Kapitus Merchant Cash Advance Review

Kapitus Merchant Cash Advance is offered by Kapitus, a direct lender founded in 0 and based in New York, NY. Kapitus Merchant Cash Advance is available in 50 states (and Washington, DC).

What APRs does Kapitus Merchant Cash Advance offer?

The cost of merchant cash advances is typically marketed as a factor rate, not an APR. Kapitus offers merchant cash advance with a factor rate starting from 1.1 to 1.5. The higher the factor rate, the higher the fees. For example, an advance of $20,000 with a factor rate of 1.5 will have a total repayment of $30,000, which includes $10,000 in fees.

However, we ran the numbers and we estimate it has an equivalent APR that ranges from 10% APR up to 50% APR.

Does Kapitus Merchant Cash Advance charge prepayment fees?

Yes, Kapitus Merchant Cash Advance charges additional fees to borrowers who pay off their Kapitus Merchant Cash Advance sooner than anticipated. Take this into consideration when choosing a lender because prepayment penalties can reduce or even cancel the interest savings of repaying a Kapitus Merchant Cash Advance early.

How much cash can you advance from Kapitus Merchant Cash Advance?

Cash advance amounts start at $2,500 and go up to $500,000.

What types of repayment method does Kapitus Merchant Cash Advance accept?

Kapitus Merchant Cash Advance accepts the following repayment method from the Merchant:

• Split withholding
• ACH withholding

How often does Kapitus Merchant Cash Advance process payments?

Kapitus Merchant Cash Advance processes payments daily based on your business's credit card transactions. This means that a percentage of your transactions will automatically be sent to Kapitus Merchant Cash Advance as payment for your cash advance until the full amount is paid.

Does Kapitus Merchant Cash Advance charge an origination fee?

Yes, Kapitus Merchant Cash Advance charges a origination fee starting at 2.5% of the total amount advanced. Kapitus Merchant Cash Advance deducts the fee directly from your merchant cash advance amount before disbursing merchant cash advance proceeds, so make sure you take this fee into account when deciding how much you need to borrow.

What is the minimum repayment amount required by Kapitus Merchant Cash Advance?

There is no minimum repayment ammount.

What is the estimated funding time for a merchant cash advance via Kapitus Merchant Cash Advance?

Kapitus Merchant Cash Advance can approve (or deny) a merchant cash advance application within 1 hour and fund your merchant cash advance within 2 business days of approval.

What are the business financing requirements for Kapitus Merchant Cash Advance?

To apply for Kapitus Merchant Cash Advance, you need to provide the following business documentation:

• Business license
• Business bank account

What do you need to qualify for Kapitus Merchant Cash Advance?

Applicants with a credit score of at least 550 and up to 850 may be eligible for Kapitus Merchant Cash Advance.

Kapitus Merchant Cash Advance does not have or does not disclose a minimum annual income eligibility requirement.

The Military Lending Act (32 C.F.R. § 232) prohibits lenders from charging service members more than 36% APR on credit extended to covered borrowers. Active duty service members and their covered dependents are eligible to apply for a loan via Kapitus Merchant Cash Advance. Their rates fall within the limits of The Military Lending Act.

U.S. citizens are, of course, eligible for the services offered by Kapitus Merchant Cash Advance. Permanent resident / green card holders are also eligible to apply.

To qualify, applicants may need to provide the following documentation:

• Proof of income
• Recent bank statements
• Business formation documents
• Proof of identity

What limitations does Kapitus Merchant Cash Advance set on the purpose of the merchant cash advance?

Kapitus Merchant Cash Advance considers merchant cash advance applications for business purposes, such as:

• Business debt refinance
• Equipment purchase
• Lease improvement
• New location
• Product or service expansion
• Working capital