PDQ Funding

PDQ Funding: alternative finance for British SMEs

PDQ Funding presents itself as a British business finance provider specialising in merchant cash advances, a form of unsecured short-term lending that uses the card payment terminal to secure repayment. The company offers capital injections of between £5,000 and £200,000, with approval within 24 hours and an approval rate that the firm itself puts at around 90%.

How a merchant cash advance works

The product consists of a cash advance that is repaid through a pre-agreed percentage of future credit and debit card sales. The available amount is calculated from the average monthly card transaction volume; as a minimum criterion, the business must consistently turn over around £5,000 per month through this channel. The retention percentage is set in advance, so the business knows the proportion of each sale that will go towards repayment. No interest rates or APR are set: the total cost of the finance is a fixed amount that does not generate compound interest.

Repayment adapts to the pace of sales. During busier periods, the advance is paid off faster; during slower phases, the balance is paid over a longer time. The company states that typical repayment periods range from 6 to 9 months, although they can extend up to 18 months depending on the business's history. Once a positive payment history has been demonstrated, usually around halfway through the process, the client can apply for additional funding and extend the term.

Repayment example

The website illustrates the mechanism with a typical case: a small retailer that processes £10,000 per month through its terminal receives a £10,000 advance and agrees to allocate 10% of its card sales to repayment. With that volume, the retailer would pay £1,000 per month until the total is settled. The example mentions a total amount of £12,000 to be repaid over approximately twelve months, although the actual term may be shorter or longer depending on sales. The company stresses that the 10% does not represent an interest rate, but rather the proportion of revenue allocated to cover the agreed amount.

Requirements and client profile

Any business that uses a payment gateway and a PDQ terminal to receive card payments can apply for the product. No personal guarantees or asset security are required, and the firm notes that businesses with a negative credit history can submit an application. The application process is quick and funds are usually available in the bank account within a few days; the company states that most lenders can arrange finance within 48 hours.

Advantages highlighted by the company

• Amounts of up to £200,000.
• Approval within 24 hours and an approval rate of around 90%.
• No security or business plans required.
• Repayment through a percentage of card sales, with no fixed instalments.
• No interest rates or APR; a single repayment amount.
• Finance available for businesses with a poor credit history.
• Streamlined application process and disbursement within days.

Alternative to traditional bank finance

PDQ Funding presents the merchant cash advance as an alternative to conventional bank loans, designed for SMEs that need to improve their cash flow or extend their payment terms without the restrictions of conventional finance. The company operates from the United Kingdom and targets specifically British limited companies and small and medium-sized enterprises.