What will this money really cost?

Put in the offer you were given. Free, no sign-up, nothing saved.

Cost of the money

$17,500

on $50,000 received, paid back over about 6 months.

Estimated APR

125.9%

APR stretches a 6-month cost over a full year, so short-term money always shows a high APR. Use it to compare offers side by side, not to judge this one alone.

You receive: $50,000
You repay: $67,500
Cost per $1 received: $0.35
Payment: $536 every business day, 126 payments

Does it pay?

If this money will earn or save your business more than $17,500 over the next 6 months, it can still make sense. If it will not, try cheaper money first.

Try cheaper money first

An estimate for the term shown. Advances that take a share of sales have no fixed term. Ask the provider for its own cost disclosure before you sign.

Next: should you borrow?

Already have an offer on paper? Upload it instead

Questions about factor rates

Is a factor rate the same as an interest rate?

No. A factor rate is a multiplier on the amount funded. A 1.3 factor on $10,000 means you repay $13,000 no matter how fast you pay it back. An interest rate is charged over time, so a short repayment period makes a factor rate cost far more per year than the number suggests.

How do you convert a factor rate to an APR?

Multiply the amount funded by the factor rate to get the total payback, split it into the payments you will make, then find the yearly rate at which those payments are worth exactly what you received. That rate is the estimated APR. This calculator does that math for you.

Why does a short term make the APR so high?

Because you pay the same fixed cost in less time. Repaying $3,000 of cost over six months is roughly twice the yearly rate of repaying it over a year. Fees taken out up front raise it further, because you receive less but repay the same amount.

Is this APR exact?

It is an estimate for the term you enter. Advances that take a share of daily sales have no fixed term, so the real APR rises if sales are strong and you repay faster, and falls if you repay slower. Ask the provider for its own disclosure before you sign.