Business Cash Advance

March 11, 2023 | Merchants | Dustin

A business cash advance is a great option for startup businesses that might not qualify for other financing options. These advances allow small businesses to get funding alternative to conventional bank loans. Additionally, business cash advances are convenient for entrepreneurs looking to make moves with their business at a fast pace.

Cash Advance For Business

Getting a cash advance for business investments, enhancements, and growth is a great way to assist a company to scale. Above all, knowing how to get a this type of funding is the first step in securing additional money.

Firstly, it’s important to understand what a business cash advance is. A business owner gets the money as a payout upfront from a financial provider. However, instead of paying back the funds over time with interest like a standard loan, the cash advance can be repaid with a percentage of the business’s sales.

So getting cash this way is not a loan. It’s actually considered lended financing based on the volume of your credit card processing.

Merchant Cash Advances

High risk merchants can especially benefit from cash advances simply because of the bigger difficulty they have securing extra funding traditionally. A merchant cash advance (MCA) can be a strategic opportunity for an entrepreneur needing cash fast.

Certainly, many business owners use these cash advances to boost them up in a financial pinch. There can be unexpected expenses and other debts. From purchasing equipment to securing more working capitol for investments, getting extra cash can transform a business. Although there are many options for loans and special financing, a merchant cash advance has its benefits.

Benefits of getting a merchant cash advance:

• Flexible use of the cash
• Quick funding approval
• Lower credit scores are accepted
• Option for businesses that may not qualify for traditional loans
• Convenient repayment options
• Great for companies with high credit card sales volume

What is a Business Cash Advance?

A cash advance is repaid based on the business’s sales each day. The lender can take a portion of the daily business sales. They can also take a percentage of credit card sales. This completely depends on the on the specific ways the extra cash is financed.

The terms for a business cash advance vary from lender to lender. In other words, there will be different qualifications between banks, processors, and financial companies. However, because of the nature of this particular funding, the requirements for getting approved for a business cash advance are usually pretty relaxed.

Securing Extra Money For Your Company

If your business has positive cash flow and a solid record of credit card payments, getting a cash advance shouldn’t be difficult. When businesses need it most, a short term business solution is a great way to get capitol fast. Furthermore, entrepreneurs that are looking to seize a game-changing opportunity can actually utilize this financial resource.

Let the experienced payment processing experts at PayKings help you navigate a business cash advance. Additionally, strong partnerships and a long standing history in the digital payments industry, PayKings is prepared to get merchants approved for extra cash quickly.