An MCA renewal is a new advance offered after you've repaid 50-75% of your current one cleanly, typically at an improved factor rate that rewards your repayment history. See the full MCA renewal guide for the timeline, renewal vs. stacking distinction, and questions to ask before signing.
Enter Your Current Advance Details
Assumes a 200 business-day term for the renewal position. Renewal factor rate uses the midpoint of the typical range for your selected cycle. Representative estimates, not a quote. Actual terms depend on underwriting.
Baseline Example: $50,000 First Renewal
The default example above, shown as a static table for crawlers and non-JS readers:
| Metric | Value |
|---|---|
| Original advance / factor rate | $50,000 / 1.32 |
| Remaining balance at renewal | $20,000 |
| Renewal cycle / estimated factor rate | First renewal / 1.25 |
| Renewal advance amount / term | $50,000 over 200 business days |
| New total repayment / daily payment | $62,500.00 ($312.50/day) |
| Effective APR of renewal position (IRR method) | ~60.1% APR |
| Net proceeds after retiring old balance | $50,000 − $20,000 = $30,000 |
| Savings vs. original 1.32 rate (same $50K amount) | $66,000 − $62,500 = $3,500 |
*Note: Effective APR is calculated using the Internal Rate of Return (IRR) on the daily payment stream, annualized over 260 business days, for comparative purposes only. Renewal factor rate uses the midpoint of the typical range published for the selected renewal cycle. See the MCA renewal guide for the full rate-compression table. Actual terms depend on underwriting and are confirmed via a formal renewal offer.
Factor Rate Compression by Renewal Cycle
Rate midpoints used by this calculator, per renewal cycle. Bar length is proportional to the factor rate value.
Get Competing Offers Before You Renew
The renewal rate in this calculator is an estimate based on published industry rate-compression ranges. The real number comes from a written renewal offer, and it's worth comparing more than one. Your current funder has an incentive to offer a competitive rate, but having your ISO submit for competing offers at renewal time often produces a better result than accepting the first offer.
→ Not sure if renewal or consolidation makes more sense for your situation? Check your eligibility across 5 funding products with the Fast Business Funding Eligibility Engine.
→ Already have a written renewal quote? Confirm the numbers with the MCA Payoff Calculator if you're retiring more than one position.
→ Some states require your renewal offer to disclose an APR-equivalent figure. See the State Commercial Financing Disclosure Matrix.
Frequently Asked Questions
How is an MCA renewal factor rate estimated?
Renewal factor rates typically compress with each clean repayment cycle: first renewal 1.22-1.28, second renewal 1.18-1.24, third-plus renewal 1.14-1.20, versus 1.29-1.36 for a first-time advance with no history. This calculator uses the midpoint of the applicable range for your selected renewal cycle. Your actual rate depends on your specific repayment history, revenue, and funder underwriting; confirm with a written renewal offer before relying on any estimate.
How is the renewal savings figure calculated?
The calculator compares your estimated renewal total repayment against what the same advance amount would cost at your original (first-time) factor rate. For example, a $50,000 renewal at a 1.25 estimated renewal rate costs $62,500 total, versus $66,000 at an original 1.32 rate, a $3,500 savings from the rate improvement alone, before accounting for any additional capital.
When am I actually eligible for a renewal?
Most funders will offer a renewal once you've repaid roughly 50-75% of your original advance with no missed payments or NSF fees. Some funders reach out proactively at the 50% mark; others wait until 75%. A clean repayment history is the single biggest factor. See the full MCA renewal guide for the complete breakdown.
Is this a guaranteed renewal rate or offer?
No. This tool produces an educational estimate using typical, publicly reported rate-compression ranges, not a formal underwriting decision. T.A.G. is a business capital broker connecting applicants to funding partners; your actual renewal rate, amount, and term depend on your specific repayment history, revenue, and full underwriting review.