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A merchant cash advance is a financial tool that is vastly underutilized by many business people. For those companies with a dependable record of sales, there is no need to take out a loan on new credit, even in the face of a large, short term emergency. A merchant cash advance gives a business the opportunity to readjust a cash flow to fit the volatile times that we live in.
The Particulars of a Merchant Cash Advance
A merchant cash advance is based on the ability of a business to pay off a loan in the present from credit card sales in the future. In order to qualify for a merchant cash advance, a financial lender will assess the amount of credit that a business has and that it needs for its goals.
The financial lender will come up with an approval amount based on those findings.
The lender will then forward that approval amount in cash to the business for use in the present. The business will be responsible for paying back the loan from credit and debit card sales in the future.
The Advantages of Merchant Cash Advances
Merchant cash advances have plenty of advantages over traditional loans, some of which will be detailed below:
– There is no limit as to what a merchant cash advance can be used for.
If a company takes out a traditional loan, there are usually many conditions as to what the money may actually be used for. A merchant cash advance is different in that there are no limitations – no Big Brother looking over the shoulder of the business. If the short term emergency abates, the company is free to use the advanced money for other purposes.
– Merchant cash advances adhere to the uneven nature of finance.
Expenses are not constant in business, nor are the liabilities that a company has. Emergencies can happen at any time. However, sales may not come when the emergency hits or the payroll needs to be filled. Merchant cash advances react more quickly to these situations than traditional loans do. The application process for a merchant cash advance is much faster, and it does not require nearly as much background as a traditional loan. If you have fully separated your business expenses from your personal expenses, the merchant cash advance process can be taken care of even more quickly.
– The merchant cash advance does not create new debts for a company.
Because merchant cash advances are based on money that is already coming into a company based on past records, there is no new debt to be incurred by a business. This not only helps in saving money, but also for organizational purposes.
About Us and Your Merchant Cash Advance Loan
BCC is an industry leader when it comes to providing merchant cash advances for businesses both large and small. We specialize in maximizing the value of the records that you give us so that you can create the most financial leverage for yourself in the present.
We have been the financial partner of choice for many companies because of our flexible lending program and our attention to detail. You will be treated with personal service with us as well. There is no one size fits all solution when it comes to finance. Rest assured that we will assess your business as an individual entity.
BCC (Business Credit and Capital, www.bccfund.com) can give you the financial leverage that you need in order to get over those short humps. Give us a call for the financial partner who will help to keep your business running smoothly and efficiently.