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We're Fund Virtually Everything

We fund business owners nationwide, regardless of industry, credit, or time in business. We fund it all.

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We have a lot of different financing options available to our clients. Regardless of your situation, we’ll have a solution for you.

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Our application process is completely online. You can get funds in your bank account in literally 24 hours.

The Working Capital You Need In 24 Hours.

We get you funding. It's that simple. Regardless of credit, income, or time in business - we'll fund you.


Use our online form or call toll-free anytime to get started. There's no cost, and the application takes only three minutes.


Receive application approval in as little as 24 hours. There is no credit check required.

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Review and return your signed agreement and get your money in as little as 24 hours.

Recent Business Loans Funded

100K Term Loan

Ambulance Service

Our client bought a new ambulance.
2019 - June
55K Advance

Truck Funded

Our client used the funds to hire new team members.
2019 - February
85K Term Loan

Restaurant Funded

Our client used the funds for restaurant equipment.
2019 - May

Get a Decision in as Little As 30 Seconds

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We have a completely online application process, which is simple and easy.

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We'll match you with the best loan offers we have that are financially responsible.

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We'll fund you the same day you accept our offer.

How Delancey Street Works

Fill Out Our Application

Answer basic questions about yourself and fill out our entirely online application. Each loan has its own online process.

Meet Your Concierge

We'll pair you with an experienced Delancey Street specialist who will reach out to you, and understand your needs. We'll try to determine which financial product is right for you.

Compare Our Loan Offers

We give you a few different loan offers based on your scenario and what options you qualify for.

Choose Your Loan

Once you've chosen a loan that works for you, we finalize it and start getting the documents needed.

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Once we get all of the documents back, we'll get you funded ASAP.

We Help You Grow

After you get funded, your Delancey Street concierge specialist will keep in touch to make sure you're happy and doing well.

Business Loans

Get business loans ranging from 3 months to 18 months
No credit score requirement, we have a program for everyone
We can fund up to $5 million in virtually 24 hours

How Does A Merchant Cash Advance Impact Your Credit Score


How Does A Merchant Cash Advance Impact Your Credit Score?

Merchant cash advances have become an increasingly popular financing option for small businesses. Unlike a traditional loan, merchant cash advances provide capital in exchange for a percentage of future credit card sales.

While merchant cash advances offer quick and easy funding, many business owners wonder – how will a merchant cash advance impact my credit score? Let’s take a closer look.

How Merchant Cash Advances Work

With a merchant cash advance (MCA), a funding provider gives you an upfront lump sum of capital in exchange for a fixed percentage of your future credit card sales. The MCA provider collects this percentage daily via automatic withdrawals from your credit card processor until the advance is paid back in full.

Unlike a term loan, there is no set payback period. The payback timeframe depends on your credit card volume. Busier merchants repay the advance faster.

MCAs and Credit Reporting

One key difference between merchant cash advances and traditional loans is credit reporting:

  • Loans are almost always reported to the credit bureaus and impact your credit score.
  • MCAs are generally not reported and do not directly affect your credit score.

This is because MCA providers operate outside the conventional lending system. They do not pull your business credit report or report any payment data to the bureaus.

Signing a contract

When MCAs Could Impact Credit

While MCAs themselves do not affect your credit, there are some scenarios where obtaining one could still influence your credit score:

  • Personal guarantee – If you personally guarantee the MCA, nonpayment could result in the provider reporting late payments to your personal credit report.
  • Collections – If you default on repaying the MCA, the provider may send the account to collections, damaging your personal or business credit score.
  • Other lending – Having an outstanding MCA obligation could negatively impact your ability to qualify for other types of business financing that do report to the credit bureaus.

So while MCAs do not directly alter your credit, downstream impacts like collections or reduced access to other credit could indirectly lower your score.

Using MCAs to Build Credit

Since most MCAs do not report your payment history, they will not help build your business credit profile like a loan would. However, there are couple potential strategies:

  • Use funds from the MCA to pay off existing debts that are reporting – this could improve your credit utilization ratio.
  • Find an MCA provider willing to report payments to the business credit bureaus – a rare but possible option.

But for most small business owners, MCAs should be used as a source of financing rather than a tool for proactively building credit.

Business owners celebrating

Using Personal Credit to Qualify for an MCA

While MCA providers do not report payment data to the credit bureaus, many will check your personal credit when reviewing an application. Here are some key points:

  • Minimum personal credit scores vary by provider, but often range from 500 to 600.
  • Your personal credit history helps assess overall repayment risk.
  • Good personal credit may help you negotiate better MCA terms.
  • Poor personal credit scores can disqualify you or result in higher MCA rates.

So maintaining a healthy personal credit profile remains important even when seeking merchant cash advance financing.

Tips for Minimizing Credit Impact

If you want to avoid credit damage when using merchant cash advances, here are some tips:

  • Only accept an amount you can confidently repay from projected credit card sales.
  • Avoid taking multiple MCAs that overwhelm your repayment ability.
  • Make payments on time to prevent collections reporting.
  • Notify providers early if you anticipate missing payments.
  • Have a plan to pay off MCAs quickly when possible.

Conservative use of merchant cash advances matched to your actual business needs will help prevent credit score damage down the road.

Key Takeaways

  • Merchant cash advances themselves do not directly impact your personal or business credit score.
  • But collections, personal guarantees, or reduced access to other credit could indirectly lower your score.
  • Good personal credit helps qualify for an MCA, even though MCAs don’t report.
  • Use MCAs conservatively and match to your ability to repay to avoid credit damage.

While credit impact is generally low, smart management of your MCA obligation remains important for any small business owner.

Helpful Resources


How Does A Merchant Cash Advance Impact Your Credit Score?

credit score concept image

With quick access to capital, merchant cash advances can help small businesses grow. But many wonder what happens to their credit score when getting an MCA. Unlike loans, MCAs do not follow standard reporting protocols. However, MCAs can still positively or negatively impact your business and personal credit scores in certain cases.

MCA Reporting To Business Credit Bureaus

One misconception is that MCA funders routinely report to major business credit bureaus like Experian, Equifax or Dun & Bradstreet. This is not true in most cases. The reporting practices of MCA funders are inconsistent.

Many smaller MCA providers do not report at all. Larger funders may report, but focus on just negative events like missed payments. Positive payment histories tend to go unreported.

Personal Credit Bureau Reporting

credit report example

It is also uncommon for MCA funders to report to personal credit bureaus like Experian, TransUnion and Equifax. This holds even if the small business owner personally guarantees the MCA.

Again, larger MCA companies are more likely to report defaults or collections issues to personal credit agencies. But routine positive reporting is rare.

How Non-Reporting Impacts Scores

Because MCAs infrequently appear on business or personal credit files, taking one out does little to immediately affect your scores upon approval. That neutrality can be beneficial.

However, making on-time MCA payments also will not boost your business or personal scores like a reported loan would.

Late Payments and Credit Scores

late payment warning sign

While positive MCA payment histories may not help scores, late or missed payments can damage both business and personal credit. Defaults or collections get reported much more consistently.

Even MCA non-reporting funders will alert credit bureaus about serious delinquencies. These black marks lower scores.

How Defaults Are Reported

With traditional loans, a default occurs after 90 days of non-payment. But MCA defaults work differently since there is no standard monthly repayment schedule.

Common MCA default triggers include 20-60 days without making the daily percentage deductions, violating card processing requirements, or bankruptcy.

Negotiating On Credit Reporting

business owner negotiating

Because credit bureau reporting practices vary so widely among MCA funders, you have some ability to negotiate terms upfront.

Try to bargain for:

  • No reporting of any kind
  • Only reporting severe delinquencies of 90+ days
  • Agreeing not to report if default is cured later

Get any negotiated terms in writing.

When Personal Credit Is Affected

Remember, MCA defaults can also impact your personal credit if you personally guarantee the advance. Even with no business reporting, personal score damage can occur.

Be proactive protecting both business and personal credit.

Fixing MCA Credit Damage

restoring credit concept

If an MCA default gets reported and hurts your scores, take these steps to start fixing the problems:

  • Bring the MCA current as quickly as possible.
  • Ask the funder to amend the credit file to show account in good standing.
  • Submit disputes to credit bureaus directly.
  • Add notes in credit files about the resolution.

With persistence, MCA-related credit damage can usually be overcome.

The Bottom Line

While not an automatic credit boost, merchant cash advances also will not hurt your business or personal credit scores when initially approved. But be vigilant about making daily payments to avoid score drops from reporting of delinquencies or defaults. With extra care, MCAs can provide funding without damaging credit.

Helpful Credit Resources

Delancey Street is here for you

Our team is available always to help you. Regardless of whether you need advice, or just want to run a scenario by us. We take pride in the fact our team loves working with our clients - and truly cares about their financial and mental wellbeing.

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