Stacking

What it means

Stacking is common and is not illegal, but each additional position increases the total daily withdrawal and makes the next approval harder. Most funders will fund first or second position; beyond that, options narrow quickly.

Why it matters when you apply

Underwriting for revenue-based business funding leans on bank activity, time in business, industry and existing positions. Where this term touches one of those, it can move a decision.

See the four factors that decide most files on the qualification page.

Related terms

Second Position — A funder that repays after the first-position funder, taking on more risk in exchange for higher pricing.

First Position — The funder with the senior claim on repayment, typically the first one to fund the business and the first to be repaid.

MCA Buyout — When a new funder pays off an existing advance in full and replaces it with a single new facility.

Where this fits

Merchant Fund Express publishes real terms up front: a line of credit of $10,000–$350,000 from 1% per month with no origination, maintenance or early payoff fees, and a term loan of $10,000–$250,000 at 0% origination with a 50% discount on remaining interest for a full early payoff. See the products →

Common questions

What is stacking?

Taking a second, third or fourth advance while an earlier one is still outstanding, leaving multiple funders collecting from the same deposits at once.

How does this affect my approval?

It depends on the factor it touches — industry, bank activity, time in business or existing positions. Those four decide most files.

Where can I see real rates and terms?

Every product page on this site publishes the amount range, term, rate and fee structure up front.