What MCA funders look for in your bank statements

Deposit consistency beats deposit volume

The first thing an underwriter checks is not how much money came in. It is how it came in. An advance is a purchase of your future receivables, so the whole question is whether those receivables show up on a schedule. Fifteen deposits spread across the month read stronger than two big wires that land whenever they land.

Here is a made-up comparison we see versions of every week. A landscaper depositing $45,000 a month in steady card batches can read stronger than a contractor showing $90,000 that arrives in one unpredictable wire. The contractor has more revenue. The landscaper has more fundable revenue. Advances typically size between 0.5x and 1.4x of monthly deposits, and consistent files get the higher multiples.

Average daily balance is the number underwriters circle

This is the balance your account actually holds through the month, not the number it shows on statement day. Repayment on most advances is daily on business days, so the funder needs to know there is cushion in the account every morning, not just at month end. An account that swings near zero every week scares underwriters more than a smaller account that never dips.

Ending the month at $20,000 does not hide three weeks of sitting at $900. The ledger shows every day. If your balance only looks healthy on the day rent clears or a big invoice lands, the underwriter sees that too, and prices for it.

Negative days and NSFs kill more deals than credit scores

Credit is more forgiving in this industry than most people think. We place files with scores from the 450s. Negative days are different. A negative day is any day the ledger dips below zero. An NSF is a payment that bounced. Underwriters count both across all four months, and they weight the recent months hardest.

A couple of negative days with a clean explanation is a conversation. A pattern is a decline, and it is a fair one. A funder pulling a daily payment cannot collect from an empty account. If your statements show payments already bouncing, adding another daily pull does not help you, and the honest funders know it.

Your existing positions are sitting right there in the ledger

Every advance you are currently repaying shows up as a named daily debit in your statements. Underwriters recognize the funder names on sight. Some also run UCC searches. There is no version of this where an existing position stays hidden, so do not let anyone talk you into pretending it is not there.

Be upfront with your broker about every position. It changes which funders could work, it changes pricing, and misstating it on a signed application creates real legal exposure for you. Second and third positions price brutally, which is its own subject. If you are already carrying two, read our stacking guide before you take a third.

The trend matters more than any single month

Funders read the four months in order, oldest to newest, and the newest month carries the most weight. A great March cannot save a bad June. Say a shop deposits $80,000, then $70,000, then $55,000, then $40,000. The average is $61,000, but nobody prices the average. They price the direction, and that direction says the business is shrinking.

Seasonal businesses are the exception, and only if you say so. A landscaper slowing down in January is normal. A landscaper slowing down in June is a problem. Tell your broker about your seasons up front so the file goes out with that context instead of leaving the underwriter to guess.

What to do 30 days before you apply

One clean month can genuinely change an offer, because it becomes the most recent month in the file. These are the moves we tell merchants to make before we submit anything.

One more thing. Funders often do a short funding call before wiring. Be reachable, and make sure what you say matches what the statements show. That call has killed deals at the finish line for no reason other than a merchant guessing at their own numbers.

• Keep the account from touching zero. Hold a cushion even if it means delaying a purchase.
• No NSFs for at least 30 days. One recent bounce hurts more than three old ones.
• Run all revenue through one operating account so the deposits tell one clear story.
• Stop shuffling money between your own accounts. Transfers get backed out of deposit counts.
• Do not add a new position right before applying. It reprices everything.
• Download statements as real PDFs from your bank portal. Screenshots and scans slow every desk down.

Common questions