Merchant Growth Business Loan review
- APR Range
- 12.99% - 39.99%
- Loan Amount
- $5,000 - $800,000
- Loan Term
- 6 - 24 months
- Minimum Revenue
- $10,000 /month
- Minimum Time in Business
- 6 months
Summary
Choose from a variety of business financing options, and get funded in as little as 24 hours.
Merchant Growth offers financing with fixed and flexible repayment options for both traditional and e-commerce businesses. Minimum requirements include $10,000 in monthly sales, 6 months or more in business and a credit score of at least 550.
Pros
-
Borrow as much as $800,000
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Established lender
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More flexible eligibility requirements than banks
Cons
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More expensive than banks
What is Merchant Growth?
Formerly named Merchant Advance Capital, Merchant Growth provides alternative financing solutions for small businesses. The company offers lines of credit; merchant cash advances; Buy Now, Pay Later solutions; business loans with fixed repayments and e-commerce loans with flexible repayments.
With Merchant Growth, business owners can borrow between $5,000 and $800,000. Interest rates range from 12.99% to 39.99%. Once approved, funds are released within 24 hours.
Is Merchant Growth legitimate?
Merchant Growth was founded in 2009 by David Gens. In 2014, Business in Vancouver (BIV) recognized Gens in its “Top 40 Under 40” list. In 2018, Gens was nominated for the EY Entrepreneur of the Year awards.
Along with Elias Beaino (Executive Vice President of Tabit), Gens hosts Fintrepreneur, a biweekly podcast covering topics in finance, fintech, entrepreneurship and banking. Fintrepreneur is available on Spotify, Audible and RedCircle.
Merchant Growth is privately owned and is headquartered in Vancouver. It’s office is located at 1500 West Georgia Street (6th Floor) Vancouver, BC V6G 2Z6.
Merchant Growth business loan details
| Product name | Merchant Growth Business Loan |
| APR range | 12.99% - 39.99% |
| Interest rate type | Fixed |
| Loan security | Unsecured |
| Minimum/maximum amount | $5,000 - $800,000 |
| Loan terms | 6 - 24 months |
| Requirements: |
|
| Fees | Interest rates vary from 12.99% to 39.99% |
| Availability | All of Canada |
What we like about Merchant Growth
- Easy to apply. Fill out the online application in just 5 minutes.
- Quick funding. Once approved, funds will arrive in your bank account in as little as 24 hours.
- High maximum. You can apply for up to $800,000 in funding.
- No collateral required. There’s no need to secure your loan with assets like your home or vehicle.
- Multiple loan types. Merchant Growth offers lines of credit, merchant cash advances, fixed financing and flexible financing for e-commerce businesses.
What to watch out for
- Monthly sales requirements. You need monthly sales of at least $10,000 to qualify.
- Not suitable for startups. You won’t be eligible for funds if your business is less than 6 months old.
- Credit score requirement. You’ll need a credit score of at least 550, even if your business has high revenue. Although your credit score isn’t the only factor considered during the application process, a lower score will likely result in a higher interest rate.
Summary of Merchant Growth reviews
| BBB accredited | Yes |
| BBB rating | A+ |
| BBB customer reviews | (No reviews) |
| Trustpilot Score | 4.8 out of 5 stars based on 156 reviews |
| Google customer reviews | 3.9 out of 5 based on 22 reviews |
| Customer reviews verified as of | September 22, 2022 |
As of the time of writing, customer reviews of Merchant Growth are overwhelmingly positive, although a handful of reviews mention complications with the application process.
How Merchant Growth compares to other providers
What types of loans are available through Merchant Growth?
- E-commerce Financing. Designed to suit the needs of online businesses, this type of financing comes with flexible repayments that equal a reasonable portion of your daily or weekly card sales. Funds can be used for anything your business needs.
- Fixed Financing. Similar to a traditional business loan, fixed financing comes with set payments and fixed interest rates ranging from 12.99% to 39.99%. This type of loan is suitable for businesses with predictable, nonfluctuating revenue streams.
- Line of Credit. Only make repayments when you tap into a pool of available credit. If you don’t use any money, you don’t make repayments.
- Merchant Cash Advance. Borrow against incoming cash flow, and pay back your debt with a portion of your daily card sales.
Am I eligible for a loan?
To be eligible for business financing through Merchant Growth, your business must:
- Be based in Canada
- Be at least 6 months old
- Be earning at least $10,000 in monthly sales
- (For e-commerce financing) Accept credit/debit card payments
You must also be at least the age of majority in your province or territory (either 18 or 19 years old) and have a credit score of at least 550.
Required documents:
- Proof of ID. You’ll have to upload a copy of valid, government-issued ID such as your passport or driver’s license.
- Business bank account statements. Verify that you meet the monthly sales requirements by providing your most recent business bank account statements.
- Other financial documents. You may be asked for other documents such as articles of incorporation (if applicable).
How to apply
Merchant Growth’s online application is quick and straightforward. After applying, you’ll have to connect with a representative over the phone to submit additional information (if necessary) and complete the process. Here’s how it works:
- Click the green Apply now button below to be securely redirected to Merchant Growth’s online application.
- Enter your first and last name, email and company name. Select Let’s Go.
- Provide basic business information like your industry, annual revenue, business name and time in operation.
- Provide personal information like your date of birth, phone number, home address and business address.
- Agree to the terms and conditions, and select Submit My Application.
- You’ll have the option to let Merchant Growth view your business bank account by connecting electronically to your bank. You can also do this later, which may delay your application.
- After submitting your application, you’ll be contacted within 24 hours to finish the process (additional documents may be required) and find out if you’ve been approved.
How much will a Merchant Growth loan cost?
The cost of a Merchant Growth loan depends on a range of factors like the term length, your credit score and your business’s industry, revenue and seasonality. Interest rates generally range from 12.99% to 39.99%.
Lower rates are usually offered to businesses with a strong credit history, high sales and low debt. The further you are from this standard, the higher your rate will likely be. Speak to your Merchant Growth representative at the time of application to find out if it’s possible to pay off your loan at any time without paying a penalty.
Bottom line
Merchant Growth makes it easy to get the funding your business needs, with attractive financing options for traditional and e-commerce businesses. However, startups and businesses with less than $10,000 in monthly revenue will need to look elsewhere.
Frequently asked questions
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