We buy tomorrow's sales. You get today's cash.
Also called revenue based funding. Here is exactly how it works.
What it actually is.
Marlow purchases a portion of your business's future receivables at a discount. You receive the purchase price now. In exchange, an agreed percentage of your daily or weekly sales is remitted to Marlow until the purchased amount has been delivered.
Because the remittance is based on an agreed percentage of sales rather than a traditional fixed monthly loan payment, the structure is tied to business revenue. The specific purchase price, purchased amount, factor rate and remittance terms are disclosed before you sign.
Who we say yes to.
Businesses with steady monthly revenue that need working capital quickly
Owners funding a time sensitive opportunity that will not wait for a bank
Businesses where revenue-based funding fits the way the business generates sales
Owners who would rather be underwritten on deposits than on a credit score
What businesses use it for.
What it costs, plainly.
A merchant cash advance uses a factor rate. A factor rate is a decimal multiplier applied to the purchase price at the start. The result is the total purchased amount. The purchased amount is set when you sign; the factor rate does not compound or accrue over time.
An example. Illustration only. Not an offer. Actual terms vary by business.
Example
- Purchase amount
- $50,000
- Factor rate
- 1.30
- Total purchased amount
- $65,000
- Cost
- $15,000, fixed
How this compares to a bank.
On an annualized basis, a merchant cash advance can cost more than traditional bank financing. That is not a footnote, it is the trade. You are paying for speed and underwriting that focuses heavily on business revenue and cash flow.
A factor rate and an APR measure cost differently. Where applicable law requires an estimated APR or other commercial-financing disclosure, Marlow provides the required disclosure.
From submission to funding.
Send your statements.
Basic business information and recent business bank statements. That is the application.
Get an offer.
Purchase amount, factor rate, total purchased amount, and remittance percentage, in writing.
Review and sign.
Everything in the offer is in the agreement.
Funds delivered.
Capital goes to your business bank account.
What we look for.
We underwrite on revenue first. Recent bank statements tell us more about your business than a credit file does, and that is where we start.
Straight answers about how it works.
Required Disclosures
Required Disclosures (Legal)
Marlow provides merchant cash advances structured as purchases of future business receivables. Marlow files a UCC-1 financing statement upon funding. A personal guaranty of performance may be required. Available to business entities only, not individuals, and for business purposes only. Marlow is not a bank. Additional disclosures may apply based on applicable law and the terms of the transaction.