Merchant cash advance financing with us is fast and easy
If you are thinking about starting a new business, you will most likely need a loan to be able to maintain it and so that it can move on to the growth stage.
Getting a loan for an emerging business requires a lot of strategies because at this point your business still does not have a business history. For this reason, it is difficult to prove to lenders that your business will be profitable enough to repay the loan.
Before reaching your loan options, it is important to highlight that to qualify for any loan you will need a business plan that details what the business is about, who your customers will be, the physical location where your business will be and when it will be operating. A solid business plan that works like a map can show what will make your business successful and how you plan to achieve it.
The first loan option is a loan in installments, which is a traditional bank loan where you finance an amount of money and pay it monthly along with the determined interest. To qualify for an installment loan you need good personal credit and you do not need to present any information about your business because it is a personal loan.
Another option is a business credit card, which is easy to get and you do not need excellent credit to qualify. The disadvantage is the high interest and the capital limit if you need to make a large purchase of property, equipment or inventory.
The next option is a line of credit, a type of revolving credit that gives you access to capital whenever you want, and you only pay interest for the amount of money you withdraw. The line of credit can provide you more capital than a credit card and the interest is much lower; but of course, you need better personal credit to qualify.
Another option is equipment financing, which consists of using the equipment of your business as a guarantor of a loan. In case you can not meet the loan repayment, the lender can sell your equipment and recover your money.
The financing of accounts receivable can also help you but it has a great cost because more than a loan, it is a fast form of money. Basically, it’s about selling your future income to the lender at a cheaper price for him.
Finally, there is the merchant’s cash advance via this resource from https://acfa-cashflow.com/, which is also a quick money form. Payments are made through a percentage of the income from debit and credit cards your business receives. If your business is doing well, you pay more and get out of the loan faster, and if you do poorly you pay less.