Merchant Cash Advances and their Advantages

Merchant Cash Advances and their AdvantagesIn today’s business environment, keeping sufficient cash ready for any and every need, at the disposal of the business at all times, is neither considered practical not is it necessarily a great business practice. Holding up excess of liquid cash is often seen as an act that limits growth potential. One of the most frequently employed solution that’s being used to address sudden needs, which require cash of amounts beyond the available liquid capital is the Merchant Cash Advance.

Of course, there are other uses where such advance funding options can be used for, but for the scope of this article, we shall stick to the original purpose for which these loans were intended and since it still is the most common use for these loans, we shall consider this as the intention behind such a transaction.

What are Merchant Cash Advances?

In a business, it’s normal for revenue to be expected in the upcoming future. Against the expected earnings, some business lenders offer alternate business loans, which can be used as available cash capital readily. Loans of this type are known as Merchant Cash Advances.

At Business Advance Lenders, we offer Merchant Cash Advances in the form of our Working Capital Loans.

What do you need in Order to get a Merchant Cash Advance?

Merchant Cash Advances are amongst the easiest business loan products that are available in the market today. To qualify for such a loan from Business Advance Lenders, these basic criteria need to be met:

  • Business needs to have a revenue-generating history of 6 months or more
  • The monthly revenue during the past one year must be at least $15,000 and there must be a steady cash flow

If these qualifications are met, the following shall be required during a loan application:

  • Business Federal Tax ID / EIN
  • Bank statements (past three months)
  • Credit card transaction statements (past three months, where applicable)
  • Lease agreement
  • Landowner’s contact info
  • Business owner’s SSN
  • Average monthly gross sales figures
  • Average monthly credit card sales figures (where applicable)

Advantages of Merchant Cash Advance Loans

There are many advantages of Merchant Cash Advances that make them preferable versus other loans in many ways. Some of the main advantages are:

  • Credit Pull can be avoided: Since these are alternate business loans provided by non-bank direct lenders, the lender can choose to offer the loan without the traditional credit check and the merchant/business owner can choose to pick a loan which avoids the credit heck or request the lender to avoid the credit check.
  • Bad Credit Borrowers can apply: Many small business face hardships in borrowing due to a poor credit score of the business owner. Much like the credit pull being avoided, the credit score can also be overlooked by direct lenders, making borrowing possible for a larger number of businesses.
  • Merchant Cash Advances are Quick Loans: From a reliable and genuine lender, such a loan typically only takes 24 to 72 hours during working days, in order to get processed.
  • Eligibility is Easy: Most lenders shall have fairly basic requirements to deem a business eligible for a Merchant Cash Advance.
  • Paperwork is limited: Alternate business loans usually do not have the kind of paperwork that an SBA Loan or a bank loan would have. This makes the loans much easier to apply for.
  • No Collaterals are needed: Another advantage of non-bank direct lender loans is that collaterals are not asked for and most business owners prefer unsecured loans over loans with valuable collaterals.
How to Apply for a Reliable Merchant Cash Advance?

With Business Advance Lenders as your provider of a Merchant ah Advance, applying for a loan is a process that simply takes a few minutes. Here is the link to our online application for a Merchant Cash Advance. Once we receive the details and documents, our team performs verifications and an expert shall soon get in touch with the offer and for further assistance. We strive to serve borrowers with their required working capital within 2 business days.