Funding situations
A file that is trending down reads against a file that is flat. Context turns it from a warning into a story.
✓ Checking what you qualify for does not affect your credit score.
At Merchant Fund Express, here is the short answer: Funders read the three to six months as a line. A falling line is sized smaller; context and a conservative request make it a story.
Funders look at the three to six months of deposits as a line, not as an average. A line that falls tends to be funded smaller, shorter or with a stricter payment than the same average on a flat line.
| Period | Deposits |
|---|---|
| Six months ago | $62,000 |
| Three months ago | $51,000 |
| Last month | $44,000 |
| Read | Down 29%; payment sized to $44,000, not $62,000 |
All figures in worked examples are illustrations of the arithmetic, not offers or quotes. Real terms depend on your file and the funder.
Source: Merchant Fund Express.
See seasonal revenue and when revenue drops.
An owner whose deposits fell from $62,000 to $44,000 sends a note on the cause, a lost contract, and a new one that starts next month. She asks for an amount sized to $44,000, not $62,000. The offer comes back smaller and workable. Asking for the old number would have been declined.
Source: Merchant Fund Express.
Not necessarily. It changes size and terms. That is how Merchant Fund Express reads it on a real file.
No. A seasonal pattern shows in prior years and reads differently.
If recovery is near and you can wait, you may get better terms.
One bad month is context; a lengthening line is the concern.
Merchant Fund Express gives a same-day decision. Applying takes a few minutes and will not affect your credit score.
