We offer cash advances to companies throughout the USA — irrespective of the industry, or niche. We are your partner, not only a lender. We can help you get the financing you need when you’re in distress, and needing fast funding to create deadlines and payroll. When you get a merchant cash advance, it is not the exact same thing as a loan. It is essentially a cash advance based on the credit card sales that you get on your company merchant account. As soon as you apply for the loan, we deposit the funds in your business checking account within 24 hours.
How Merchant Cash Advances Work
The cash advance is for $2,500 to $25,000. Each merchant cash advance has a repayment program with daily payments from your accounts. As soon as you request a loan, it takes just 24 to 48 hours for it to be approved and in your account.
This sort of loan works well for folks who have bad credit or need fast access to funds. The entire approval process is quick and works for many sorts of businesses. The only drawbacks are the higher fees and the fact that the loan has to be paid back through your daily earnings.
Having a merchant cash advance, you get the cash you need when you need it. The funds can be used for anything that your company needs. Some businesses use this sort of cash advance to make up revenue during a slow month. Other businesses simply have to cover a bill that is past due.
This is a cash advance and not a loan. When you get a cash advance, you promise to pay it back together with your company’s future income. The loan is provided in a lump sum that is paid back from the money you earn every day. The amount that you pay back is known as the recovery rate or holdback. Based on the amount of the advance, your repayment period and your credit card sales, the holdback can vary between 5 to 20 percent.
The amount you can borrow depends on your credit card sales. Most suppliers will review your sales for the previous two to six months to find out how much you can borrow. Based on the provider, you can get anywhere from 50 to 250 percent of your monthly credit card transactions as an advance. Then, you have 90 days to 24 months to pay it back.
The Benefits of Getting an Merchant Cash Advance
This option is perfect if you need cash right away. You can get approved much faster with an advance than you can with a traditional loan. Often, you can get approved within just a couple hours. Then, you receive the advance within just one or two days. If you’re struggling to pay your payroll or a sudden expense, having a speedy option is a benefit.
Another benefit is that you can avoid using security to get an advance. Banks normally require collateral for a business loan, which takes time. Additionally it is a huge risk for your company if you can’t repay the loan. Having a merchant cash advance, you get the money you need without having to provide your assets as collateral.
Best of all, the application process is easy and straightforward. You can do the whole application online. You just have to upload some of your documents and fill in the blanks. Unlike a typical bank, most merchant cash advance lenders are fairly open to poor or bad credit. Their main goal is to find borrowers who have a strong history of credit card sales. They’ll also look at how long you have been in business.
Merchant cash advances also have high limits and flexible payments. You pay a percentage of your credit card sales as your company sells products. If you sell less, then the amount that is taken out is correspondingly less. You only pay out a percentage of your credit card sales. Plus, some lenders will give up to $2 million in a merchant cash advance.
This option works well for companies who need money quickly. You need to have an established history of credit card transactions. The only drawback is the cost. If you need cash quickly and want a handy alternative, then a merchant cash advance may be worth the added price.