The last 5 years have brought a 20% annual growth for the merchant cash advance (MCA) industry. Some companies go for merchant cash advances, while others choose invoice factoring. This article will draw a parallel between these 2 types of business financing. So, let’s go. Merchant Cash Advances A merchant cash advance (MCA) is also called a business cash advance. This is an alternative business financing option that’s not a loan. With an MCA, you get a lump sum of money in exchange for a certain amount of the future credit card sales of your business. You must pay back […]

SME financing is an excellent way to deal with unanticipated business expenses or fund a project that will expand your bottom line. But funding alternatives are different in features, terms, and costs, and some options may suit your requirements better than others. An MCA, for instance, is a form of financing built to offer funding to a micro-business. Merchant cash advances are, in most cases, easy to win than conventional business loans, but they work differently than the latter. They are not even controlled by the same rules that regulate business loans. Even worse, there exist no rules governing the […]

If you are a small business in need of capital, you may have noticed that your options for securing extra financing are greatly limited. It is generally standard for new small to medium-sized businesses to have great difficulty in finding a bank willing to lend them money.  New businesses simply don’t have the credentials and track record that lenders require to prove their trustworthiness. However, there is one solution that can be worth considering if you have been denied a business loan, and that is a merchant cash advance. A merchant cash advance (MCA) is a cash advance based on […]

If you are in urgent need of commercial financing to keep your small or medium business on its feet, you should choose from the many flexible alternative types of financing to help address your specific needs. A merchant cash advance is one such innovative way to acquire funding. The product hasn’t been around for too long— at least not as long as loans and credit lines, but savvy merchants are already making the most of it. Cash advances are comparatively easy to acquire; they offer hassle-free settlement terms and can help you bridge the gaps left by other forms of […]

Today business owners favor Merchant cash advances over standard loans. Undoubtedly, that’s enough reason to shed light on why this funding alternative is gaining popularity over the most popular financing products that small business owners have relied on for decades. What is an MCA? Most business owners mistake a merchant cash advance for a high-interest advance or a short-term loan. But in reality, it is a sale. Contemporary lenders like FAM buy your upcoming sales at a discount. The borrower and lender settle on the amount of sales being purchased and at what discount. You can access MCAs without having […]

Late payment is a problem that plagues the cash flow of many merchants and is one of the fastest ways to go out of business. Regardless of how successful or established, a major part of your job as a trader is to ensure that all transactions are completed on time. Of course, the billing policy you’ll employ will depend on your type of business. If you run a large-scale enterprise, for example, your clients will likely expect to be given at least a few weeks to pay their invoices. And although you’re often left with no choice, agreeing to their […]

Since their inception, merchant cash advances have been considered the best option for business owners to gain quick funding when needed. They are easy to apply for and don’t demand too much information. Moreover, leading players such as First American Merchant offer fast approvals, with cash deposited within only a few days. That said, smart merchants have come to the realization that cash advances mean a lot more than just a bailout from a tough or unexpected situation. When used wisely, alternative funding can help to improve sale volumes and return larger profits. And in this article, we aim to […]

Applying for a bank loan is associated with many things. Filling out paperwork isn’t enough to get approved for a bank loan. Below you can find 10 important points to focus on before applying for a bank loan. Do You Qualify for a Bank Loan? If you see you cannot qualify for a bank loan, applying for it will hurt your credit. Find out the requirements of the bank beforehand. Most banks will tell you the lowest credit score, the cash flow and other qualifying factors they require. The Amount You Need Make sure to know the exact amount you […]

If you need to finance your small business quickly, a merchant cash advance can be a great solution to your problem. MCAs are becoming more and more popular in the modern world of business, and many small business owners view an MCA as the best funding option to consider. A merchant cash advance shouldn’t be regarded as a loan. You get a lump sum from the MCA provider, which is automatically repaid based on a percentage of your daily credit card receipts. The mentioned percentage is known as “holdback” or retrieval rate. Usually, it may range from 5% to 20% […]

To get funding for your business you can apply to traditional banks and other lenders as well.  The great thing about alternative funding options is that they will help you stay away from the hassle of dealing with the long and often tedious process of getting funds from your bank. Funding  Your Small Business Small business owners often look for a convenient and affordable business loans to finance their company. Today, a merchant cash advance is a popular type of business funding, which is increasingly being chosen by more merchants. A merchant cash advance can be characterized as a smart […]