Reasons You Should Consider a Merchant Cash Advance
If you are looking for funding for your small business, you may want to consider a merchant cash advance. This can be a viable alternative to more conventional small business loans.
Technically, an MCA is not a loan. Instead, it is the sale of a portion of your future credit card sales. The lender receives payments (often automatically) from your merchant account until the principal and fees are paid off. These are some of the benefits of this arrangement:
1) It Is Easy
Compared to many other forms of small business funding, an MCA is very easy. You can typically submit a simple application and provide your bank statements. If you are approved, the money will be deposited quickly. Then, you simply need to keep selling to repay the advance. You won’t be spending hours completing long applications only to wait days or weeks to hear an answer.
2) It Can Involve a Soft Credit Check
Conventional loans almost always require a hard credit check (which affects your credit score). In some cases, they may do this before you are even in the final stages of approval. So, shopping around can hurt your credit score. Conversely, MCAs can sometimes be completely approved without a hard pull. Even if they do need to do a hard check, the initial prequalification can be done with a soft check.
3) You’ll Get Funded Quickly
The odds of being approved for an MCA are significantly higher than those for a traditional small business loan. Plus, money can arrive a lot faster. Many loans can take weeks or months to fully complete. An advance can often be deposited within a few days at the most. For many small businesses that need funding, this can be a true saving grace.
4) You Can Skip the Stress
It is no secret that trying to find capital for your small business can be stressful. There is a lot of responsibility involved in being a business owner. Plus, it often seems like lenders want to make it as hard as possible for you. Fortunately, with an MCA, you can get funding relatively easily. Therefore, you can stop stressing and focus on running your business.
Do you think that a merchant cash advance could be the right option for your business? Learn more about this powerful funding tool. This could be the financing solution you have been looking for.