Replace daily advance payments with one structured facility.
Stacked merchant cash advances can drain cash every business day. If your business has real receivables, we refinance the advances into receivables financing, or a bank facility where you qualify, with payments matched to how you actually get paid.
Advances solve a cash problem fast, then become one.
Each new advance adds another daily debit, and the payments come out whether customers have paid you or not.
Daily or weekly debits are draining cash
Payments leave the account every business day, before your customers pay their invoices.
You have more than one advance
Stacked positions mean several funders, several payments and no single plan to get out.
You sell to other businesses
Commercial receivables are what make a refinance possible. They become the collateral for the replacement facility.
Your bank cannot help
Advance payments often push cash flow coverage below what a bank will accept, even for a healthy business.
How a refinance replaces the advances.
The new facility pays every advance off in full at closing, then works like normal business credit.
Review
We total every advance, its remaining balance and its daily or weekly payment.
Qualify
We confirm your receivables, revenue and margins can support a replacement facility.
Pay off
At closing, the new facility pays each advance in full against a payoff letter.
Replace
One facility, with payments tied to collections or a set schedule, takes the place of the daily debits.
Cobalt arranges refinancing that pays merchant cash advances off in full. We do not negotiate settlements, reduce balances or provide debt settlement services. Refinancing is subject to lender approval.
What changes when advances are refinanced.
| Receivables financing | Bank facility | Merchant cash advances | |
|---|---|---|---|
| Payments | As customers pay their invoices | Monthly | Fixed daily or weekly debits |
| What sets the size | Eligible receivables | Cash flow and coverage | Card sales or bank deposits |
| Relative cost | Moderate | Lowest, when you qualify | Typically the highest |
| Who qualifies | Businesses with commercial receivables | Businesses with steady profits and coverage | Most businesses with deposits |
General characteristics only. Terms vary by lender and borrower profile. See how an asset based line works.
What are your advances really costing you?
Advances are priced with a factor rate, not an interest rate, which hides the true cost. This calculator converts each advance into an approximate annual rate and totals what a refinance would need to cover.
Enter up to three advances from your agreements.
Illustrative estimate only. Annual cost is approximated from each advance's funded amount, payback and payment schedule, using 260 business days and 52 weeks a year.
Built for real businesses with real receivables.
Strong candidates
- Business to business or government receivables
- Steady revenue and positive margins
- Advance balances a replacement facility can pay off in full
- Customers paying on normal terms
- Owners ready to share bank statements, an aging report and the advance agreements
Usually a harder fit
- Consumer, cash or card sales with no receivables
- Advances larger than receivables and cash flow can support
- Defaults or judgments already being enforced
- Ongoing losses with no clear path to profit
- Owners seeking a settlement or reduced payoff, which we do not provide
Most of the work happens before a lender sees the deal.
We handle the preparation that decides your terms, and stay in it through closing.
Analyze
We map every advance, payment and payoff, and show the true annual cost.
Qualify
We test whether receivables and cash flow support a refinance before any application is made.
Structure
Facility size, advance rate and payment schedule matched to your collections.
Execute
We coordinate payoff letters with each funder so every advance is paid in full at closing.
Illustrative scenario. Not a specific client or transaction.
A staffing company with about $7M in revenue had taken three advances in nine months. Daily debits had grown to about $3,800 a day while its customers paid on 45 day terms.
Its receivables supported a facility large enough to pay off all three advances, replacing roughly $82,000 a month in daily debits with advances against invoices it was already issuing.
What owners ask us first.
Is this debt settlement?
No. A refinance pays each advance off in full under its terms. We do not negotiate reduced payoffs or offer debt settlement services.
Will my advance funders be contacted?
Yes, at closing. Each funder provides a payoff letter and is paid directly from the new facility.
What does it take to qualify?
Commercial receivables, steady revenue and balances the new facility can pay off in full. Bank statements, a receivables aging report and your advance agreements are the starting documents.
Can you refinance advances if my sales are mostly cash or card?
Usually not through receivables financing, and other options are limited. If a refinance does not fit, we will tell you directly.
How fast can a refinance close?
Receivables facilities can often close within a few weeks once documents are in hand. Bank facilities take longer.
How is Cobalt paid?
Advice is free. We are compensated when financing closes, and we disclose how before you commit to anything.
Tell us about your advances.
A Managing Partner reviews every inquiry, usually within one business day. No credit pull and no obligation to start the conversation.
- If there is a fit, we will ask for bank statements, a receivables aging report and your advance agreements.
- Your advance cost estimate is included with your message.