# Which industries business funders restrict

URL: https://merchantfundexpress.com/restricted-industries/
Updated October 15, 2026. Published by Merchant Fund Express.

Business funders restrict industries where repayment is harder to predict, where the law or banking access is uncertain, or where the business itself is a lender. Common examples are cannabis, crypto, financial firms, non-profits, real estate, auto sales, gas stations and certain construction trades. Lists differ by funder: Merchant Fund Express does not fund non-profits, restricts new residential construction, residential remodeling and long-distance trucking, and reviews other industries program by program.

## Why funders restrict industries
A funder that buys a share of future sales or makes a short-term loan is betting that your deposits will keep coming in. Industries get restricted when that bet is harder to price. The usual reasons are:Revenue volatility. Seasonal, weather-driven or project-based income makes daily or weekly payments harder to keep.Legal or regulatory risk. Products that are legal in one state and not another, or under federal scrutiny, create collection and banking problems.Banking access. If the business may lose its bank account, the funder may lose its repayment channel.Large one-time sales. Car lots and real estate businesses often have lumpy deposits that do not reflect steady cash flow.Overlap with lending. A funder will rarely advance money to another finance company.Consumer complaints and disputes. Trades with high chargeback or dispute rates carry more risk of interrupted revenue.Legal structure. Non-profits generally cannot sell future receipts the way a for-profit business can.

## Commonly restricted categories
CategoryCommon reasonCannabis and related productsFederal law and banking accessCrypto companiesPrice volatility and regulatory uncertaintyFinancial firms, lenders, check cashersThe business is itself a lender; overlapping riskBail bonds and pawn shopsRegulatory exposure and irregular cash flowReal estate and mortgage businessesLarge, irregular closings instead of steady depositsAuto salesLumpy deposits and floor-plan debt already on the inventoryGas stationsThin margins; much of the deposit volume passes through to fuel suppliersRoofing, new residential construction, residential remodelingProject-based income, weather, disputes and lien exposureSolar and energy installersProject timing and dependence on incentivesLong-distance truckingFuel and rate swings and high equipment costsFarming and agricultureSeasonal and weather-driven incomeNon-profitsLegal structure; no future sales to purchaseNo list is universal. A category restricted by one funder may be accepted by another, sometimes with tighter terms.

## A published example: Garden Funding
Garden Funding LLC (gardenfunding.com, Dania Beach, Florida) publishes its list openly. According to its website, checked October 15, 2026, its restricted industries are bail bonds, pawn shops, roofing, cannabis, farming/agriculture, real estate/mortgages, non-profits, crypto companies, auto sales, gas stations, solar/energy and financial firms, plus Canadian-based and Puerto Rico-based companies. Its general guidelines also ask for more than $20,000 a month in revenue, no more than 6 negative days and at least 1 year in business.Publishing the list is useful: an owner can tell in a minute whether to apply. Garden may suit an established business outside those categories that clears the guidelines comfortably. See our Garden Funding review and MFE vs Garden Funding.

## What Merchant Fund Express states
Non-profits are not eligible.Restricted: many funders, MFE's programs included, restrict new residential construction, residential remodeling and long-distance trucking.Everything else is reviewed program by program on your actual file. Being on another company's list does not automatically rule you out with MFE, and being off it does not mean approval.Sole proprietors are eligible.Browse industries we work with, or check the broader business funding requirements.

## What to do if your industry is restricted
Describe the business precisely. A commercial roofing company with long-term property-manager contracts is not the same risk as a residential storm-repair crew. A trucking company running regional routes may be reviewed differently from long-haul.Ask which product the restriction applies to. A trade restricted for advances may still qualify for equipment financing, where the equipment secures the deal, or invoice factoring, where your business or government customers' credit matters most.Show steady deposits. Several months of consistent deposits and few negative days help any file.Separate personal and business banking. Mixed accounts make even an eligible industry harder to review.Ask before you apply. A short call saves a credit pull and a wasted afternoon.

## Quick eligibility check
Your situationNext stepNon-profit organizationNot eligible with MFE; look at grants or a community lenderNew residential construction or remodelingRestricted at MFE; ask about equipment financing, or about commercial work if that is your main revenueLong-distance truckingRestricted at MFE; ask about equipment financing or factoring of invoices to shippersAny other industryApply online or call (305) 384-8391 for a program-by-program review

## FAQ
**Why do funders restrict roofing and construction?** Income is project-based and weather-dependent, customers dispute work, and mechanics' liens can complicate collections. MFE's programs restrict new residential construction and residential remodeling; other construction trades, including commercial work, are reviewed on the actual file.

**Does MFE fund non-profits?** No. Non-profits are not eligible for MFE programs. Their legal structure does not fit products that purchase future sales or rely on business revenue the same way, so grants, community development lenders or member-based credit unions are usually a better starting point.

**Is trucking a restricted industry?** Long-distance trucking is restricted by many funders, MFE's programs included, because fuel prices, freight rates and equipment costs swing widely. Other transportation businesses are reviewed program by program, and equipment financing may be an option.

**What industries does Garden Funding restrict?** According to its website, checked October 15, 2026: bail bonds, pawn shops, roofing, cannabis, farming/agriculture, real estate/mortgages, non-profits, crypto, auto sales, gas stations, solar/energy and financial firms, plus Canadian- and Puerto Rico-based companies.

**If one funder declines my industry, will others?** Not necessarily. Lists differ, and a restriction often applies to one product but not another. Ask which product the restriction covers, and whether equipment financing or invoice factoring could work for your business instead.

Sources: https://www.gardenfunding.com/guidelines
Apply: https://merchantfundexpress.com/current-application.html