Answers
The most common reasons are deposits below the funder's starting point, too many negative or low-balance days, a recent drop in revenue, existing advances taking too much of the account, an industry the funder does not serve, or missing or inconsistent documents. Ask which reason applied and what would change the answer.
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The most common reasons are deposits below the funder's starting point, too many negative or low-balance days, a recent drop in revenue, existing advances taking too much of the account, an industry the funder does not serve, or missing or inconsistent documents. Ask which reason applied and what would change the answer.
Key facts
Related: Business Funding Answers for Canadian Owners · Business Funding Requirements in Canada · What Business Funding Costs in Canada, Compared · Documents Needed for Business Funding in Canada · Merchant Cash Advance Canada: How It Works and Costs
| Reason | What it looks like | What helps |
|---|---|---|
| Revenue too low | Deposits under the typical starting point | Consolidate accounts; wait for a stronger season |
| Account health | Frequent negative or low-balance days | Keep a cushion for two or three months |
| Falling revenue | A clear downward trend | Explain the cause and show recovery |
| Existing obligations | Several advances already being repaid | Pay one down before applying |
| Industry | Outside a funder's programs | Ask whether another structure fits |
| Documents | Missing pages or mismatched names | Send complete, unedited statements |
Most declines are about timing. Two or three months of cleaner statements, a paid-down existing advance or a completed busy season can change the outcome. Apply again with a short note explaining what changed.
If your question is about your own file rather than the general rule, the fastest route to a specific answer is a review. Send a signed application and your last four months of business bank statements, mention this question in a note, and the response will address it directly. You can also call (305) 384-8391 and ask before applying; there is no cost to ask.
Apply again when the reason has changed, not before. If the issue was negative days, wait for two or three clean months. If it was an existing advance, apply after it is paid down. If it was missing documents, you can resubmit right away.
Repeated applications to many funders in a short period rarely help and can add hard inquiries. One clean, complete application is stronger than several rushed ones.
Reviewed by the Merchant Fund Express team on October 12, 2026. Official pages checked as of that date.
The decline itself does not. Any hard inquiry may have a small effect.
When something meaningful has changed, often after one to three months.
Fix the cause first. Multiple applications rarely solve the underlying issue.
Educational information only. It is not legal, tax or accounting advice.
Same-day decision. Applying takes a few minutes and will not affect your credit score.
