How much of your cash flow do your MCAs take?

What this tells you

When you hold more than one advance, the payments add up quickly. Each one looks manageable alone, but together they can take a large part of what comes in.

This page adds every payment to a weekly and a monthly amount, then shows that as a share of your real sales. The bar shows how that share splits between the positions.

What is left is what the business keeps before rent, payroll, suppliers and tax. If that number is thin or negative, it is a sign to look at your options early.

If you are struggling to make payments, read the guide on that topic. A lawyer licensed in your state can advise on your situation.

How it is worked out

• Weekly amount: a weekly payment as is, or a daily payment × 5.
• Monthly amount: weekly payment × 52 ÷ 12, or daily payment × 21.
• Weekly sales from a monthly figure = monthly × 12 ÷ 52. Monthly sales from a weekly figure = weekly × 52 ÷ 12.
• Share of sales = monthly amount taken ÷ monthly sales × 100.
• Left = sales − total taken, per week and per month.

Common mistakes

• Using total deposits instead of real sales.
• Leaving out an advance that is taken from a different bank account.
• Using one strong week for sales. Use a typical one.
• Forgetting that the left-over has to cover costs, not only owner pay.
• Counting a daily payment on 7 days a week. Business days only.