Benefits Of Using Merchant Cash Advance For Small Businesses

As per the current records of the Small Business of America’s Office of Advocacy, there are approximately 30.2 million small businesses in the USA; small businesses make up around 99.9% of all businesses in the USA. This is a massive statistic, showing the importance of small businesses and their contribution to the economy by providing jobs for millions. Like all kinds of businesses, they too have their ups and downs; there are thousands of new businesses that start up each year, but along with that, there are a whole lot of closures too.

Merchant Cash Advance

Like all companies, it is no surprise that small to medium-sized businesses require steady cash flow to stay in business, as it covers a lot of expected and unexpected expenses daily. These funds are vital to keeping the industry running, as it pays suppliers, keeping up inventory, and for planned business expansion. To ensure that the business has ready cash when needed, they use the services of business funding companies. Over the years, more and more small businesses have come to rely on merchant cash advance companies or MCA’s as their best hope to get out of sudden tricky situations. The big advantage of using an MCA is that depending on individual companies, they can provide cash advances of varying sizes; however, these payments are not based on the customer’s credit scores or by providing any sort of collateral.

Merchant Cash Advance Companies

Streamlined Credit Procedures

Based on individual small businesses, if they have an acceptable credit history and can demonstrate good overall sales, then they are eligible for merchant cash advance funding. If all the paperwork requested is good, a small business owner is in line to get a merchant cash advance from 4 hours to 3 business days. These cash providers have their system that checks up on the submitted papers before providing the advance as quickly as possible. In recent times, merchant cash advance businesses have come up with a positive alternative for business funding, which is not based on any kind of collateral or credit rating scores. The small business receives the asking amount once the agreement is signed, and the return is based on overall sales in the business every month, till the pre-decided figure is reached.

Easy Online Applications

An easy way to understand merchant cash advance is that it allows small businesses to borrow funds immediately against future income from the business; in other words, the financier is advancing the funds even before the business has received any income from sales. With thousands of small businesses coming into the market every day, business funding companies have streamlined the cash advance process to ensure there is no inordinate delay. In some cases, the merchant cash advance companies even provide online business funding applications with all the required information on their website, making the whole process even faster and professional. It’s not only a safe and secure process, but it also takes away the stress-factor!

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