Merchant Cash Advances – a Great Alternative to Traditional Loans
Small businesses and entrepreneurs may find it difficult to secure a loan from a traditional financial institution. This is not of necessity because of the business doing poorly or expected to fail, but because most new and small businesses simply are not able to meet the loan qualification criteria set forth by the commercial financial institutions. The most common cause behind this inability to meet with qualification criteria is simply because the business has not had the time to have a credit score or establish a credit card sales history.
A business cash advance can provide businesses with an alternate solution to traditional financial institutions by providing capital in exchange for cheaper rates on future credit card revenues. This process is referred to as credit card factoring and is based upon future credit card transactions.
Benefits of a Business Cash Advance
Getting approval for a Business Cash Advance has a number of advantages and benefits over attempting to receive a loan from a bank or other traditional financial loan center. Some benefits of Merchant Cash Advance are as follows:
Easy Approval of Merchant Cash Advance
Unlike traditional bank loan, a Business Cash Advance is easy to qualify for. Since these advances are based upon future credit card sales and percentages instead of past credit ratings and financial history, approval rates are high. Even businesses who have been previously turned down at a financial institution for a business loan can still qualify for a Business Cash Advance .
Fast Processing
Since little paperwork is required for processing a Merchant Cash Advance, turnaround time is fast. When applying for a traditional loan at a financial institution, you may spend hours doing application work and then wait weeks or even months for the approval. Approval for these advances is usually made within just days after submitting the short application . After approval , your business cash advance could be in your pocket within 10 business days.
No Credit or Collateral Needed
A business cash advanced is not a traditional loan. Business financing from a bank are recorded on your credit and may result negatively affecting your credit report. Instead, it is treated as a sales transaction. Resulting, your business credit rating is not affected. Since the advance is based upon future credit card sales, no collateral is required . Learn more at RapidAdvance.com
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