MERCHANT CASH ADVANCES

Merchant Cash Advances are a quick and easy way for merchants to acquire the cash flow they need, rather than waiting for a bank’s tedious and slow approval process. Sometimes up to 30 and even 60 days. Additionally, banks have increasingly shunned small-business lending in the decades since the financial crisis. And now, as we experience an unparalleled time in our history, they are even stricter. The simple process of obtaining a merchant cash advance allows you to borrow against future earnings to access that capital today. Merchant cash advances are funded much more quickly than other forms of financing, within 2 to 3 days. Often the same day as your application!

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MCA's provide your business with a lump sum upfront, but rather than requiring monthly installments, a cash advance is paid back using a percentage of future debit card and credit sales, or receivables withdrawn directly from your daily credit card revenue. This means you, the business owner do not owe any funds until you generate sales! 

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Merchant cash advances are paid-back based on a percentage of your future debit/credit card sales, rather than a fixed amount. Unlike a traditional bank loan where you have a fixed repayment amount that must be adhered to, with interest, the MCA actual amount the provider collects changes from month to month. This is extremely beneficial for a merchant managing their cash flow. If you go through a slow time, the collections made on the cash advance decreases. If sales are booming, the collection amount increases. The good news is the percent that is collected never changes, keeping your business cash flow stable!  

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Can I repay my Merchant Cash Advance off early? There's no benefit to repaying early. Since you have to repay a fixed amount of fees no matter what, you get no interest savings from early repayment. This differs from a traditional “amortizing” small-business loan, in which early repayment would result in less interest paid.