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How to Get a Loan for a Struggling Business

Owners of businesses that go through periods of rough seas know it can be challenging for them to obtain access to working capital. Struggling small businesses usually don’t expect a warm handshake from their bank or credit union. Instead, they very often get a cold shoulder. If you own a struggling business and want to get business funding, read below.

Business Loans for Struggling Businesses

Even if you work hard and with great dedication, there’re factors outside of your control. These include recessions, surging competition, rising supplier pricing, and changing customer preferences. You can’t predict them or keep them under control. So, if you’re a struggling business owner, you’ll get approved with difficulty.

Another thing that can make you a hard-to-approve merchant has to do with the nature of your business, meaning whether it’s high risk or not. Being high risk is one of the main reasons why businesses get declined for a loan.

Some of the most common reasons to be tabbed as high risk have to do with bad credit or no credit, a short time in business, higher rates of chargebacks, high risk industry, bankruptcy, tax liens, and more.

Since it can be difficult to secure a small business loan, you should find the best way out. One thing is for sure: traditional banks and other financial institutions are going to require extensive paperwork, collateral, financials, and long wait periods.

If you haven’t applied to an expert alternative online lender in the field, it’s high time you did. With a true professional in the field, you can get the necessary working capital quickly, easily, and affordably.

The Right Business Funding for Struggling Businesses

Struggling businesses that need quick and easy access to working capital should consider applying for a merchant cash advance (MCA). MCAs have turned into a highly popular type of business financing in recent years. Many merchants choose them over traditional business loans.

A merchant cash advance isn’t a loan: it’s simply a sale ─ the purchase of your future sales. The MCA provider purchases a certain amount in future sales so that you can have the money for an upfront expense. Then, you start paying back the amount (and the agreed-upon fee, which can be up to 30% of the amount advanced) as sales are made.

Your payments will be based on your receivables. So, if you have more sales, you’ll pay the advance off more quickly. If you have a slow period, you’ll pay back more slowly. Either way, the amount to be paid is the same.

FirstAmericanMerchant.com, a reputable high risk specialist with an A+ rating with the BBB, can help you secure the cash you need for growth. So, if you’re looking for reliable, low-cost, and quick business funding, consider turning to FAM. The merchant cash advance is First American Merchant’s most popular high risk business financing option for merchants.

First American Merchant Cash Advance Requires:

  • No tax returns or financials
  • Simple proof that your business makes money

First American Merchant Cash Advance Offers:

  •  Simple, flexible programs with a high approval rate
  • Approval based on the total gross deposits into your business bank account

The Main Ways to Repay FAM’s Cash Advance Include:

  • Split Withholding
  • ACH Withholding
  • Lock Box or Trust Bank Account Withholding

ISO agents searching a financial institution that will turn cash advance deal declines into dollars should consider turning to FAM as well. FAM has a connection with several banks and provides all the resources you need to make things easier.

FAM prides itself on providing all small businesses with affordable and transparent business loans. The application process will take just a few minutes. Your business will get the cash it needs in as little as 24 hours.