The nightclub industry is a highly competitive one where businesses need to make major changes and improve services to attract customers. However, financial constraints prevent many business owners from making necessary changes. Merchant cash advance funding has emerged as an appealing working capital solution for nightclub owners. Here’s how a merchant cash advance can help you stay relevant and competitive in the nightclub industry.
Repay From Future Earnings
Merchant cash advance funding is an attractive solution for existing nightclubs that are finding it difficult to source working capital from traditional lending sources such as banks. A merchant cash advance is a lump sum amount that is directly credited into the business bank account of the qualifying applicant. The qualifying process for this nightclub financing solution is simple and the applicant does not have to put up collateral. Instead, the applicant pledges a portion of future earnings in a staggered manner to repay the advanced amount.
Access Quick and Hassle-Free Financing
While approving nightclub financing via a merchant cash advance, the lender does not give major importance to the applicant’s credit history. Instead, the lender looks at sales and revenue figures for the past six months or so to evaluate the applicant’s ability to repay. Another benefit is that merchant cash advances have very high approval rates and come with quick turnaround time – the time it takes from application to approval and funds received in the bank account is just a few hours or days. The application process is straightforward and can be completed online by submitting some vital information.
Repay in Flexible Manner
Another appealing factor of merchant cash advance is that it is a flexible financing solution. For a traditional bank loan, you have to repay a fixed amount of money every month irrespective of how your business is performing. In case of a merchant cash advance, repayment is tied to future receivables. Business owners can pay back more when business is booming or repay in smaller amounts when there is a lean period. The flexibility involved in merchant cash advances makes it an attractive financing solution for seasonal businesses.
Use Advance To Improve Service
As a nightclub business financing solution, merchant cash advances can be put to many uses. Renovations and redesigning spaces are proven ways to attract more customers. Incorporating latest technologies, such as e-menus to provide a smarter nightclub experience is another effective way to draw customers, especially the younger generation. Marketing can also help increase footfalls. Social media marketing is an excellent technique to engage customers. This may require business owners to hire additional staff or set up a budget for marketing. A merchant cash advance can be used as a quick funding solution for any of these initiatives. Business owners can also use cash advances for improving operations -for example, by investing in the latest accounting software or POS system.
If you have an urgent requirement of nightclub business financing or even if you have a plan for how to use a merchant cash advance for improving business, get in touch with an established leader in the merchant cash advance industry!