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Apparel & accessoriesNon-Recourse
Illustrative financing scenario · not a historical client result
Outdoor apparel label
A seasonal apparel brand needed to fund pre-season acquisition without the daily-debit risk of an MCA. Non-recourse structure meant a soft quarter cost them less, not more.
$0
Daily debits after consolidation
1.30×
Hard cap on total cost
100%
Profit retained after cap
The challenge
- Highly seasonal revenue made fixed daily repayments dangerous during the off-season.
- Existing merchant cash advances drained liquidity exactly when the brand needed runway.
- Leadership wanted to plan media aggressively without betting the company on a single quarter.
Illustrative structure
- Consolidated outstanding factor-rate advances into a single capped, non-recourse facility.
- Modeled marginal CAC and saturation to size the financeable spend band per channel.
- Set collection as a share of realized cohort gross profit, with no fixed schedule or maturity balloon.
Modeled outcome
- Freed daily cash flow previously lost to advance debits, smoothing the off-season.
- Scaled pre-season spend with confidence that underperformance would reduce — not accelerate — payments.
- Established a renewable line of capital that flexes with each season's cohort.
Composite, illustrative engagement. Brand name anonymized; figures are examples, not audited results or a commitment to fund.