Notice Clause: Meaning in a Merchant Cash Advance
A notice clause explains how formal communications under the contract must be sent, to which address and when they count as received. It governs default notices, reconciliation requests and changes you're required to report.
What does notice clause mean?
Contracts often require that important messages go in writing to a specific address or email. The notice clause lists those addresses and says when a notice is considered delivered, for example on receipt or a set number of days after mailing.
Why does notice clause matter to your business?
If you send a reconciliation request by text to a salesperson, it often doesn't count. If the funder sends a default notice to an old address, you miss the deadline without ever seeing it. Following the notice clause makes sure your requests are on record, and keeping your address current makes sure you receive what the funder sends.
Which habits help with notices?
Send important requests by email to the address in the clause, and keep a copy. Update your address with the funder whenever it changes.
How do you prove you sent a notice?
Save the sent email or mailing receipt. It's your evidence that a notice went out on time.
How do you send a notice to the funder?
The notice clause works both ways. Reconciliation requests, notice of a new bank account, notice of a move and requests for a payoff letter all belong in writing, sent the way the clause describes. It gives your requests the same weight as the funder's notices and creates a record that protects you if there's ever a disagreement.
Why keep addresses current?
If your business moves or your email changes, send the funder written notice of the new details right away.
Where will you see it?
In the general provisions near the end of the merchant agreement.
Which terms are related to notice clause?
- Cure period
- Acceleration
- Merchant agreement
- Can I move my business to another location or state during an MCA?
The full list is in the glossary. Owners ask about this in What's the difference between an MCA approval and an offer?.
A term on your offer you don't recognize?
Send us the line and we'll tell you what it means. Call 877-FUND-654 with any question. We call you back, usually the same business day, and we always talk with you before we shop your file.