Kalamata Capital logo

Kalamata Capital

Best for Bad Credit

Got a 460 FICO and a bankruptcy? Kalamata will still look at your bank deposits and make a real decision

4.0
(650+ reviews)
Michael Chen Written by Michael Chen, CFA, CFP
Rachel Kim Reviewed by Rachel Kim, JD, CRCM
Updated: March 7, 2026

At a Glance

Founded
2015
Headquarters
Huntington Beach, CA
Employees
20-50
Total Funded
$200M+
Min Credit Score
450+
BBB Rating
A-

Rating Breakdown

Performance Overview

Scores out of 5, based on our editorial analysis

About Kalamata Capital

Kalamata Capital exists to serve the segment of the MCA market that almost everyone else turns away: business owners with FICO scores in the 450-550 range, recent Chapter 7 or Chapter 13 bankruptcies (even those not yet discharged in some cases), active tax liens, and other severe credit impairments. Their underwriting model is almost purely revenue-based — they care about your bank deposits and daily business cash flow, not your personal credit history. A business owner with a 460 FICO, a bankruptcy discharged 14 months ago, and $25K/month in stable deposits is a viable Kalamata candidate. At most other MCA providers, that application would be auto-declined before a human ever looked at it. The cost of this accessibility is pricing. Kalamata's factor rates range from 1.20 to 1.50, with most deals for their core bad-credit clientele landing in the 1.35-1.48 range. On a $50,000 advance at a 1.40 factor rate, you are repaying $70,000 — a $20,000 cost of capital that translates to a triple-digit effective APR. This is expensive by any objective measure, but the relevant comparison is not what a 650-FICO business owner pays at OnDeck; it is what a 470-FICO owner's alternatives are. Those alternatives are often either no funding at all (killing the business) or predatory bottom-tier funders charging 1.55-1.75 with confession-of-judgment clauses. In that context, Kalamata's 1.35-1.48 factor rates with BBB accreditation represent a meaningful improvement. Kalamata is the right choice when your credit profile has eliminated every other option. If your FICO is above 550 and your business has 6+ months of history, try Credibly or National Funding first — you will get meaningfully better factor rates. If you have a 480 FICO, a recent bankruptcy, or both, Kalamata is one of the few BBB-accredited providers that will give you a serious look. Be realistic about the cost: at a 1.40 factor rate with daily ACH, your business needs sufficient margin and cash flow to absorb both the daily payment and still operate profitably. If the math does not work, the advance will create more problems than it solves.

Key Features

Low Credit Score Accepted

Kalamata underwrites businesses with FICO scores as low as 450, which is 50-100 points below what most MCA funders will consider. They accomplish this by weighting bank deposit patterns at approximately 80% of the underwriting decision versus 20% for credit metrics. However, sub-500 FICO applicants should expect factor rates in the 1.35-1.50 range — the advertised floor of 1.20 is reserved for borrowers with 600+ scores and clean deposit histories.

Revenue-Based Underwriting

Kalamata analyzes 90 days of bank statements looking for three specific signals: average daily ending balance (minimum \$1,500 preferred), monthly deposit volume (\$10K+ required), and deposit consistency (they penalize months where deposits swing more than 30% from the rolling average). They do pull personal credit but primarily to check for existing MCA positions via UCC filings, active liens, and recent charge-offs — not for FICO-based decisioning. A 460 FICO with \$25K/month in steady deposits will outweigh a 650 FICO with erratic \$12K deposits.

Same-Day Funding Available

Same-day funding is available for deals submitted and signed before 11am Pacific with complete documentation. Most deals realistically fund next-business-day. Same-day is more common for renewals than first-time advances because existing clients already have bank verification and UCC paperwork on file. First-time applicants with complex profiles — multiple existing MCA positions, recent legal judgments, or unresolved tax liens — typically take 2-3 business days due to additional verification requirements.

Multiple Product Options

While daily-ACH merchant cash advances are Kalamata's core product, they also offer short-term business loans (for borrowers with 580+ FICO who qualify for a loan rather than purchase-of-receivables structure), equipment financing tied to specific assets, and a small revolving credit product for repeat clients with clean history. The non-MCA products carry lower effective rates but stricter qualification requirements, so the majority of sub-500 FICO clients end up in the MCA product by default.

Simple Application Process

Kalamata requires a one-page application and 3 months of business bank statements — nothing else for MCA applications under \$75K. No tax returns, P&L statements, business plans, or financial projections needed. For larger requests (\$75K-\$150K), they may ask for a voided check, copy of the business lease, and proof of ownership. The minimal documentation is a genuine advantage for businesses with messy or incomplete financial records that would struggle with the extensive paperwork requirements of traditional lenders.

How It Works

1

Quick Application

Complete a brief online application with your business name, revenue information, and desired funding amount.

2

Document Submission

Upload 3 months of business bank statements. No tax returns or financial statements required in most cases.

3

Approval & Offer

Receive a funding offer with factor rate, repayment terms, and advance amount within hours of applying.

4

Funding

Sign the agreement electronically and receive funds deposited to your business account, often the same day.

What They Do

  • Merchant Cash Advance
  • Short-Term Loans
  • Line of Credit
  • Equipment Financing
  • Invoice Factoring

Debt Types They Take On

  • Merchant Cash Advance
  • Short-Term Loan
  • Revenue-Based Financing
  • Working Capital
  • Equipment Financing

Fee & Cost Structure

Factor Rate
1.20 - 1.50
Holdback
12% - 22% of daily deposits
Funding Speed
Same day - 2 business days

Regulatory & Trust

BBB Rating
A-
CFPB Complaints
< 10
Accreditations
BBB Accredited
States Served
All 50 states

Review Summary

4.0
Trustpilot
4.1
Google
650+
Total Reviews

Notable Case Studies

Auto Repair Shop Post-Bankruptcy — $50K Advance

An auto repair shop owner in Riverside, CA with a 480 FICO and a Chapter 7 bankruptcy discharged 14 months prior needed \$50,000 for a new lift, diagnostic equipment, and parts inventory. The shop was doing \$28K/month in revenue. The owner had been declined by Credibly (bankruptcy too recent), National Funding (FICO too low), and his bank.

Kalamata approved \$50,000 at a 1.38 factor rate based solely on deposit analysis — 12 months of consistent \$28K/month deposits with zero NSFs. Total repayment: \$69,000. Daily ACH of \$345 over approximately 200 business days (10 months). The new equipment allowed the shop to take on higher-margin transmission and engine work, pushing monthly revenue to \$38K. The \$19,000 cost of capital was offset by \$120K in incremental annual revenue.

Trucking Company Emergency Repair — $30K Advance

An owner-operator trucking company with 2 trucks needed \$30,000 for an emergency engine rebuild on a Freightliner Cascadia. The owner had a 510 FICO with an active IRS payment plan for \$22K in back taxes. Both trucks were generating \$18K/month combined when both were running; the broken truck represented \$9K/month in lost revenue for every week it sat idle.

Kalamata funded \$30,000 at a 1.42 factor rate within 24 hours, despite the active tax lien and low credit score. Total repayment: \$42,600. Daily ACH of \$284 over approximately 150 business days (7 months). The truck was back on the road in 5 days, restoring \$9K/month in revenue. The \$12,600 cost of capital was recovered in under 6 weeks of restored operations — a situation where speed and accessibility mattered far more than factor rate.

Pros & Cons

Pros

  • Accepts FICO scores as low as 450 — one of the lowest thresholds among BBB-accredited MCA providers, serving business owners that virtually every other reputable funder declines
  • Revenue-based underwriting that de-emphasizes personal credit: recent bankruptcies, tax liens, and collections are evaluated in context rather than treated as automatic disqualifiers
  • Same-day funding available for straightforward applications, which is critical for emergency situations where each day of delay costs real revenue
  • Simple application process requiring only a one-page form and 3 months of bank statements — no tax returns, business plans, or financial projections
  • Multiple product options (MCA, term loans, lines of credit, equipment financing) mean you are not automatically forced into the most expensive product category

Cons

  • Factor rates of 1.35-1.48 for their core bad-credit clientele translate to triple-digit effective APRs — dramatically more expensive than what a 600+ FICO borrower pays at OnDeck or Fora Financial
  • Maximum advance amounts are lower than larger funders: most first-time Kalamata deals cap at \$150K-\$200K, versus \$500K at Yellowstone or \$10M at Rapid Finance
  • Daily ACH repayment with holdbacks of 12-22% of deposits can strain cash flow for low-margin businesses — a 20% holdback on \$25K/month in deposits means \$5K/month less available for operations
  • The very flexibility that makes Kalamata accessible also means the businesses they fund have higher default rates industry-wide, which keeps their factor rates elevated even for stronger applicants within their target segment

User Reviews (22)

3.5
22 reviews
5 stars
7
4 stars
5
3 stars
5
2 stars
3
1 star
2
Showing 10 of 22 reviews
M
Mitch
Dec 10, 2026

reliable

Worked out fine. $12K at 1.22. Nothing special but nothing bad either.

D
Diana
Jul 14, 2026

4 out of 5

Used them for parking lot repaving. $18K funded pretty quick. Taking off a star for the origination fee that wasn't mentioned until the contract.

K
Keith O.
Feb 5, 2026

criminal

DO NOT USE Kalamata Capital!!! Took $30K for my convenience store and the payments are DESTROYING me. Called them 5 times and got 5 different answers. SCAM!!!

F
Fran
Sep 24, 2025

smooth process

Fast. Easy. Done. $35K in my account.

E
Ed N.
Sep 13, 2025

save your money

They said funding in 24 hours but it took 4 days. Contract had fees I wasn't told about. $15K for my roofing company.

H
Hank L.
Aug 8, 2025

good experience

Used them for my cleaning company. Fast and easy.

D
Deb
Jul 15, 2025

overpriced

Kalamata Capital is just another MCA company. $30K at 1.30. They're all the same honestly. Fast money expensive money.

D
Dennis K.
May 20, 2025

ok overall

would recommend

D
Dawn
May 12, 2025

highly recommend

I was nervous about MCAs but Kalamata Capital was upfront about everything. $45K at 1.19, daily payments, total cost. No hidden stuff.

B
Barb H.
Mar 16, 2025

mixed feelings

not bad

Write a Review

Frequently Asked Questions

Usually, yes. A discharged Chapter 7 — even one from just 6-12 months ago — is generally fine as long as your current business deposits are steady. Active Chapter 13 plans are trickier and get looked at case by case. If your plan payments are current and your cash flow can clearly support both the plan and the MCA payment, there's a path. Newly filed or unfiled bankruptcies are usually a hard stop.
Kalamata requires a minimum of approximately \$10,000 per month in business bank deposits. However, the advance amount and factor rate are directly tied to your deposit volume. At \$10K/month, expect a small advance (\$5K-\$15K) at a higher factor rate (1.40-1.50). At \$30K+/month with stable deposits, you become eligible for larger advances (\$50K-\$150K) at better factor rates (1.30-1.40).
They pull it, but they're not using it the way a bank does. A 460 FICO won't kill your application if your deposits are solid. What the credit pull really does is surface other things: existing MCA positions (they can see UCC filings), tax liens you didn't mention, pending judgments. Think of it as a background check more than a credit gate. The initial pull is soft — no impact on your score. Hard pull only happens if you accept an offer.
Same-day funding is available for straightforward applications submitted before noon PT with complete documentation. Applications submitted later in the day or those requiring additional review (e.g., active tax liens, multiple existing MCA positions) typically fund within 1-2 business days. The speed advantage is particularly valuable for emergency situations — like vehicle breakdowns for trucking companies or equipment failures for restaurants — where every day of delay means lost revenue.
Kalamata generally does not allow stacking multiple advances from their own portfolio simultaneously. However, they will consider a second position if you have an existing MCA from a different provider, though the factor rate will be significantly higher (often 1.45-1.50) to account for the increased risk. Stacking MCAs from multiple providers is one of the most dangerous practices in the MCA space and dramatically increases default risk. Kalamata advises waiting until an existing advance is at least 50% repaid before seeking additional capital.

Embed This Badge on Your Website

Kalamata Capital has earned a Best for Bad Credit designation from Zogby. Display this badge on your website to showcase your rating.

Paste this code anywhere in your website's HTML. The badge links back to your full Zogby review.

Important Merchant Cash Advance Disclaimers

  • Merchant cash advances are not loans. They are purchases of future receivables at a discount. Factor rates, not APRs, determine the total cost of capital. Effective APRs on merchant cash advances can range from 40% to over 350% depending on the factor rate and repayment speed.
  • Repayment is typically made through daily or weekly automatic ACH debits from your business bank account. Missing or reversing these payments may trigger default provisions including accelerated repayment, increased factor rates, or legal action.
  • Many MCA agreements include a personal guarantee and/or a confession of judgment (COJ). A confession of judgment allows the funder to obtain a court judgment against you without prior notice or a hearing. Some states have restricted or banned confessions of judgment.
  • MCA funding may require a UCC-1 filing (blanket lien) on your business assets. This lien can affect your ability to obtain other financing and may remain on file even after the advance is repaid. Confirm lien release procedures before signing.
  • There is no federal regulation specifically governing merchant cash advances. MCAs are not subject to Truth in Lending Act (TILA) disclosure requirements. Some states have enacted disclosure laws, but protections vary significantly by jurisdiction.
  • Stacking multiple merchant cash advances simultaneously increases your risk of default and can create a debt cycle that is difficult to escape. Carefully evaluate your business cash flow before taking on additional advances.
  • Zogby does not provide merchant cash advances or business funding. We are an independent comparison service. We do not broker, originate, or service any financial products. All offers are subject to the funder's terms and conditions.

This page is informational, not financial or legal advice. Talk to a qualified professional before making any big money decisions.

Editorial Independence

We make money from some companies on this page. That doesn't change our rankings -- the editorial team scores every product independently, and the business side has no say in what we recommend.

Last Updated
March 7, 2026
Fact-Checked
March 5, 2026