Author: Chris Ronk
Many small businesses have one thing in common; they need working capital in order to grow. The problem that many small businesses are facing is that they are struggling just to get by, let alone make enough money to invest into itself in any meaningful way.
When I say meaningful way; I am referring to;
- Opening a new location or expanding your existing location.
- Purchasing new machinery or replacing outdated equipment.
- Hiring and training new staff.
- Substantially expanding your marketing efforts.
Each business is unique. I'm sure you could think of ways to invest that is more suited to your business.
So the question is; how do we go about getting this money? The first thing most businesses do is approach a bank or other financial lending institution. That would be my first choice too if possible. The advantages are a relatively low interest rate and plenty of time to pay it back.
The problem with bank loans is that they are difficult to get, and require several weeks to process.
You might also consider getting a business loan alternative called Merchant Cash Advance. What makes this type of funding unique is that most providers do not require good credit or collateral, and they take only days to process instead of weeks. Even if you've been turned down by a bank; it's a good chance that you will qualify for a merchant cash advance.
Who qualifies for a merchant loan?
It is very easy for most businesses to qualify. All you need to qualify is;
- You need to own the business for at least 6 months.
- You need to accept Visa and MasterCard
- You need to process at least $2,500 each month in credit card sales.
How does a merchant cash advance work?
The process is simple;
- They purchase a portion of your future-unprocessed credit card sales at a discounted rate.
- They set up your credit card processor to automatically deduct a small percentage of your daily credit card sales.
- You continue doing business as usual while your cash advance is automatically being paid back in about 6 to 9 months.
What are the advantages?
There are many advantages to a merchant cash advance, such as;
- Quick funding; usually within 7 days or less
- High Approval rate (up to 90%)
- Does not require collateral
- Instant renewals
- No application fees
- Flexible payback schedule
- No restrictions on how you use your funds
- No UCC1 filing
Use the following link to see if a merchant cash advance is right for your business.
About the Author:Chris R. writes articles about business loans and merchant cash advances for http://easymerchantcashadvance.com
Article Source: http://www.articlesbase.com/loans-articles/merchant-cash-advance-an-easy-way-for-small-business-to-get-working-capital-942695.html