A 1.30 factor rate means repaying $1.30 for every $1 advanced. See the dollar cost, estimated APR at different terms, and the payment questions to ask before signing.
Use your real amount, term, and payment frequency instead of relying on a generic example.
Decode my 1.30 offer →A 1.30 factor rate adds 30 cents of payback for every dollar advanced. A $50,000 advance therefore has a $65,000 total payback before any separate fees. It does not mean 30% APR; the estimated APR depends heavily on how quickly and how often the $65,000 is collected.
The calculation is advance amount × 1.30.
$10,000 advanced becomes $13,000 repaid.
$25,000 advanced becomes $32,500 repaid.
$50,000 advanced becomes $65,000 repaid.
$100,000 advanced becomes $130,000 repaid.
The difference between the amount received and the total payback is the factor cost. Separate origination, underwriting, ACH, or broker fees can increase the real cost further.
Thirty percent is the fixed factor cost applied to the original advance. APR measures cost over time while accounting for the repayment schedule.
If the business pays principal back every day or week, it does not retain the full advance for the entire term. Paying the full 30% factor cost while the outstanding balance falls produces an annualized rate above 30% in many common schedules.
Using equal monthly payments, no additional fee, and the same 1.30 factor rate, the MCA Decoder estimates:
6 months: approximately 96.6% APR.
9 months: approximately 67.1% APR.
12 months: approximately 51.4% APR.
18 months: approximately 35.0% APR.
These are illustrations, not universal quotes. Daily or weekly drafts, withheld fees, irregular payment dates, and reconciliation terms change the result. The point is the direction: the same factor cost becomes more expensive on an annual basis when it is collected faster.
A $65,000 payback collected over 12 months averages about $5,417 a month. Collected over six months, it averages about $10,833 a month. A daily draft can feel tighter still because it reaches the bank account before the month has had a chance to average itself out.
Compare the proposed payment with a normal revenue month and with a slow month. A deal that survives only when sales are perfect is not flexible financing; it is a cash-flow bet.
What exact amount reaches my bank account after fees?What exact amount must be repaid?How many payments are expected, and on which days?Can the payment be reconciled downward if revenue falls?Does early payoff reduce the total payback?
If the answers are not written into the agreement, do not treat a salesperson's explanation as a contract term.
Calculations on FindFundCall are educational estimates. Your agreement and the current program rules control.
When you're ready for funding: see your options with Oracle — no broker calls, no hard credit pull to see your range.