Let’s face it! Your chances of staying in business are slim if you can’t manage stable cash flow. In fact, a U.S. Bank study reported that over 80 percent of micro-businesses fail for the same reason. And many would conquer with these findings: because if a firm lacks enough working capital to hold up routine operations, then it is destined for closure. But again, you don’t want to “hoard” working capital as that may slow down your growth. You need to balance your cash flow such that enough funds are allocated to help seize expansion opportunities, and the rest kept […]

Are you considering your options of getting financing for your business? Many entrepreneurs turn to a bank to obtain a small business loan, but very often they feel hopeless after being rejected. Banks tend to reject more people than they approve. Even if banks give you a green light, you’re likely to pay higher interest rates. Business Loan Challenges According to the 2016 Small Business Credit Survey from 12 Federal Reserve banks across the US, which was conducted in the last half of 2016 and included over 10.000 employer firms across all 50 states, small businesses feel optimistic about the […]

For the minority-owned business, it can be incredibly difficult to secure a traditional loan for various reasons. For example, discrimination against the owner’s credit score or the business’ location. If the business is part of an industry considered to be “high risk” by traditional lenders, it will even more difficult to secure the working capital needed. Just like any other business, without sufficient cash flow the minority-owned business will be unable to cover expenses, purchase inventory/equipment or fund growth and expansion. For this reason, many businesses turn to alternative lenders like First American Merchant. An alternative lender typically specializes in […]

Cash flow impediment is one of the biggest problems businesses, especially young ones, face every day. A merchant can have slow cash flow because of several factors, some of which are outlined below. Weak sales Traders who are not selling enough to satisfy their target and meet expenses are already experiencing cash flow issues. Reasons for a reduction in the number of daily transactions can range from poor business management to an unexpected change in the market, such as the entry of a dominant competitor. It is also common for new businesses to suffer low sales in the first few […]

Maintaining a steady cash flow is paramount for the healthy growth of your enterprise, and doing so demands streamlined spending habits. While we don’t recommend just going for the cheapest business services available, you should sit down and evaluate the areas where you might be able to save some cash. Here are a few tips on how you can cut operational costs while maintaining the quality standards of your goods and services. Bundled internet and phone packages As a business owner, you probably spend a lot on cellular and internet services. Because simply doing away with these expenses is not […]

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 […]

First American Merchant is well aware of all the hardships that high risk business owners face. Businesses, especially high risk, come across many ebbs and flows along the way. FAM has the experience and flexibility and offers proven platform for merchants to help them achieve success and expand their business. FAM is a reputable payment processor in the US and specializing in the high risk industry. Consumer Financing from FAM As a rule, business owners are interested in issues concerning merchant base for a “90 days same as cash” program for their customers. Small business owners are looking for ways […]

While many high risk small businesses have trouble finding funding, many would think that companies that work with the government, or the CDC, or other big-time national conglomerate would have an easier time. Wrong! Advocates for small businesses and the U.S. research community are once again at loggerheads over pending legislation to expand a multibillion-dollar federal program that promotes commercialization of academic research. It is shaping up as another long, hard fight. Science lobbyists are playing catch-up but have time on their side, while small business leaders say they do not understand why more academics are not in their corner. […]

Small business merchants know that it can be tough to find a loan. When banks turn them down and it seems like there is no place else to turn, some merchants jump on the first thing that comes by, without reading the fine print. This is a huge problem – and it can affect your business and your personal finances if you make the wrong choice. Some online small business loans are not worth dealing with. Payday-type loans are always a no-go, even if they claim the interest rate are good. The companies can end up charging you 150% of […]

Loans are tricky. From home loans, to car loans, and even small business loans, there are many catches to obtaining one. Small business loans may be the worst when it comes to a denial rating – which may end up being a good thing for your business. The “cons” often outweigh the “pros” when it comes to a small business loan, so being turned down is not necessarily bad. However, it can be bad when you do not know about any other funding options available. So, what do you do? It is not like you can petition the bank to […]