1 00:00:00.390 --> 00:00:02.520 Johny Fernandez: How do I calculate the factor rate in 2 00:00:02.520 --> 00:00:04.200 merchant cash advance deal? 3 00:00:04.560 --> 00:00:08.670 Sean Murray: Though if the post purchase amount is $14,900 and 4 00:00:08.670 --> 00:00:14.160 the purchase price is $10,000, you divide $14,900 by $10,000. 5 00:00:14.190 --> 00:00:16.890 You will get 1.49. That's the factor rate