Is your business trapped on the Merchant Cash Advance (MCA) treadmill?
With daily or weekly payments straining your cash flow, the true cost of an MCA can skyrocket past a crippling 180% real APR. This type of high-velocity, high-cost debt doesn't fuel growth—it suffocates it.
At Growth Funding Group, we specialize in helping profitable, asset-rich companies trade the tyranny of the daily debit for sustainable, lower-cost capital. We look beyond your credit score and focus on the strength of your assets to deliver a financial solution that frees up your working capital immediately.
Why MCA "Reverse Consolidation" Isn't the Answer
Many lenders offer "MCA reverse consolidation," which simply stacks more expensive, short-term debt on top of your existing advances. We focus on true, less expensive takeout financing using structured loan products to eliminate the toxic debt completely.
Here are the three powerful tools we use to strategically transition your business to sustainable financing.
Tool 1: Commercial Second Position Mortgage Loans
For businesses that own commercial real estate, a second mortgage is the fastest and most cost-effective path to immediate relief.
- The Collateral Advantage: We underwrite based on the equity and cash flow of the underlying asset, not the financial pressure caused by the MCA payments. This allows us to look past poor credit history or recent dips in cash flow.
- Zero Disruption to the First Lien: A second position loan allows you to pull cash out of your property without refinancing your existing, potentially low-rate first mortgage.
- Predictable, Lower Payments: By replacing the high-APR MCA with a structured second mortgage, you immediately convert unpredictable daily payments into manageable, far less costly monthly payments.
Tool 2: Far Less Costly Term Loans
For strong businesses that need a clean exit but do not have real estate available for a second position mortgage, we structure conventional term loans designed explicitly for MCA takeout.
- Focus on Business Health: We analyze your overall profitability, long-term contracts, and operational stability. Our underwriting looks at the business after the MCA debt is removed, recognizing that the MCA itself is the source of the current financial pressure.
- Instant Cash Flow Relief: Our term loan interest rates are a fraction of typical MCA costs. This conversion immediately stabilizes your financial footing, allowing you to reallocate funds to inventory, marketing, and genuine growth.
Tool 3: Hedge Fund Loans (The Institutional Solution for $8M+)
When your business faces a massive, multi-million dollar MCA burden—typically $8 million and up—a customized, flexible, institutional solution is required.
- Scalable Capital: We tap into hedge fund liquidity specifically for large-scale corporate restructures and debt payoffs. This capital is uniquely suited to absorbing large, complex debt stacks that traditional banks won't touch.
- Flexible Collateralization: These loans offer specialized underwriting where collateral can include future EBITDA, contractual revenue streams, unique machinery, or other odd asset classes.
- Strategic Structure: This is not a quick fix; it's a strategic maneuver designed to provide the necessary liquidity to retire the toxic debt and establish a new, long-term financing arrangement that aligns with your company’s future growth goals.
Don't let the high cost of toxic MCA debt compromise your company's future. Growth Funding Group provides the financial tools and the expertise to help your business make the smart, strategic pivot toward lower-cost, sustainable capital.
Contact us today to explore the strategic path to eliminating your MCA burden.
