Benefits of a Business Cash Advance
There are many advantages of merchant cash advances verses traditional bank loans and small business loans as indicated in the comparison below. With business cash advances from Business Cash Advance.com, or typically any small business cash advance program, you are not subject to strict prequalification requirements or repayment guidelines. This type of cash advance program, sometimes referred to as credit card factoring or a merchant cash advance, simply provides you with cash in exchange for a small portion of future credit card sales. If you have a slow month, you pay less. You have a busy month, you pay more. We get paid when you get paid.
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Information |
Conventional Loan |
Merchant Cash Advance |
Financial Statements |
Detailed Financial Statements |
Financial statements NOT required |
Audited Tax Returns |
Audited Tax Returns required for 2-3 years |
Audited Tax Returns NOT required |
Time in Business |
Must be in business for a |
Just need to be in business for at least 1 year |
Personal Guarantees |
Personal Guarantees of all owners |
ONLY Guarantee against fraud or intervention |
Approval Process |
Lengthy Approval Process |
24-48 hours for approval |
Application Fees |
Costly Application Fees |
NO application fees |
Credit Scores |
High Credit Scores Required |
Proprietary Scoring system does NOT require high credit score |
Closing Costs |
Costly Closing Costs |
Minimal fee paid only if account funds |
Collateral |
Collateral of all Business Assets |
ONLY future credit card sales |
Application |
Lengthy and complicated application |
ONLY Non-binding application and copy of last four months credit card processing statements |
Payment |
Fixed Monthly Payment |
Repayment based only on credit card sales |