Industry · technology
Underwriting MCAs in Technology & SaaS
Technology and SaaS merchants typically receive steady, recurring revenue from subscription contracts and monthly customer billings, producing a deposit pattern where spikes and concentration are more suspicious than in other segments.
Key takeaways
- Recurring revenue should be steady — spikes are unusual.
- Customer concentration is uncommon at scale.
- Subscription processors (Stripe, Chargebee, Recurly) are the dominant channel.
- Annual contracts create periodic larger deposits.
- Less round-number bias than other segments.
How underwriting differs
Tech and SaaS revenue should look smoother than other segments. A SaaS merchant with 80% of revenue from one customer is a real concentration risk in a way it would not be for healthcare or manufacturing.
Velocity spikes — sudden surges in deposit count or amount — are more suspicious here because the underlying business model produces steady flow.
Round-number deposits are less common because subscription amounts are typically precise (e.g., $499.00, not $500.00).
Common deposit signatures
| Type | Pattern |
|---|---|
| Stripe / Chargebee / Recurly payouts | Regular deposits from subscription processors, often daily or weekly batches. |
| Direct ACH from contracts | Annual contract payments arriving as larger single deposits. |
| Marketplace platform payouts | For app-store-distributed software, periodic marketplace deposits. |
Common fraud patterns to watch
Manufactured contract revenue
Large, irregular "annual contract" deposits without supporting customer evidence.
Friendly-customer recycling
Payments from related entities described as customer contracts.
Velocity spikes
Sudden surges in deposit count or amount inconsistent with steady SaaS revenue.
What underwriters watch for
- Is the deposit pattern smooth, as expected for recurring revenue?
- Do contract payments resolve to identifiable customers?
- Is velocity within expected range for the merchant's stated growth rate?
- Are concentration metrics consistent with the merchant's customer base?
How Vyaso handles technology & saas
Vyaso applies stricter velocity and concentration thresholds for technology and SaaS than for other segments. Round-number bias detection is calibrated tighter. Subscription processor deposits are recognized as legitimate revenue.