCA agreements use a fixed funding fee. Some express this pricing as a factor rate.

A factor rate is a multiplier used to calculate total repayment.

For example, an illustrative factor rate of 1.25 on a £20,000 advance produces a total repayment of £25,000.

The additional financing cost would be £5,000, assuming there are no separately applicable charges.

This does not mean the business is being charged 25% APR.

Factor rate vs APR

An annual percentage rate accounts for the timing and structure of credit costs.

A factor rate simply expresses a repayment multiple.

If a business pays a £5,000 funding fee over five months, its annualised economic cost differs from paying the same fee over fifteen months.

Businesses should therefore avoid comparing an MCA factor rate directly against an advertised loan APR.

Where possible, request an annualised financing-cost calculation based on the expected collection schedule.

Why advertised rates may not apply to your business

Providers assess individual applications using their own underwriting criteria.

Potential considerations include sales consistency, industry, trading history, existing obligations and the provider's assessment of risk.

A business with strong card receipts and low existing commitments may receive different terms from a business with volatile revenue or substantial outstanding financing.

No single published MCA rate should be treated as a guaranteed UK market price.

How to Compare Two Merchant Cash Advance Quotes

Suppose a UK takeaway business receives two hypothetical offers for the same £20,000 funding requirement.

Quote A: Lower sales deduction

The business receives £20,000 and agrees to repay £24,000 in total.

The provider collects 10% of eligible card sales.

At £30,000 in monthly card revenue, approximately £3,000 would be collected during the month.

Quote B: Lower total funding cost

The business receives £20,000 and agrees to repay £23,000 in total.

The provider collects 18% of eligible card sales.

At £30,000 in monthly card revenue, approximately £5,400 would be collected during the month.

Which offer is better?

Quote B has a lower total funding cost by £1,000.

However, it results in £2,400 more being collected from the business's monthly card receipts at the assumed sales level.

A business with strong profit margins and sufficient cash reserves may be comfortable with the higher collection percentage.

Another business with significant stock purchases, staff costs and supplier commitments may find the higher deduction difficult to manage.

These examples do not incorporate possible minimum payments, guarantees or other contractual differences.

The most suitable quote is not automatically the cheapest or the one with the smallest deduction. It is the arrangement that balances total cost with commercial affordability.

Where Can UK Businesses Request Merchant Cash Advance Quotes?

Several established providers and payment platforms offer merchant cash advance programmes to eligible UK businesses.

365 Finance

365 Finance offers a direct merchant cash advance quotation process.

Its published programme advertises funding between £10,000 and £500,000.

The main product page identifies at least six months of trading and more than £10,000 in monthly card sales as initial eligibility criteria.

The provider describes automatic collections based on an agreed percentage of future card transactions.

These published requirements are specific to its programme and do not apply universally across the UK market.

PayPal Working Capital

PayPal Working Capital offers merchant cash advances to eligible UK businesses with qualifying PayPal sales activity.

Its published minimum requirements include a PayPal business account active for at least 90 days and £9,000 in eligible annual PayPal sales.

The product uses an agreed fixed fee and collections linked to PayPal sales.

However, a minimum repayment is required every 90 days, even where ordinary automated collections have been insufficient.

Shopify Capital

Shopify Capital provides access to merchant cash advances for eligible UK Shopify businesses through YouLend.

Qualifying merchants can review available financing options within their Shopify administration account.

The offer identifies the funding amount, total amount to remit and sales collection rate.

Availability is determined by Shopify's eligibility process, and not every store receives an offer.

Stripe Capital

Stripe Capital offers financing opportunities to selected UK businesses using Stripe.

Financing is provided by YouLend.

Eligible merchants can review personalised offers through Stripe, with the available financing amount, fixed fee and collection percentage identified before acceptance.

Businesses should confirm whether their specific offer is a loan or merchant cash advance, because contractual obligations can differ.

Square Cash Advance

Square Cash Advance is available to eligible UK Square customers operating as sole traders or partnerships.

Qualifying businesses receive personalised offers based on their Square processing activity.

Square states that the product has no fixed repayment term or scheduled minimum payments.

The agreed collection percentage is applied to qualifying card transactions until the contractual balance has been satisfied.

Should you request quotes from several providers?

Where eligible, comparing multiple financing offers can help businesses assess different costs and repayment arrangements.

However, payment-platform products may only be accessible through existing merchant accounts.

Also, different branded programmes can use the same underlying funding provider.

Before submitting several applications, check whether each provider conducts credit searches and whether any application or intermediary fees apply.

Can You Get a Merchant Cash Advance Quote With Bad Credit?

Some providers consider applications from businesses with imperfect credit histories.

Merchant cash advance underwriting often places substantial emphasis on transaction history and business performance.

However, credit history can still affect eligibility.

Providers may review outstanding borrowing, insolvency information, missed payments, business banking conduct and other financial risks.

A business experiencing a temporary credit issue but maintaining consistent trading may be assessed differently from one with sustained cash-flow difficulties.

There is no universal guarantee that bad credit will be accepted.

Will requesting an MCA quote affect your credit score?

It depends on the provider and the stage of the application.

For example, Square states that applying for its UK Cash Advance product does not affect the applicant's credit score.

Other providers may conduct soft or hard credit checks according to their underwriting process.

Before submitting personal or business information, ask which checks will be performed and whether they may affect your credit file.

Avoid relying on broad claims that every MCA offer involves no credit checks.

Can New UK Businesses Request an MCA Quote?

Newly established businesses may face additional eligibility restrictions because they have limited transaction history.

Some providers require a minimum trading period, while others rely on established payment-platform activity.

For example, 365 Finance's main merchant cash advance product page states a minimum trading requirement of six months.

A business operating for only a few weeks may not have sufficient card-sales evidence for a traditional MCA assessment.

However, there is no single statutory minimum trading period applying to every business cash advance.

Businesses that are too new to qualify may consider alternative commercial financing, owner capital or a more gradual investment plan.

Merchant Cash Advance Quotes for Different UK Industries

The availability of merchant cash advances depends on sales activity and affordability rather than industry alone.

Restaurants and takeaways

Restaurant owners may request quotes for kitchen equipment, refurbishment, stock purchases or short-term working capital.

Providers will consider qualifying sales and whether the business can maintain ordinary operating expenses after collections.

Convenience stores and off-licences

These businesses may seek funding for inventory, refrigeration repairs and seasonal stock.

Because margins can be relatively narrow, the repayment percentage deserves careful attention.

Pubs, bars and nightclubs

Pubs and bars may have irregular weekly and seasonal revenue.

Owners should compare what happens during quieter periods, especially where minimum repayment obligations apply.

E-commerce and Shopify businesses

Online merchants may seek funding for inventory, fulfilment or advertising.

They should assess platform eligibility, refunds, chargebacks, advertising expenditure and the calculation of qualifying revenue.

MOT centres, garages and tyre shops

Vehicle repair businesses may request funding for parts, diagnostic equipment or operating expenses.

Where a significant share of turnover arrives through invoices and bank transfers, another financing structure may be more suitable.

Cafés, beauty salons and independent retailers

Businesses with established card-processing histories may be eligible for certain merchant cash advance programmes.

Affordability should be evaluated after staffing, rent, product purchases and other recurring expenses.

What Can Affect Your MCA Quote Amount?

Providers do not determine funding amounts from total revenue alone.

Consistency of card sales

Stable transaction activity may make it easier to assess future receivables.

Large revenue fluctuations can make affordability harder to predict.

Trading history

A longer trading history may provide more evidence of business performance, although it does not guarantee approval.

Existing advances and loans

Outstanding financing reduces available cash flow and may limit the amount of additional funding considered.

Industry and business performance

Providers may consider seasonality, customer concentration, refunds, chargebacks and the commercial risks associated with the business.

Financial conduct

Returned payments, arrears and other material financial issues can influence eligibility and available terms.

Repayment affordability

A provider may limit funding if the proposed deduction would consume too much of the business's expected revenue.

Importantly, the maximum funding offered is not necessarily the amount the business should accept.

How Long Does It Take to Receive an MCA Quote in the UK?

The process depends on the provider, application method and information available.

Some established payment platforms can display personalised financing offers using transaction data already associated with the merchant's account.

Other providers may need to review bank statements, card-processing records and additional business information before presenting a quote.

An initial quotation may be available before final underwriting is completed.

The time required for approval and disbursement can change if the provider requests further verification or documents.

Businesses should distinguish between three stages:

Indicative quotation: An initial estimate of potential financing terms.

Conditional offer: A proposed facility subject to outstanding checks or requirements.

Final approval and funding: Completion of the provider's decision process and release of funds under the agreed conditions.

Do not assume that receiving a quote guarantees approval or a particular funding date.

Questions to Ask Before Accepting Your MCA Quote

Before agreeing to a business cash advance, ask the provider to explain the following.

What is the full amount repayable?

Obtain a complete breakdown of the funding amount and all compulsory financing charges.

What percentage of sales will be collected?

Confirm both the percentage and the definition of qualifying sales.

Are collections calculated before or after VAT and refunds?

Different platforms can calculate remittances using different revenue definitions.

For example, Square's UK Cash Advance guidance states that its deduction percentage applies to gross card sales including tips and VAT, in addition to ordinary processing fees.

Are there minimum repayment obligations?

Determine whether the business must make additional payments when sales-linked collections fall below an agreed threshold.

Does the agreement require a personal guarantee?

Understand the circumstances in which an owner may become personally liable.

What happens if the business changes payment processors?

Some agreements contain requirements concerning payment routing and card-processing relationships.

Can the advance be settled early?

Check whether early settlement reduces the fixed fee or simply satisfies the remaining contractual amount.

What happens if the business closes or experiences a prolonged downturn?

Ask the provider to identify the relevant contractual provisions rather than assuming sales-linked repayments eliminate all financial obligations.

Is a Merchant Cash Advance Cheaper Than a Business Loan?

Not necessarily.

Traditional merchant cash advances may be more expensive than other commercial financing arrangements.

The appropriate comparison depends on the amount received, total financing cost, repayment timing and the business's cash flow.

A conventional term loan may offer a lower total cost or a more suitable repayment period.

A business overdraft might be better for occasional short-term cash gaps.

Invoice finance may be appropriate for a company whose customers pay commercial invoices rather than card transactions.

Equipment finance may be more suitable where funding is needed for a commercial asset with a relatively long useful life.

The British Business Bank's working capital finance guidance discusses merchant cash advances alongside other financing structures and highlights their potential cost.

The best option should match the business's financing purpose and repayment capacity.

Are Merchant Cash Advance Quotes Regulated in the UK?

The regulatory treatment depends on the precise financing agreement and the legal structure of the arrangement.

Many traditional commercial merchant cash advances are structured as purchases of future business receivables and fall outside the FCA's regulated consumer-credit framework.

However, the term "merchant cash advance" does not automatically establish the regulatory status of every agreement.

Products structured as credit, particularly arrangements involving sole traders, small partnerships or unincorporated businesses, may raise additional regulatory considerations.

GOV.UK's guidance on offering credit explains when business-to-business credit can involve FCA authorisation requirements.

Before accepting an offer, confirm the legal identity of the provider, whether the product is regulated, what complaints rights apply and what obligations arise under the agreement.

Where a material regulatory or contractual question is unclear, obtain advice from a suitably qualified UK professional.

Frequently Asked Questions About Merchant Cash Advance Quotes

How do I request a merchant cash advance quote in the UK?

You can approach a provider offering MCA finance in the UK or review available offers through an eligible payment platform.

You will generally need to provide business information, recent sales details, the amount requested and supporting documentation where required.

Can I get a free merchant cash advance quote?

Some providers offer an initial quotation without charging an application fee. However, this is not a universal requirement.

Always check whether any application, broker or administrative fee applies before submitting an enquiry.

How much can I qualify for?

The amount depends on the provider and your business's revenue, trading history, financial obligations and risk profile.

Published programme maximums do not guarantee the amount offered to a particular business.

Can I get an MCA quote with bad credit?

Potentially. Some providers consider card-processing activity and trading performance alongside credit information.

Approval remains subject to underwriting and the actual circumstances of the business.

Do I need three months of bank statements?

Some providers request recent bank statements, but there is no universal three-month rule.

The precise documentation requirements depend on the financing company and application.

Do I need a card machine?

Not necessarily. Some funding programmes evaluate online card payments through eligible platforms.

However, a traditional card-sales-linked merchant cash advance generally requires sufficient qualifying transaction activity.

Can sole traders request MCA quotes?

Yes, certain UK programmes consider sole traders.

For example, Square Cash Advance is specifically available to eligible UK sole traders and partnerships using Square.

Can I request a quote if my business is less than six months old?

Some providers require at least six months of trading, while other programmes assess businesses using their own criteria.

A new business with limited transaction data may have fewer available options.

Are MCA quotes guaranteed after prequalification?

No. An indicative quotation or preliminary eligibility result may still be subject to verification and final underwriting.

The provider can decline the application or change the available terms where permitted by its process.

Can I compare more than one quote?

Yes, where providers accept your application and offer financing terms.

You should compare the same advance amount across providers and identify any differences in costs, collection percentages and contractual obligations.

Is the merchant cash advance fee refundable if I repay early?

Not necessarily.

Many MCAs involve a fixed funding cost that does not automatically decrease when the advance is settled early.

Review the agreement's early settlement provisions.

Can I get a merchant cash advance quote without a credit check?

Certain providers may use transaction-based assessments or soft credit checks.

However, not every UK MCA programme has the same policy. Confirm the process directly with the provider.

How long will I have to repay the advance?

Traditional MCA collection periods can vary with sales.

Higher qualifying sales generally lead to faster collections, while lower sales may extend the period.

Minimum payment obligations or other contractual requirements can affect the arrangement.

What if I already have a merchant cash advance?

Some providers may consider additional funding, but an existing advance can affect eligibility and affordability.

Disclose outstanding balances and collection commitments before accepting further financing.

Final Thoughts: Getting the Right Merchant Cash Advance Quote

A merchant cash advance quote should help you understand both the cost of financing and its practical impact on your business.

The amount advanced is only one part of the decision.

The total repayment, collection percentage, minimum payment obligations and treatment of weaker trading periods are equally important.

For UK businesses with established card revenue, an MCA may provide an alternative to conventional lending.

However, businesses should avoid accepting an advance simply because they qualify for it.

The right financing offer should address a genuine commercial need while leaving sufficient cash for the business to meet its operating obligations.

Request a Business Financing Review With Mehmi Financial Group

Explore Your Business Funding Options

Mehmi Financial Group assists with commercial financing enquiries and can discuss potential funding routes, subject to applicable UK requirements and participating provider availability.

If your UK business is considering a merchant cash advance or another working capital arrangement, contact the team to establish whether a relevant provider introduction or financing review is currently available.

To begin, share your business location, industry, trading history, approximate monthly revenue, eligible card sales, requested funding amount and intended use of funds.

Please do not include sensitive bank statements, personal identification or financial account credentials in a general enquiry. Request the appropriate secure submission instructions first.

Contact Mehmi Financial Group — Enquire About Business Financing

‍