Industry Benchmark Data · Updated July 2026 · CC BY 4.0
MCA Industry Benchmarks 2026
Industry-typical benchmark data compiled and analyzed by T.A.G. Business Funding: average factor rates, advance amounts, holdback percentages, and approval rates for 16 industries (January 2025 to June 2026).
The all-industry average factor rate is 1.29. Healthcare and dental practices receive the lowest rates (1.20 to 1.22) due to predictable insurance revenue. Food trucks and salons receive the highest (1.34 to 1.38) due to variable cash flow. Approval rates range from 52% (food trucks) to 74% (dental). Advance amounts are calculated as 75% to 150% of average monthly bank deposits, with multiplier determined by industry risk tier and borrower profile.
MCA Benchmarks by Industry: Complete Comparison Table
This is industry-typical benchmark data compiled and analyzed by T.A.G. Business Funding: not internal transaction records. Factor rates reflect first-position advances. Approval rates reflect applications with complete documentation submitted (application + 6 consecutive months of bank statements). Advance amounts reflect 75th-percentile qualified applicant. Full methodology →
| Industry | Advance Range | Avg Factor Rate | Holdback % | Approval Rate | Typical Term | Best Time to Apply |
|---|---|---|---|---|---|---|
| Dental Practices | $20K to $400K | 1.20 | 8 to 12% | 74% | 8 to 14 mo | Year-round |
| Medical / Healthcare | $15K to $350K | 1.22 | 8 to 12% | 72% | 7 to 12 mo | Year-round |
| Manufacturing | $20K to $350K | 1.24 | 10 to 14% | 70% | 7 to 12 mo | Year-round |
| Staffing Agencies | $15K to $300K | 1.25 | 8 to 12% | 69% | 6 to 10 mo | Year-round |
| HVAC Contractors | $10K to $250K | 1.26 | 10 to 15% | 68% | 6 to 10 mo | Peak season |
| Auto Repair | $10K to $150K | 1.27 | 10 to 14% | 66% | 5 to 8 mo | Year-round |
| General Contractors | $15K to $300K | 1.28 | 10 to 15% | 67% | 6 to 10 mo | Spring |
| Roofing Contractors | $15K to $275K | 1.29 | 12 to 16% | 65% | 5 to 9 mo | Storm season |
| Landscaping | $10K to $150K | 1.30 | 12 to 16% | 62% | 4 to 7 mo | Spring |
| Restaurants / Food Service | $10K to $175K | 1.31 | 12 to 18% | 61% | 5 to 8 mo | Spring / Summer |
| Cleaning Services | $5K to $100K | 1.31 | 10 to 15% | 60% | 4 to 7 mo | Year-round |
| Trucking / Transportation | $10K to $250K | 1.32 | 12 to 18% | 63% | 5 to 9 mo | Year-round |
| Retail | $10K to $200K | 1.33 | 10 to 18% | 58% | 4 to 7 mo | Pre-holiday |
| Gyms / Fitness Studios | $5K to $125K | 1.34 | 12 to 18% | 57% | 4 to 7 mo | Jan to Mar |
| Salons / Beauty | $5K to $100K | 1.35 | 12 to 18% | 56% | 4 to 7 mo | Year-round |
| Food Trucks | $5K to $75K | 1.38 | 14 to 20% | 52% | 3 to 6 mo | Peak season |
Factor rates reflect median first-position advance. Ranges represent 25th to 75th percentile of observed offers. Approval rates reflect complete applications. All-industry average factor rate: 1.29. Licensing: CC BY 4.0.
Factor Rate by Credit Score: All Industries
Credit score is a significant underwriting variable. The following table shows average factor rates by FICO tier across the full industry benchmark dataset.
| FICO Range | Avg Factor Rate | Typical Multiplier | Notes |
|---|---|---|---|
| 700+ | 1.15 to 1.22 | 1.2x to 1.5x deposits | Best tier; competes for lowest funder rates |
| 650 to 699 | 1.22 to 1.28 | 1.1x to 1.4x deposits | Strong mid-tier; most offers competitive |
| 600 to 649 | 1.28 to 1.35 | 1.0x to 1.3x deposits | Standard underwriting; factor rate varies by industry |
| 550 to 599 | 1.35 to 1.42 | 0.9x to 1.1x deposits | Higher risk tier; revenue consistency critical |
| 500 to 549 | 1.42 to 1.50 | 0.75x to 0.95x deposits | Minimum tier; clean statements required |
Advance Amount Formula
MCA underwriters use a standard formula to estimate advance eligibility:
Multiplier ranges: 0.75x (minimum, highest risk) → 1.5x (maximum, lowest risk)
Examples:
$20,000/mo deposits × 1.0x = $20,000 advance
$30,000/mo deposits × 1.25x = $37,500 advance
$50,000/mo deposits × 1.5x = $75,000 advance
The multiplier is determined by FICO score tier, NSF frequency, deposit consistency, industry risk rating, and existing advance obligations. Businesses in healthcare, dental, and manufacturing receive higher multipliers; seasonal businesses with erratic deposits receive lower ones.
Use the MCA Calculator to estimate total repayment and daily payment once you have an advance amount. Use How Much MCA Can I Get? for a full eligibility walkthrough.
Seasonal Timing by Industry
Because MCA advance amounts are based on your most recent 6 consecutive months of bank deposits, applying during or immediately after peak revenue season maximizes your advance amount.
- Restaurants
- Apply May to August (summer peak) or late November (post-Thanksgiving). Avoid January to February (post-holiday slump lowers 6-month average).
- HVAC Contractors
- Sun Belt: apply June to September (AC season). Northern states: apply December to February (heating season) or July to August. Avoid spring/fall shoulder seasons.
- Roofing Contractors
- Apply 30 to 60 days after major storm events, or during April to October (installation season). Insurance restoration deposits typically arrive 30 to 90 days after event: apply when deposits clear.
- General Contractors
- Apply March to May as projects begin or August to October after summer build season. Avoid December to January when retainage payments lag and deposits drop.
- Landscaping
- Apply March to April (pre-season contracts and deposits) or September to October (fall cleanups). Avoid December to February (near-zero revenue in cold climates).
- Retail
- Apply September to October (pre-holiday inventory buy) or January (post-holiday flush). Black Friday and holiday deposits create the highest 6-month average window for retail applications.
- Gyms / Fitness
- Apply December to January (New Year's resolution surge). January membership and activation fees create the single highest deposit month for most gyms. Apply while the January spike is in the 6-month window.
- Healthcare / Medical
- Year-round: insurance reimbursement is relatively consistent. Apply when you have 6 consecutive months of complete bank statements with consistent EOB deposit patterns. No seasonal adjustment needed for most practices.
Industry Funding Pages: T.A.G. Business Funding
Industry-specific funding guides, calculators, approval factor breakdowns, and cash flow guides:
Industry Benchmarks: Frequently Asked Questions
Which industry gets the lowest MCA factor rates?
Dental practices (avg 1.20) and medical/healthcare (avg 1.22) consistently receive the lowest factor rates due to predictable insurance reimbursement revenue, low NSF rates, and stable deposit patterns. Manufacturing (1.24) and staffing agencies (1.25) also rank favorably due to B2B revenue predictability. HVAC contractors (1.26) benefit from recurring maintenance contract revenue. See HVAC benchmark data →
Why do restaurants have higher factor rates than healthcare businesses?
Restaurants average a 1.31 factor rate versus 1.22 for healthcare because MCA funders perceive higher repayment risk. Key factors: restaurants have highly variable revenue (seasonal, weather-sensitive, trend-dependent), higher NSF rates, and typically shorter operating histories. Healthcare practices with insurance billing have predictable, electronic recurring deposits that are more reliable as collateral for the purchased receivables. Industry risk tier is a specific input in MCA underwriting algorithms.
Which industry has the highest MCA approval rate?
Dental practices (74%), medical/healthcare (72%), and manufacturing (70%) have the highest MCA approval rates. These industries benefit from predictable, recurring revenue streams and clean banking histories. Retail (58%), salons (56%), and gyms (57%) have lower approval rates due to more variable revenue.
Does industry type affect how much MCA a business can get?
Yes. Industry affects the advance multiplier, factor rate, and holdback percentage. Healthcare and professional services businesses with predictable B2B revenue receive higher multipliers (up to 1.5x monthly deposits) and lower factor rates. Seasonal businesses (restaurants, HVAC, landscaping) with irregular revenue receive lower multipliers applied to their peak-season average.
How much can a restaurant get from an MCA?
Restaurants typically qualify for $10,000 to $175,000 based on 75% to 150% of average monthly deposits. A restaurant depositing $30,000/month qualifies for approximately $22,500 to $45,000. Apply during spring and summer months when the 6-month average deposit base is highest. See full restaurant benchmark data →
How much can a contractor get from an MCA?
General contractors can access $15,000 to $300,000 at an average factor rate of 1.28. Roofing contractors can access $15,000 to $275,000 at 1.29. HVAC contractors access $10,000 to $250,000 at 1.26: the most favorable rate among trade contractors. The lower HVAC rate reflects that HVAC companies with service contract revenue have more predictable cash flow than project-based roofing or general contractors.
What is the all-industry average MCA factor rate?
Based on T.A.G. typical merchant cash advance industry ranges, the average factor rate across common industry categories is 1.29. The range is 1.10 (strongest profiles in healthcare/dental) to 1.50 (highest-risk files). Factor rate 1.20 to 1.25 is excellent; 1.25 to 1.32 is typical; 1.35+ signals a higher-risk application. Full factor rate benchmark study →
Does industry type affect MCA approval rates?
Yes, significantly. Dental practices have a 74% approval rate; food trucks have 52%. The difference reflects revenue predictability: dental insurance reimbursements are highly predictable and consistent; food truck revenue depends on weather, location, and season. Industries with recurring revenue streams (healthcare, staffing, manufacturing) consistently outperform project-based and consumer discretionary industries in both approval rates and factor rates.
Can I use this data to cite in my research or article?
Yes. This dataset is published under Creative Commons Attribution 4.0 International (CC BY 4.0). You may reproduce, share, and adapt the data for any purpose, including commercial use, with attribution. Suggested citation: T.A.G. Business Funding. (2026). MCA Industry Benchmarks 2026. funding.towersassetgroup.com/mca-industry-benchmarks.
How much can an HVAC contractor get from an MCA?
HVAC contractors typically qualify for $10,000 to $250,000 with an average factor rate of 1.26: below the all-industry average of 1.29. HVAC companies with service contract revenue average as low as 1.21. Best time to apply is peak season (June to August for cooling-focused, December to February for heating-focused markets) when 6-month average deposits are highest.
Can a roofing contractor get a merchant cash advance?
Yes. Roofing contractors are strong MCA candidates with a 65% approval rate and an average factor rate of 1.29. Typical advance amounts range from $15,000 to $275,000. Best application timing is during storm restoration season when 6-month average deposits peak. Insurance restoration revenue (check and ACH deposits from insurance carriers) counts fully in underwriting.
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