The short answer
What a position is
A position is an open advance being repaid from your account. Your first advance is the first position. Taking another before the first is paid off creates a second position, and so on. Each one has its own daily or weekly debit.
Funders count positions by reading your bank statements. Every recurring debit to a funding company shows up, so there is no benefit in leaving one off the application.
Why each position reduces new offers
- Less free cash: each debit cuts the deposits left to carry a new payment.
- Payment order: later positions are repaid from what is left after earlier ones, so they carry more risk.
- Pattern risk: stacking advances can signal that each one is covering the last.
The result is that a third position, if offered at all, tends to be smaller, shorter and more expensive than the first.
Check what your business qualifies for
Merchant Fund Express reviews how many mca positions can you have requests from $5,000 to $5,000,000. Scores from 500 are considered, and same-day decisions are common on complete files.
Check funding options with Merchant Fund ExpressWho should consider a refinance instead
Fits: an owner with two or more open advances whose combined payments strain the account, but whose sales are still steady. A refinance can replace several debits with one, often over a longer period. MFE's guide to MCA positions explains how these are reviewed, and MCA refinance covers the mechanics.
Does not fit: a business whose sales are falling fast, or one that has already defaulted on a position. A refinance that only buys time without fixing the cause can deepen the problem.
Illustrative example: two positions into one
Assumptions: a pizzeria with about $70,000 in monthly deposits. Position A has $18,000 left at $300 a day. Position B has $12,000 left at $250 a day. A new advance of $45,000 at a 1.32 factor rate with a 3% fee pays off both, with a daily payment over 160 business days.
| Item | Amount |
|---|---|
| Current combined daily payment | $550 |
| New advance amount | $45,000 |
| Payoff of Position A and B | -$30,000 |
| Fee (3%) | -$1,350 |
| Net cash received by the business | $13,650 |
| Total repayment ($45,000 x 1.32) | $59,400 |
| New daily payment ($59,400 / 160) | $371.25 |
Illustrative example only. The daily payment drops by $178.75, but the repayment runs longer and the total owed is now $59,400. That trade only helps if the breathing room is used to stabilize the business, not to open a new position next month.
These figures are illustrations, not offers. Real pricing, amounts and terms depend on the full file.
Funding brings customers. Is your website ready for them?
Once a refinance frees up daily cash, putting part of it into steady customer flow is what keeps the account from tightening again. Cheap Cheap Websites builds professional sites from $399, with Website Care at $30/month, so the money spent on visibility keeps working without a large agency bill.
What to prepare
- 3 to 4 months of business bank statements.
- Payoff letters or current balances for each open advance.
- Government ID and a voided business check.
- A short application.
Complete files often get a same-day decision, with funding often the next business day. Neither is promised.
When another option or waiting is better
If one position is close to paid off, finishing it may cost less than refinancing. Some advances allow a discount for early payoff, so ask. If you are tempted to take a third advance just to cover payments on the first two, stop and read the risks of MCA stacking. Cutting costs, collecting receivables or raising prices for a month may solve the gap without new debt.
Related funding guides
Cheap Cheap Websites builds websites. It does not lend or make funding decisions. Funding is offered by our funding partner, Merchant Fund Express, and every request is subject to its review and approval. Figures on this page are illustrations, not offers. Updated October 15, 2026.