Prêt RapidePrêt Rapide
FR
Apply now

Merchant cash advance for Quebec businesses

A merchant cash advance gives you a sum today based on your future sales. Instead of a traditional payment schedule, repayment is usually taken as a percentage of your card sales or through regular debits from your bank account.

This type of financing is aimed mainly at businesses with a steady volume of transactions, for example through a payment terminal. The provider looks first at the history of those sales.

How does a merchant cash advance work?

The provider reviews your sales over recent months, then proposes an advance amount and a total amount to be repaid. When repayment is tied to a percentage of sales, it follows the pace of your business: it slows down during quieter periods and speeds up when sales increase.

The cost of a merchant cash advance is often expressed as a fixed amount or a factor rather than an annual interest rate, which can make it harder to compare with a loan. Before accepting, work out the total cost and the estimated repayment period.

Common uses

  • Financing inventory for a busy period
  • Covering operating expenses when sales are steady but cash is tight
  • Renovating or redesigning a store
  • Seizing a business opportunity quickly
  • Getting funds when traditional bank financing is out of reach

Who is a merchant cash advance for?

A merchant cash advance suits restaurants, retailers, salons and other businesses that make a large share of their sales by debit or credit card and have a stable sales history.

Eligibility criteria

To apply through Prêt Rapide, your business must meet the following criteria:

  • At least 6 months in business
  • At least $10,000 in monthly revenue
  • Business registered in Canada (incorporated, partnership or sole proprietorship: all structures accepted)

Applying with Prêt Rapide

  • Amounts from $10,000 to $1,000,000
  • No impact on your credit score when you apply
  • Free service for your business
  • Response within 24 hours

Frequently asked questions

Depending on its structure, a merchant cash advance is often a purchase of future receivables rather than a loan in the strict sense. The terms, including how repayment works, are set out in the provider's agreement.

When repayment is calculated as a percentage of sales, its length depends on your revenue: the higher your sales, the faster the repayment. The provider gives you an estimate in its offer.

Advance providers generally give significant weight to your sales history. A lower credit score does not necessarily prevent you from receiving an offer, but each file is assessed individually.

Other financing solutions

Working capital

Cover your operating expenses and manage your cash flow without interrupting your activity.

Business line of credit

Flexible access to funds you use as needed, repayable as you go.

Equipment financing

Acquire the equipment you need without tying up your capital or your credit line.