New cash = new funded amount − deducted fees − payoff amounts on the payoff letters. Example: $120,000 − $3,600 fees − $70,000 payoffs = $46,400 to the business.
Check my optionsMerchant cash advance
When a new funding offer includes paying off existing advances, the headline amount is not the cash you will receive. New cash equals the funded amount minus deducted fees minus every payoff, and knowing that number before signing prevents disappointment.
Amount to request
$85,000.00
Funding range$25K to $5M
*Sample amounts shown. Your actual offer depends on your business and is reviewed before approval.
Advances, lines of credit and second-position options in one place.
You can apply at 500; stronger credit opens more products.
Net cash, total payback and payment shown before you sign.
A person reviews your revenue, time in business and bank activity, often within hours.
Fast decisions. Applying takes about 5 minutes.
A short application. A soft credit pull to start.
We review revenue, time in business and bank activity, not just a credit score.
You see the amount, the schedule and the full repayment amount before you sign.
Funding in as little as 24 hours for qualified businesses.
Gather the inputs. You need the new funded amount and any fees deducted at funding from the offer, plus a written payoff letter from each existing funder showing the exact payoff amount and the date it is valid through. Payoff amounts can change daily as remittances continue, so the letter date matters.
Do the subtraction. New cash = new funded amount − deducted fees − payoff amounts. With a $120,000 new amount, $3,600 in fees and $70,000 in payoffs, $46,400 reaches the business. If a payoff letter expires before funding, the actual payoff may be slightly lower because more remittances cleared, or higher if a payment was returned.
Compare what you receive with what you will owe. The new agreement total, the funded amount multiplied by the factor, applies to the full $120,000, not just the $46,400 of new cash. So the effective cost of the new cash is higher than the factor suggests. Calculating the total remittance divided by the new cash shows what each new dollar really costs.
Decide whether the restructuring is worth it. If the main goal is lowering daily payments, the new weekly payment compared with the combined old ones may justify the cost. If the main goal is new capital, a small amount of new cash relative to a large new obligation may not.
Watch the timing. Payoffs are usually sent directly to the old funders by the new funder; confirm they are processed promptly so old debits stop and UCC filings are terminated.
MFE presents payoff math in writing and offers buyouts on balances of $100,000 or less, so you can see the new cash figure before signing.
Here is the new-cash calculation for an offer that includes payoffs. Illustrative numbers.
| Amount funded | $75,000 |
| Factor rate | 1.38 |
| Total payback (amount × factor) | $103,500 |
| Fees deducted at funding (4%) | $3,000 |
| Net cash you receive | $72,000 |
| Weekly payment over 52 weeks | $1,990 |
| Same total as daily debits (~260 business days) | $398/day |
Illustrative numbers only. Your offer depends on your file; always compare net cash and total payback in writing.
| New funded amount | From the offer |
| Deducted fees | From the offer |
| Payoff amounts | From written payoff letters |
| New cash | Amount - fees - payoffs |
| Effective cost check | Total remittance / new cash |
Good fit:
Probably not yet:
New funded amount minus fees minus all payoff amounts.
Written payoff letters from each existing funder.
Balances change as remittances clear.
No, it applies to the full new funded amount.
Divide the total remittance by the new cash received.
Usually the new funder, directly to the old funders.
Example uses for illustration only.
Before you apply:
One secure application. A soft credit pull to start. No obligation to accept an offer.
Apply for Funding