Bank statements come first — average daily balance, deposit consistency, negative days and existing positions. Time in business and industry set outer bounds. Personal credit acts mostly as a screen rather than a driver, which is the largest difference from traditional lending.
Full guide
MCA underwriting: what funders actually look atThe five things that decide an offer, in the order they get checked.
Related terms
Submission
A completed merchant file sent to a funder for underwriting.
Decline
A funder’s refusal to make an offer on a submitted file.
Negative days
Days on which a merchant’s bank account carried a negative balance.
Retainage
A portion of a contract sum withheld until work is completed and accepted, common in construction.
Chargeback
A card transaction reversed at the cardholder’s request, returning funds and usually incurring a fee.
Paper grade
An informal classification of merchant quality, from A paper — strong revenue, no positions, long trading history — down to C or D.