Small Business Funding
As a small business owner, you may be wondering how merchant cash advances work or why a merchant cash advance can help your business. Furthermore, you may want to know why to choose a merchant cash advance above other funding alternatives.
What is a Merchant Cash Advance?
Merchant cash advances are essentially the purchase of future credit card receivables. This is why this funding process is also known as “credit card factoring” – an agreed-upon percentage of your future credit card sales is used as repayment for the cash advance. Once you are approved for an advance, we agree upon a reasonable rate that will be sent to us from your future credit card transactions with your customers. You don’t have to worry about writing us a check; the money will be transferred automatically by the credit card processor. The money will be advanced to you within 4 to 7 business days.
How Will a Merchant Cash Advance Benefit My Business?
- Because there is no fixed term of repayment, the amount your business pays back depends on your business’ cash flow during that month.
- There are no penalties or late payment charges
- Your business does not need collateral to be approved for an advance
- There is only a minimal amount of paperwork you need to give us to be approved for a cash advanceFor more information, watch our video: