Starting a business requires a lot of planning and research. One of the central questions that entrepreneurs must answer is what types of loans they will pursue? Two types of loans commonly used by businesses are Merchant Cash Advances and ACH Loans. The following is a quick overview of the differences between the two. Merchant Cash Advances Merchant cash advances are not technically loans; they are actually cash infusions based on sales that take a portion of future credit card sales. Some merchants prefer these terms, as they don’t require merchants to pay back monies by a specific date. Plus […]

There are a variety of loans that small businesses can acquire. But many business owners must choose whether to pursue a traditional business loan or alternative avenues like a cash merchant loan. Knowing the differences between the two will determine how much a merchant can expect to receive, the paperwork required, when funds will be available, and other important factors. The following is a quick overview of the differences between traditional business loans and merchant cash advances. Traditional Small Business Loans Merchants that seek out a traditional small business loan must be aware of the qualifications, restrictions, and pay close […]

About 40 percent of new high risk merchants who apply for a traditional loan are denied. This is because a business marked as “high risk” is seen as a shaky investment for most lenders, who prefer merchants with surefire profits. Even businesses with good credit are still denied if they are considered “high risk.” Now there are online lenders, like First American Merchant, that specialize in giving high risk businesses instant approval. If your business is related to the following industries it is considered high risk: Electronics eBooks Warranty Nutraceutical Technical Support Credit Repair Telecommunications Bad Credit Assistance Travel Gaming […]

Nothing is more rewarding than opening the doors to a brand new restaurant. But the process to find and retain reliable funding can put a damper on the excitement. That’s because most traditional lenders don’t want to loan money to restaurateurs. The restaurant business is considered “high risk.” As a result, only restaurants that meet high financial standards have a shot at acquiring loans. Online, experienced lenders are the best solution for restaurant owners seeking loans with fair rates. First American Merchant Funding (FAM) is the leading partner for restauranteurs. We have the expertise to assist any size business, and […]

Do you have a small business, but can’t find a lender or payment processor? You are not alone. Even though small businesses have made a comeback, traditional lenders still refuse to extend credit or payment processing to high risk merchants. Luckily, there are more flexible and convenient options for small businesses that seek loans. First American Merchant (FAM) has helped thousands of small businesses like yours to find and secure small business funding. High risk companies too often turn to shady or risky organizations for funding. These lenders usually deal in cash, and are not subject to the same rules […]

There is a tendency for small business owners to fill the hours people would typically spend with family and friends with additional hours to run their business. A small business owner usually has fewer resources and manpower to work with than those that run a large corporation. The danger in this is that the business owner will sacrifice his or her personal life to keep their business running smoothly. If you feel that this describes your situation, consider the following quotes on the importance of maintaining a healthy work-life balance. “We either make ourselves miserable or we make ourselves strong. […]

Where would we be without our loyal customers? Have you ever taken the time to consider which customers are loyal to your business? How many of those customers would continue to be loyal to you even if your direct competitor opened up next door to you? While learning how to attract new customers is important, focusing on turning your current customers into loyal ones is even more important. Why? It is the loyal customers that guarantee that your business will be around for decades to come. Their referrals and positive word-of-mouth are one of your most powerful marketing tools. Consider […]

There will come a time for every business owner when they have to think about how they will finance their business’ operations. With so many options, deciding how you will secure the funding you need can be an overwhelming process. The following three options – currently the biggest areas of funding – will help you make a decision based on what makes the most sense for your business’ needs. Bootstrapping Commonly known as bootstrapping, this involves funding your business out of your own pocket. While this is the simplest form of funding, it can also be the most difficult. The […]

If you’re in need of quick, working capital, your best option may be a merchant cash advance. Merchant cash advances are very easy to apply for. Unlike applying for a small business loan, you won’t spend all of your time sorting through documents and providing business history. In addition, you will hear back in as little as 72 hours – if not sooner. The advance is then repaid by agreeing to allow a certain percentage of your future credit card sales to be deducted until the amount is repaid in full. During months when credit card sales are higher, you […]

Every business needs the ability to be flexible. Without liquid assets, a business cannot react to changes, needs or opportunities that can and will arise. In the long run, the business’ bottom line will suffer and will never reach its fullest potential. For the merchant that has been categorized as being “high risk”, securing business funding can be a real problem. Traditional lending sources shy away and refuse to offer their services. This is one of the many reasons why merchant cash advances are quickly becoming one of the most popular forms of financing for small business owners. In fact, […]