Merchant Cash Advances: 6 Secrets You May Not Have Known
Merchant Cash Advance For Fort Lauderdale
A merchant cash advance is fast, simple and painless.
Get working capital and a funding infusion into your business today.
"Just got my Gator business loan. That is such a great relief. Thanks."
- B. Timbers, Sole Proprietor, Dania, FL
"Thank you so much for your good information. This is one of the best things I have acquired for my business."
- Y. Noh, Restaurant owner, Weston, FL
"I had a prior business and this was like déjà vu. I needed more money. So much of what you say is in line with the way I ran my bizz, but then I was shocked at how many things I did wrong last time. I’m so happy I listed to you and took the funding for my company."
- R. Tochi, HVAC owner, Coral Springs
Maximum Advance Amount
$2,500 - $1,000,000
Automatically deducted daily through your merchant account
1.14 - 1.18
Time to Funding
1 – 3 days
THE SIX SECRETS ABOUT A
Gator Business Loan
MERCHANT CASH ADVANCE
Have you ever found yourself in a financial bind in your business?
Have you ever wondered, "How do I get some fast cash?"
Do you find yourself thinking, “If only if I could get a cash advance on…?”
Maybe it’s a discount on inventory. Maybe a competitor just went out of business and you’d love to but their assets or customers. Or maybe you see an opportunity to grow and expand beyond your wildest dreams but just need a little cash to get you over the hump?
The Secret behind Merchant Cash Advances
If you’re like the 100’s of thousands of business owners in America who run into cash flow challenges from time to time, you’re in good company. If you’re like the millions who have tremendous opportunities but just don’t have the cash on hand to take advantage of them, don’t worry. For those of you that feel tied up…
There is a solution.
What is a Merchant Cash Advance?
A Merchant Cash Advance goes by many names. They include:
- Cash Advance
- Merchant Advance
- Business Cash Advance
- Small Business Cash Advance
- Business Cash Advance
One of the major differences between a business loan and business cash advance is how the MCA is repaid.
These 9 business loans below require a set or fixed repayment schedule. The repayment schedule may be daily, weekly or monthly. Short-term loans generally run from 3 to 12 months, and long-term loans run from 15 to 60 months.
- SBA Loan
- Equipment Financing
- Short or Long-Term Loan
- Working Capital Loan
- Business Line of Credit
- Invoice Financing
- Business Credit Cards
- PO Financing
- A/R Financing
Depending on who originates the other types of loans the terms can range from several months to a few years. Bank or SBA loans can be up to 10 years.
The repayment is fixed, regardless of your cash flow. If you find yourself in a situation where there is too much month at the end of the money (or week or day), you still must make that agreed upon fixed payment.
Merchant Cash Advance repayments can vary based on your cash flow.
The real benefit to you is that if you’re making more money (a good thing) you pay a little bit more, however, if you run into a slow period due to the weather or economy, holidays, etc., you pay a little bit less.
What Is a Cash Advance?
Although Cash Advances go by a few different names, (see list above), they have one thing in common. No matter what you call them, they help businesses deal with unexpected financial situations by putting cash in your hands quickly.
You'll find the application process of business cash advance lenders and companies much simpler than that of a traditional lender, and the approval process takes a lot less time.
Banks and traditional lending institutions require that you provide a sound business plan for the emergency funds. It’s an emergency! Who has time for that?
If they don't like your plan, they can just say no. Not to mention that if you don’t have near-perfect credit and the ability to collateralize or personally guarantee the loan there is virtually no way to get it approved.
When you get a merchant cash advance, you can use it for any business purpose. You don't have to document your plan for the money. Need to fix up the place? Go for it.
If you have taxes to pay or payroll to meet, use the money to stay current with those obligations. Want to buy inventory at a bargain price that won't last? Go ahead and approve that purchase order. It's your money now.
We understand that when you need cash right away, a mountain of paperwork can keep you from seeing the light at the end of the tunnel. The repayment process is simple so that you can get the cash you need and pay it back with flexible terms.
With a traditional business loan, even from a top small business lender, you'll have a fixed payment schedule due until the loan is paid off. If you have swings in cash flow it doesn’t matter. You're in trouble if you don't have the funds for your loan payment.
What if my cash flow varies from day to day?
On the flip side, with a cash advance, your daily payments adjust to your cash flow. If sales are up on any given day, you repay more. When you hit a slump in sales, you repay less.
Payments vary daily and are automated via your credit card processing system. The loan is customised to your business's ebb and flow, and there's typically no fee for early payoff. The loan is then repaid as a percentage of the daily total credit card volume.
The requirements to apply are basic: Usually a one-page application and your most recent 3 (sometimes 6) months of credit card and bank statements.
How to Apply
The application process for a business cash advance is simple, especially when compared to traditional bank loans, and your application will be processed quickly.
The best business lenders will assess your company's merchant transaction history to determine how much cash you qualify for based on your cash flow. They will look at the health of your business. Your personal credit score or FICO is less of a factor.
There is a minimum threshold for monthly credit card volume processing and a minimum FICO score to qualify. Usually, it’s no more than a few thousand a month in credit card transaction volume and credit scores as low as 500.
Most lenders make it very easy to apply for a business cash advance, and with no risk, cost or obligation. You can complete the online application or download the one-page application and provide the last three months of business bank statements. No collateral is required.
We'll work with you to match you with a cash advance option that suits your situation.
Is this for me?
If your business requires liquidity, a merchant cash advance may be for you. The requirements are basic:
- Proof that you've been in business five months or more
- Minimum annual revenue of $150,000
- Credit score of 500 or higher
- Monthly credit card volume processing of $5,000 or more
Profitability and accounts receivable are not factors. Our merchant cash advances are typically approved within 24 hours, and the rates and terms are competitive as well. Our staff works efficiently to approve your merchant cash advance because we know that a quick response is often imperative.
The ease with which you can apply for a merchant cash advance at Gator Business Loans is compounded with these benefits:
- No application fee, No cost, No obligation.
- Apply online or download the application.
- 1 page application, the most recent three months’ business bank statements and credit card statements.
- You don't have to identify what you plan to use the money for.
- You can avoid the hassle and documentation required for a traditional loan.
- Fast & Easy.
Compare our application process with a traditional lender. You would likely need to submit piles of paperwork, including three years of personal and business tax returns.
You must typically have a FICO score of at least 720, and you need to provide assets for collateral as well as a personal guarantee. When you need cash quickly to cover a slump in sales or an unexpected expense, a traditional lender may not be able to provide the funds you need in a timely manner.
When is a Cash Advance the Answer?
There are many situations in business, especially for new or small businesses, that need immediate cash to stop the leaking. These emergencies don't mean you're a poor business person; they mean you live in the real world where things change and economic conditions are not predictable.
If you need to weather the storm, a merchant cash advance just might be your life raft.
If you are currently facing or could potentially face any of the following business conditions or opportunities, a cash advance might be the answer.
You might be a candidate for an advance if you:
- See a business opportunity that could increase your revenue if you invest now
- Want to renovate your place of business
- Need to meet payroll
- Have a tax payment due
- Have an opportunity to increase inventory at a great price
- Own a seasonal business
There's no cost to apply, so it can't hurt, and it could be a bridge over troubled waters.