Funder Comparison Calculator
Compare three funders across max offer, factor rates, commission, residual, and funding speed.
Why Compare Funders Systematically?
Experienced MCA brokers maintain relationships with 10-40+ funders, each with different strengths. Some offer the lowest factor rates (best for merchant), others pay the highest commissions (best for broker upfront), and still others provide the fastest funding or best residual splits (best for long-term broker income). Choosing the right funder for each deal requires balancing merchant cost, broker compensation, funding speed, and approval likelihood. This calculator normalizes the comparison across three funders on five key dimensions and identifies the best choice depending on your priority -- merchant cost, immediate income, or long-term value. It replaces gut-feel funder selection with data-driven decisions.
How to Use This Calculator
Enter each funder's terms
Pull the max offer, buy rate, commission, residual split, and funding timeline from each funder's offer or rate sheet. Use deal-specific offers when available.
Review the multi-dimensional comparison
The calculator identifies the best funder for the merchant (lowest cost), best for upfront broker income, and best for 12-month total income. These may be three different funders.
Make a balanced decision
The "best overall score" weights all dimensions. Use it as a starting point, then apply judgment based on factors the calculator does not capture (funder reliability, renewal economics, clawback terms).
Key Concepts
Multi-Dimensional Comparison
Evaluating funders across multiple attributes simultaneously rather than focusing on a single metric. A funder with the best factor rate may have the worst commission -- the optimal choice depends on what you prioritize.
Funding Speed Premium
Faster funding has value to merchants who need capital urgently. Some merchants will accept a higher factor rate for same-day funding versus waiting 3-5 days. This premium is real and should be factored into funder selection.
Composite Score
A weighted score combining merchant cost (lower is better), broker compensation (higher is better), and funding speed (faster is better). Weights can be adjusted based on deal priorities.
Expert Insights
The Funder for the Deal, Not the Deal for the Funder: Inexperienced brokers send every deal to their favorite funder. Experienced brokers match each deal to the funder whose underwriting criteria best fit the merchant profile. A restaurant with strong deposits but low credit goes to the funder that weights deposits heavily. A trucking company goes to a funder that specializes in trucking. Matching deal to funder increases approval rates by 20-40% and gets better terms.
Relationship Depth Matters More Than Breadth: Having 40 funder relationships where you send one deal per month to each is less valuable than having 8 funder relationships where you send 5 deals per month to each. Deep relationships (consistent volume) unlock better buy rates, faster processing, and priority underwriting. Concentrate your volume with a core group of funders while maintaining backup relationships for niche deals.
Frequently Asked Questions
Results are estimates for educational purposes only. Actual amounts may vary based on your specific financial situation, market conditions, and other factors. This calculator does not constitute financial advice.
Run These Numbers Too
Split Comparison Calculator
Compare compensation structures across three funders to find the best total deal for your business.
Advance Speed Value Calculator
Quantify the economic value of faster funding to help merchants weigh speed versus cost.
Funder Reliability Scorer
Score funders on operational reliability metrics including funding speed, approval rate, and support.
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