Verification Call: Meaning in a Merchant Cash Advance
A verification call is a short phone call a funder makes to the business owner before funding, to confirm identity, ownership, the terms being offered and that the owner understands and agrees. Some funders also call landlords or customers.
What does verification call mean?
Near the end of the process, someone from the funder calls and walks through a script. They confirm your name, your role, the business address and the bank account. They read back the funded amount, the payment and the purchased amount, and ask if you have questions. The call is often recorded.
Why does verification call matter to your business?
A funder won't release money until the call is done, so missing it delays funding. It's also your last clean chance to hear the numbers out loud and catch anything that doesn't match what you were told. If the amount or payment differs from your offer, say so on the call and don't agree until it's fixed.
How do you get ready for it?
- Have the offer in front of you so you can compare numbers.
- Be somewhere you can answer clearly and without rushing.
- Answer honestly. Mismatched answers stall a file.
What should you ask on the call?
Ask how the payment is debited, whether reconciliation is available and who to call if sales drop. The answers go on the recording, which protects you later.
Who else gets a call?
Some funders confirm the business address with the landlord or call a customer to check that a large invoice is real. Let your landlord know a call from a funder is coming so it doesn't get ignored.
Where will you see it?
In the stips list after approval. From your broker, who usually tells you when to expect it. On a recorded line from the funder's funding team.
Which terms are related to verification call?
The full list is in the glossary. Owners ask about this in Do funders look at profit or revenue for an MCA?.
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.