Details Why You Have To Check On Business Cash Advance Loan

There are times when a business will suffer with cash flow problems. Sales may have slowed down or your customers are not paying you on time. These are the times you may have to consider a business loan or better still, a business cash advance loan.

You will find that this is a more suitable option than a business loan through the bank. This type of loan is normally approved in a much shorter period than a bank loan would be. There are other benefits associated with this sort of loan as well.

You will not require a personal guarantee. The only stipulation however is that you may be liable in cases of misrepresentation or fraud. You will not need to pledge assets as security. The application is simple. You can get a no obligation quote within 24 hours. Once your application has been completed, you will normally receive the funding within 10 days.

The qualification criteria for a cash advance loan normally vary from company to company. A copy of the business license will have to be produced. The business needs to have a physical address. The company will need to have been trading for a certain length of time. Your company has to accept credit cards as one of its modes of payment. An additional requirement is that the credit card monthly receivables have to be equal to or exceed a specified amount. You may find that certain loan companies will stipulate that you ought to have at least one year’s business lease remaining. If you are a seasonal type of business, you will have to produce the sales information of your company for a time period specified by the lender. If you are a non seasonal business, the time period will be less.

The size of the loan and the costs related to it will be determined by your specific needs and the status of your business. The factors that will affect this include the business size, the industry that you trade in, the processing history and the volume of processing.

Loan repayment terms are uncomplicated. An agreed percentage will be deducted from the credit card sales of your business and paid directly to the lender’s merchant account. The percentage calculation will be based on the loan amount as well as the payment period you choose.

If you already have a business loan, you may be able to transfer it to a business cash advance loan as well. Discuss this with the company you have decided to get your advance loan from. It may be in your best interests to consider this as you could ultimately save money on interest repayments.