# How long you need to be in business to get funding

URL: https://cheapcheapwebsites.com/business-funding/how-long-in-business-to-get-funding/
Updated October 15, 2026. Funding offered by Merchant Fund Express (https://merchantfundexpress.com/qualify/how-long-in-business-to-get-funding/); Cheap Cheap Websites builds websites and does not lend.

## The short answer
At Merchant Fund Express, a merchant cash advance often starts around 3 months in business, working capital loans and equipment financing often around 6 months, and lines of credit usually around 1 year. These are planning guidelines, not approval rules. Revenue, credit and how clean your bank statements look count just as much as the calendar.

## What changes at each milestone
Time open What usually opens up What to expect Under 3 months Very little outside funding Use savings, partners or local microloans 3 to 6 months Merchant cash advance Smaller amounts, shorter terms, higher cost 6 to 12 months Working capital loans, equipment financing More choice if revenue and credit meet guidelines 1 to 3 years Lines of credit Revolving access, better pricing with strong credit 3+ years Larger amounts, longer terms Financials and tax returns carry more weight MFE's time in business guide lists the same guidelines.

## Why time in business matters
Every month open is another month of proof that customers keep paying you. Funders use it to judge how likely sales are to continue. A business that survived its first slow season, raised prices or kept staff through a rough quarter looks very different from one that opened eight weeks ago. Time in business is usually counted from the date the business started operating, often shown by the formation date, business license or the first month of business bank deposits.

## Who can apply now and who should wait
Apply now: owners past a milestone with steady deposits, a clear use of funds and no surprise gaps on the statements. Sole proprietors count time in business the same way as companies. Wait: owners just short of a milestone, especially those at month five eyeing a working capital loan, or month ten eyeing a line of credit. A few more weeks can move you into a lower-cost product. Very new owners should read funding for young businesses .

## Illustrative example: eight months open
Assumptions: a bakery open eight months with about $30,000 a month in deposits and a 640 credit score. It meets the common working capital loan guidelines. Loan of $40,000, 3% fee, 12-month term with weekly payments, total repayment of $50,400. Item Amount Loan amount $40,000 Fee (3%) $1,200 Net cash received $38,800 Total repayment $50,400 Weekly payment ($50,400 / 52) $969.23 Total cost (repayment minus net cash) $11,600 Illustrative example only. At month four, the same bakery would likely only see advance offers, which are usually shorter and cost more per dollar. The extra four months changed the menu of products, not just the price. These figures are illustrations, not offers. Real pricing, amounts and terms depend on the full file.

## What to prepare
3 to 4 months of business bank statements. Government ID and a voided business check. A short application with your start date. Proof of start date if asked, such as formation papers or license. For larger amounts, financial statements and tax returns.

## When another option is better
If you are under three months, outside funding is rarely the right tool. Build deposits first. If you are past a year with good credit, ask about a line before taking a lump sum you may not fully need. Revenue matters as much as months open, so check the revenue guidelines too. Buying a business? The previous owner's history may help, but expect the funder to ask for documents showing the transfer and continuous operation.

## Frequently asked questions
**Can I get funding with 3 months in business?** Possibly. MFE's merchant cash advance guideline often starts around 3 months, with about $7,500 a month in revenue and flexible credit. Expect smaller amounts and shorter terms than an older business would see.

**Does time in business start at incorporation or first sale?** Funders usually look at when the business began operating, often confirmed by formation date, license or bank deposits. If you formed the company long before you opened, the deposit history tells the real story.

**What changes when I reach one year?** Lines of credit usually start around one year in business at MFE, along with about $17,500 a month in revenue and credit around 650. Pricing on other products often improves too.

**If I change my business name, do I start over?** Not necessarily. If it is the same owner, same operations and same bank account, explain the change and provide the paperwork. A new entity with a new account may be reviewed as newer.

## Website for growing businesses
Every month in business counts more when it shows growing deposits, and a site that ranks for your service in your town helps produce them. Cheap Cheap Websites builds professional sites from $399, and Website Care at $30/month keeps it updated as your business moves through each milestone.

Apply for funding: https://merchantfundexpress.com/current-application.html?src=ccw-how-long-in-business-to-get-funding
Website plans: https://cheapcheapwebsites.com/products