Merchants that process with a traditional credit card processor are not aware of the term ISO and what an ISO can do for them. An ISO is an Independent Sales Organization that sets its own guidelines and more often has a much more responsive customer service platform. An ISO purchases a number of transactions from the large processor for a low cost and then re-sells them to their customers. While W-2 sales people for the processing giant have to follow strict guidelines on prices and promotions, the ISO can do what it wants. This can be very beneficial for the merchant. Merchants who process through ISO’s are probably not aware that they can also get a merchant cash advance via their sales rep.
It is a fact that fewer and fewer banks and lenders are providing funding for small business owners these days. When the bottom fell out of the market these lenders instituted lending plans that offered funding for very large companies with stellar credit ratings. It seemed that all avenues were closing to the smaller companies until merchant cash advance lenders came to the rescue.
ISO’s are tight with their customers. While the local sales department at a major processor may have hundreds of thousands of clients, the ISO may have a few hundred. Each ISO customer is tremendously important to the ISO. So when a client calls his relationship manager and says he needs to get cash quickly, the relationship manager wants to help. The solution is a merchant cash advance for ISO’s. The ISO will make an introduction between the merchant and a lender like First American Merchant Funding. The deal is discretely and quickly approved by the lender.
Unlike the old-fashioned small business loans a merchant cash advance is like comparing a new iPhone to the old rotary dialed telephones. Decisions are made fast and the borrower has the money in his account within 72 hours. With the old rotary phones it took forever just to dial the numbers and then the call had to go through a main switchboard before ever ringing on the other end. Small business loans can take weeks if not months. Merchant cash advances for ISO’s take a few days.
For the merchant there are no long and drawn out applications. They do not have to submit tax returns or financials. The lender looks at the company’s future and does not base an answer on the company’s past. The amount able to be advanced is based on the merchant’s sales activity. The merchant is actually selling a small portion of his sales to the lender until the amount id paid in full. Payments are based on the rise and fall of monthly sales and are not fixed where a payment could put an owner in jeopardy during a slow month.
If you are an ISO needing a merchant cash advance for one of your customers, or if you already process through an ISO and want a merchant cash advance, contact First American Merchant Funding without delay.
