MCA Refinance & Renewal Calculator

In an MCA refinance, a new funder (or your existing funder) advances enough to pay off your current balance plus additional capital. For example, if you owe $25,000 on your current MCA and want $20,000 in fresh capital, the new advance would be $45,000. The new advance comes with its own factor rate and term. The key question is whether the new terms improve your overall cost and daily payment compared to continuing on your current position.

MCA refinancing is beneficial when: (1) you can get a significantly lower factor rate on the new advance, (2) extending the term reduces your daily payment enough to improve cash flow, (3) you need additional working capital and can deploy it productively, or (4) your business performance has improved since the original advance, qualifying you for better terms. The general rule: only refinance if the blended cost of the new advance (including paying off the old balance) is lower than your current effective rate.

Refinancing resets your factor rate clock on the entire balance — including the payoff amount from your existing advance. This means you're paying a factor rate on money you've already been paying a factor rate on. If you have $25,000 remaining on a 1.30 factor advance and refinance into a new 1.30 factor advance of $45,000, your total obligation becomes $58,500 — which includes double-factoring the $25,000 payoff. Always calculate the total cost before and after refinancing using our calculator.

Refinancing pays off your existing position and replaces it with a new one. Stacking means taking an additional advance while keeping your existing position active — resulting in multiple daily payments. Refinancing is generally healthier for your business because it consolidates to a single payment. Stacking is riskier because it multiplies your daily obligations. Most industry experts recommend refinancing over stacking whenever possible.