Wire Transfer
A wire transfer is the electronic funds transfer mechanism delivering MCA proceeds to the merchant's business bank account — typically same-day or next-business-day depending on cutoff times — completing the MCA funding execution after approval and stipulation completion.
Why This Matters
Wire transfer is the standard delivery mechanism for MCA funding proceeds. The mechanics: funder initiates wire from operating account to merchant business bank account using standard ACH or Federal Reserve wire infrastructure. Same-day wires possible for funding decisions made before bank cutoff times (typically 2-3 PM ET); next-day wires for later decisions. Wire fees ($25-$50 typical) usually deducted from gross advance or charged separately. Some funders use ACH transfers for smaller amounts (avoiding wire fees) but wire is standard for amounts exceeding $25K-$50K. Failed wires (incorrect bank information, account issues) require manual investigation and re-initiation.
Frequently Asked Questions
Frequently Asked Questions
How long does MCA wire transfer take?
Same-day for wires initiated before bank cutoff times (typically 2-3 PM ET). Next business day for wires initiated after cutoff. International wires take longer but rarely apply to US merchant MCA. Most funders offer same-day funding for approved merchants with completed stipulations.
What can delay or fail MCA wire transfers?
Incorrect bank account information (account number, routing number errors), bank account closures or restrictions, OFAC compliance flags requiring additional review, and intermediary bank delays. Most issues resolve within 1-3 business days but require manual investigation.