subject: Business Owners Shy Away From Banks And Turn Toward A Business Cash Advance [print this page] Any entrepreneur can tell you just how hard it is to obtain a line of credit from a conventional bank when an emergency occurs. Fortunately, a business cash advance made accessible by brokers may bridge the gap between available money and wanted financing.
Many merchant cash advance programs are structured as a factoring agreement. This is a focused agreement where a business owner will sell a portion of their expected credit card sales to the provider in return for cash in you business account now. There are many advantages to this arrangement.
Key advantage of a Merchant Cash Advance
Quick Turnover Time. Banks are burdened by their size. It can take months before your loan, if qualified at all, is accessible. With a merchant cash advance, your business usually have your acceptance letter in a couple of days and the money in your account within a week.
Repayment terms.
When repaying a standard loan a bank will want to obtain the same amount each month in spite of of whether or not your establishment receipts fluctuates. That can make for some extremely stressful weeks. A merchant cash advance is related directly to your credit card receipts. The months brings in more, you pay more, and when you make less, you pay less; a much more reasonable agreement.
Documents
To apply for a conventional loan you may need almost an entire journal of paperwork. Tax Returns, Credit scores, financial statements, R&E, and more are required just to apply. With a business cash advance, all you need is a decent credit report and a verifiable history of credit card transactions.
Business owners acknowledge that it isn't always possible to forecast expenses. A machine breaks down, business climbs quicker than imagined, or an investment comes along that you can't pass on. Business cash advances are available for just these issues. If you want working capital, seek out a merchant cash advance broker.
by: Rodney Rabah
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