There are many different things you can use a merchant cash advance for. The truth is that it is totally up to you what you decide to do with your money. And that’s because it is YOUR money! You see, unlike a bank loan, when you receive a merchant cash advance, you are not borrowing anything. The money is an advance on credit card and debit card sales that you will inevitably make.
You are being paid for your future sales. As a result, you’re not required to divulge what you will be using the money for. Loan officers at banks are generally very concerned and interested in exactly what you plan on doing with the money they are considering allowing you to borrow. So when you take advantage of a merchant cash advance program like the one offered by Canadian POS Corporation, you can take that concern off the table!
So what can you use your merchant cash advance for? Here are five bright ideas:
1. Paying bills.
Have you gotten behind in paying your suppliers? Do you have electric, water and gas bills that still require the remittance of payments? If so, you’re not alone. Business owners all over Canada have a lot on their plates and can often have a lot of responsibilities that get overlooked. Furthermore, slow seasons can force business owners to miss payments to certain providers.
2. Purchasing new equipment.
Is the oven at your bakery on its way out? Is the car lift at your auto body shop in serious need of an update? No matter your business, you require important and necessary equipment in order to run it successfully. In many cases, repairs and replacements are very expensive. And because prices for equipment can be so high, they can be unaffordable if you don’t get a little extra help.
3. Buying new inventory.
What would your business be if it wasn’t able to meet the demands of its customers? Naturally, in order for your business to continue to prosper, it must be able to stack the shelves with the highly sought-after products that your customers covet. Many businesses buy particular pieces of their inventory at certain times of the year when they can get significant discounts if they increase their order sizes. These heavier costs are helped by getting extra working capital fast.
There’s nothing quite like revamping the look and feel of a place of business in order to generate new interest in it. Recipients of merchant cash advances often spend a little money on revamping their company websites as well. In today’s business world, your website is often the first place that potential customers will visit to learn of your brand.
5. Emergency situations.
Unfortunately, there are bound to be times when something comes up that you don’t expect. Vandalism to your storefront, a broken pipe that floods your basement and even theft are all unwelcome circumstances that require a significant amount of money in order to remedy.