For merchants with existing MCA positions
Understand how staged funding may help manage existing MCA payments, what remains your responsibility, and why this structure adds both a position and cost.
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Diesel Funding reviews your existing MCA obligations and business cash flow to assess whether a reverse consolidation structure may fit. Instead of paying off every existing advance immediately, new funding is provided in stages intended to help cover payments on those advances.
Timing depends on underwriting, complete documentation, and the terms of your offer.
This structure may be considered for merchants with multiple MCA positions and ongoing revenue that can support the proposed arrangement. General guidelines include at least 1 year in business and $30,000 in monthly business deposits.
Underwriting looks at the remaining obligations, cash flow, payment timing, and business performance. Additional funding may not be suitable if the business cannot support the combined obligations. Review all merchant funding requirements.
Before signing, review the complete agreement with your financial or legal adviser and ask for an explanation of every obligation.
Standard consolidation generally uses new funding to pay off existing positions at closing, replacing those obligations with a new arrangement. Reverse consolidation generally leaves the existing positions in place and stages funding to help cover their payments. Review the actual payoff and disbursement terms rather than relying on the product name.
Debt settlement seeks to negotiate reductions or changes to existing obligations. Reverse consolidation provides additional funding; it does not itself negotiate away balances, cancel existing agreements, or authorize you to stop payments. Continue to follow your agreements unless a change has been explicitly agreed with the relevant parties.
Reverse consolidation is a funding structure for businesses with existing merchant cash advances. A new funder provides funding in stages intended to help cover existing MCA payments while those advances continue under their agreements. The specific disbursement and payment schedule depends on the offer.
Not necessarily. Unlike a standard consolidation that pays off existing positions at closing, reverse consolidation generally leaves existing advances in place while scheduled funding helps cover their payments. Confirm exactly which obligations remain and who is responsible for each payment.
Yes. It adds a position and adds cost. Payment relief, if any, depends on the structure and timing. Existing obligations remain unless explicitly paid off, and the new funding creates its own contractual obligations.
It may be considered for businesses with multiple existing MCA positions and sufficient ongoing revenue to support the proposed structure. General guidelines include 1 year in business and $30,000 in monthly deposits. Qualification depends on underwriting, existing balances, payment schedules, and cash flow; it is not guaranteed.
No. Debt settlement seeks to negotiate reduced amounts or modified obligations with existing creditors or funders. Reverse consolidation adds new funding rather than negotiating away the existing agreements. It does not itself cancel, reduce, or excuse payments due under those agreements.
Start with Application + last 3 months of business bank statements. Be prepared to provide current MCA agreements, balances, and payment schedules for review. Timing depends on underwriting, complete documentation, and the terms of your offer. An application does not guarantee approval or a funding date.
Start with Application + last 3 months of business bank statements. Additional documentation about existing positions may be requested. An application does not guarantee an offer.
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