How MCA brokers get paid, and how we are paid as a marketplace
Owners: see who pays the marketplace before you sign.
MCA brokers are usually paid by the funder after a deal funds, as a share of the funded amount, and some also charge the business a fee. This page explains those arrangements, what to ask about how we are paid, and the questions for any broker. On every deal we tell you in writing, before you sign, who pays us and how much, including whether any fee is added to your offer. A public compensation schedule is not posted.
By the Afterfirst Editorial Team · Updated
How are MCA brokers typically compensated?
Brokers are typically compensated in one of three ways, and a single deal can combine them. Knowing which applies tells an owner where the cost sits.
| Arrangement | Who pays | Where it shows up |
|---|---|---|
| Commission from the funder | The funder, out of its side of the deal | Often not on the merchant contract at all |
| Rate added above the funder base | The business, through a higher total repayment | Inside the factor rate |
| Fee charged to the business | The business | As a separate line, or as a smaller amount received |
Some states register brokers of this kind. Texas, for example, describes broker registration on the Texas OCCC page. This page does not say how it applies to Afterfirst.
How will Afterfirst be paid?
Afterfirst charges nothing to submit an application. Before you accept any offer, ask the desk who pays Afterfirst on that deal. A full answer covers these points:
- who pays Afterfirst on a funded deal
- when that payment is made
- whether any amount is charged to the business, and how it is shown
- how a partner broker's pay relates to Afterfirst's
- whether pay differs by funder, and how that is handled when offers are shown side by side
Why side-by-side offers matter for compensation
When compensation varies by funder, a marketplace could be tempted to steer toward the funder that pays it most. Afterfirst's process puts every offer it receives on a file side by side in the same format, as how it works describes.
Disclosure shown before an offer is accepted
A compensation note belongs next to any offer comparison, so an owner reads it before choosing. Ask for one if it is missing.
Compensation questions from a partner broker's merchant
When a broker submitted the file, the merchant may ask the desk how the broker is paid. The desk will refer that question to the broker's own disclosure and will not quote the broker's terms.
State disclosure forms
Some states require a commercial financing disclosure with an offer; New York's list is in section 803. This page does not say which forms apply to a given deal.
What should an owner ask any broker or marketplace?
An owner should ask three things in writing before signing, and keep the answers with the offer.
- Who pays you on this deal: the funder, my business, or both?
- Has the rate on this offer been raised above the funder's base to cover your pay?
- Will my business pay anything before or at funding?
FAQ
Is there a charge to submit the application?
No. Applying asks for no payment. Ask the desk who pays Afterfirst on any offer before you accept it.
Can a business ask a funder for its base rate?
Yes. Some funders will share it and some refer the question back to the broker. Asking costs nothing and the answer helps compare offers.
Will comparing offers here mean extra credit checks?
Comparing more offers does not change what you should ask. Before you sign any of them, ask how any credit review works.
When is a broker usually paid, before or after funding?
Broker pay from a funder is usually paid after the deal funds. A fee charged to the business before funding is a reason to ask more questions.
Is a broker paid again when an advance is stacked or renewed?
Often yes, because each new advance is a new deal. Ask whether a renewal or a new position carries fresh broker pay, and how that is built into the price.
Next step
Owners can Call 877-FUND-654Email info@afterfirstmca.com and ask who pays Afterfirst on any offer before accepting it.A person replies within one business day.
Call 877-FUND-654Sources
- Texas OCCC, Commercial Sales-Based Financing Provider or Broker: the Texas broker registration page cited under how MCA brokers are typically compensated.
- New York Financial Services Law section 803: the New York disclosure list cited under state disclosure forms.
Send one file.
See what fits.
Start a merchant cash advance application, or write to the desk. Afterfirst MCA is not a lender.
Or write to the desk at info@afterfirstmca.com
A person replies within one business day.