The businessmen, who are determined to see their business expand and branch out in various cities or even to other countries, go to any lengths to make sure that they have the resources to do so. They apply for different loans whose terms and conditions are sometimes very complicated and repaying becomes difficult. However, if you apply for merchant cash advance then the merchant processing fees (although high) can help your business.
When you apply for any type of normal loan, you get it in a small amount and have to repay it within a set time limit. However, as you opt for Merchant Cash Advance, you get the money as a form of cash advance in a bulk or lump sum payment. Also, the repayment time depends on the condition of the business. If within a month, the business is going low or high then the amount can adjust accordingly.
Are you in need of a large amount of money in a very short period? Then MCA can provide you with the loan within 2-3 days. Although the duration varies with different banks and financial institutes, the process of applying is more or less the same. The procedure is not complicated as in any loan.
The first thing you must do is to make an estimation of your expenses. This will help you in determining the accurate or the least amount you want for your business. Also, collect the required documents to submit.
Go to a lender you think is best for you. Fill the application form carefully with the required information. The form is not more than of two pages.
Provide documents necessary to prove your authenticity. Proof that you are a US citizen, your bank statements, and prove that your business exists.
It takes 24-48 hours to have your application approved. The bank or institute will make sure that the documents you submitted are valid and you really need the merchant cash advance.
You may need to change the credit card processor if you are not on the required one. It is an optional one but you must be mentally prepared to switch over.
Sit down with the financial institute or bank and decide the details of the repayment details. This is necessary because it avoids any complication that may occur in the future.
As all the legal documentation and formalities are done, the money is transferred into the bank account of the borrower and he does not have to worry about repaying as it is automatic according to the extra amount is deposited in the form profit.
You will be in need of a platform where you can have the amount through the right process. One place you can consider out of so many is Orumfy, one that always there to help you with the minimum processing fee.
It is obvious that when you are handling a business, you are in constant need of cash flow. There can be many reasons to have it. However, to have the capital through MCA has many advantages.
In loans, you need to have a good credit history to qualify. It is possible to acquire MCA even if your business is not going well and your credit is bad. Many companies accept applicants with 500 credit score. The only concern is how long is the business running?
In contrast to small business loans, MCA receives the quickest acceptance. You need to provide credit card processing statements, bank account statements, and tax returns. When the bank is satisfied with your documents, they approve your cash advance just then.
No valuable belonging is necessary as a guarantee. Many secured loans have the policy of having something like an assurance to compensate in case of non-payment. Merchant cash advances have the option of auto payment. The amount varies according to the profit gained in a month.
The application and approval process takes 2 days, whereas in the ordinary loan the process takes weeks and the money transfers in months. However, here the amount is wired in the bank within a week.
The payback is even more easy and simple than the application process. Whenever the business will generate high revenue, the installment amount will be large. There are times when the business is not going as accepted, so the payback will decrease.
You can borrow a large amount for your business. Many institutes can give you 450% more against your annual income.
You can use the money that you have acquired in various ways. You can buy new products or equipment; expand to a new location, if you want to have more space then redesigning is the best choice. You can do many productive things once you have MCA but you need to be careful about choosing the lowest merchant processing fees.