Are you interested in growing your business? Which business owner isn’t, right? How are you looking to grow your business? Advertising? Renovations? Expansion? Buying new inventory? Buying new equipment?
How do you plan on paying for those plans for business growth? You do have options. There’s always the good (or not so good) old bank. Maybe you can apply for a loan. Then again, with the high number of Canadian business owners who get turned down for business loans, it may not be your best option.
Have you considered taking a merchant cash advance? Canadian business owners are finding that it is a much easier way to get their hands on money fast. And they can use that money for whatever business venture they wish!
Here are five advantages of merchant cash advances over business loans:
1. You don’t need any collateral or credit checks.
A merchant cash advance is not borrowed money. It’s a payment for your future credit card and debit card sales. That way, you’re not required to have your credit history looked into and impacted in any way. As well, you don’t have to put up your home or any other property as collateral. No matter what happens with your business, you are not placing yourself at any risk.
2. You get the money fast!
For the business owners who are lucky enough to secure bank loans, they still have to worry about enduring the long and drawn-out processes that are common with bank loan applications. With merchant cash advances, the application process is quick and easy.
A licensed funding specialist reviews a merchant’s recent credit card and debit card sales history and provides a free, no obligation quote. The details of the quote can be revised, however, once terms are agreed upon, the merchant is funded. This entire process often takes no more than 24 hours!
3. You’re practically guaranteed approval.
There is no question that far more business owners are approved for merchant cash advances than they are for bank loans. Again, with the quick and easy application process, it’s nearly impossible to go wrong. Remember that your credit history doesn’t come into play when applying for an MCA. Reasons that a bank may deny your loan will not be reasons for you to not receive an advance.
4. The repayment process is based on your sales.
In our experience, merchants who receive merchant cash advances cite the repayment process as the program’s best feature. There is no repayment schedule. Unlike with a bank loan, a merchant does not have to make a monthly minimum payment by a specific due date. Instead, payments are made automatically through a percentage of each credit card and debit card transaction.
That way, when sales are slow, payments are slow. When sales pick up, so do the payments. The repayment process takes into account the ups and downs of the business. There is never a time when a payment is due and the merchant cannot afford it. In other words, payments are only made when the merchant is paid first.
5. You avoid interest rates.
MCA’s are not free. There is a one-time fee. However, there is no interest rate. That means that no charges accrue on the outstanding balance over time. A merchant knows the amount of the one-time fee before accepting the advance and it is paid back over time as part of the total repayment amount.
For more information about the merchant cash advance program offered by Canadian POS Corporation, call us at 1-877-748-2884 or email us at info@localhost.