A merchant cash advance gives a business access to capital fast to meet their business needs based on future credit card receivables. The way this business cash advance works is it gives a business access to funds in a fast and simple way in return for a portion of the business’s future revenue receivables at a discounted price. To be approved for an MCA, certain criteria must be met. An important criteria, among others, is that the business must accept credit card payments or have other receivables.
At US EXPRESS FUNDING, applying for an MCA is very fast and convenient, and can be done from your mobile device, tablet, or computer. Applying can be done from our online portal and should take just a couple of minutes . Our merchant cash advance amount starts at $5,000 and can range up to $200,000.
Which business is ideal for this type of small business financing? Businesses who accept credit card payments and are in need of fast access to capital funds are ideal candidates. Remember, aside from being simple and having a much easier application process, a merchant cash advance provides flexibility. The reason an MCA provides flexibility is because the advance has variable payments based on business receivables. If your business has high credit card sales, lots of receivables, or is seasonal, then a merchant cash advance might be ideal for the business.
Automatic payments calculated based on a percentage of the business’ credit card sales or other revenue receivables
Payments are based on the businesses receivables so there is no fixed payment term
The receivables are purchased at a discounted price and fees may be charged and deducted from the advance amount
US Express Funding line of credit is extremely flexible and gives your business access to the working capital it needs, when it needs it most. As mentioned, a business line of credit is ideal for repeat cash flow needs. It’s also a great option for obtaining working capital to pay for unexpected expenses or exciting new business opportunities. US Express Funding offers and facilitates access to financing from $5,001 up to $250,000*. Best of all, the amortization terms can vary from three to eighteen months*. Payments on the outstanding balance can be made with fixed daily, weekly, or monthly payments that are automatically withdrawn from the business bank account on file*.
A merchant cash advance works by granting businesses access to working capital in return for a portion of their future credit card or other receivables at a discounted price. Small businesses can apply online and, if approved, we’ll send the funds to the business bank account provided.
A small business that wants to apply for a merchant cash advance must have accounts receivable such as credit/debit card sales and invoices. After they apply, the alternative funder will need to review credit card processing statements, business bank account statements, invoices, and other important documents.
While many small business funding companies use personal or business credit as a factor when looking at your financing application, it’s not the only determining factor as to whether an application is approved or not. Most alternative small business funders take into consideration the overall performance of your business by looking at business revenue, time in business, accounts receivable, and business credit history.
Merchant cash advances allow access to quick working capital with flexible payment options that tend to be more flexible than traditional small business loans. With upfront access to working capital, businesses can more quickly fund their needs. By basing payments on a portion of future receivables, it allows for more flexible payments. Cash advances are ideal for businesses that are seasonal or have high credit card sales/lots of receivables.
