What Is RTR (Right to Receive)?

An MCA isn't structured as a loan with interest; it's a purchase of a merchant's future receivables at a discount. The advance amount is what the merchant actually receives upfront. The factor rate, a decimal like 1.35, gets multiplied against that advance amount to produce the RTR, the total the funder has purchased the right to collect back.

That distinction matters because it's the whole reason MCA pricing gets discussed in factor rate and points terms instead of an interest rate. RTR is fixed at origination regardless of how fast or slow the merchant's actual sales come in, which is a different mechanic from a percentage-of-sales holdback structure, where a true-up periodically reconciles what got collected against what was owed.

Brokers and ISOs use RTR when they need to describe the full size of what a merchant is agreeing to repay, distinct from the smaller advance amount the merchant is focused on receiving, a distinction worth being explicit about with a merchant comparing offers.