Sep 12 2010
Business Loan – Three Easy Steps To Get A Business Cash Advance Approved
Are you losing out on business growth due to shortage of funding? Is the long wait for loan approval not making any sense? Are you being asked to produce hordes of unnecessary financial documents? Are you fed up of all the inconvenient questions surrounding your business loan proposal? Are you looking for a fast and trouble-free solution to procure funding for your business and get ahead of the competition? If yes, then a business cash advance, also called a merchant cash advance is the answer to your prayers.
Business cash advance is a funding alternative that is revolutionizing the the face of the financial industry. While a conventional loan application can take weeks or months to process, business cash advance available to you within a week, sometimes in as few as three days. The application form can be filled and submitted on the company’s website. The form is quite simple and takes little time to complete. Further, you don’t have to furnish loads of proofs to get your application accepted.
The business cash advance application process works in the following manner:
1. Creating an account with an approved credit card processor
Business cash advance is not a loan, it is a purchase of your business’ future credit card receipts. Thus, to receive a business cash advance funding, you set up an account with a major credit card processors. Open an account with the permitted credit card processing service and start accepting credit card payments at least six months before applying for a business advance.
2. Submitting an application for an advance
Business cash advance providers ask for your credit card processing statements with the application. Your application is qualified based on two criteria – longevity of business and average monthly credit card sales volume. Typically, you should be in business for a minimum of 6 to 9 months with average monthly credit card sales of $5000 or more to be accepted for a business cash advance.
3. Finalizing the business cash advance
If your application is approved, you will receive a contract from your provider. This will lay out four vital pieces of data.
- Future credit card receipts amount: This is the amount of the credit card receipts that you sell to the provider in exchange for the cash advance. It is in fact the actual cost of the advance.
- Cash advance amount: This is the total amount of money the provider will advance to you.
- Percentage of daily credit card sales: This specifies the percent of credit card receipts you will repay to the provider every day. This percentage should be fixed at the start and not change through the payment period. Scrutinize the fine print thoroughly for imprecise clauses that can be used by unscrupulous providers to change this percentage at a later stage.
- Penalty terms: The terms are specified to apprise you of potential actions in case of contingencies.
Scrutinize the contract with a fine toothcomb. Clarify all doubts and understand every term and condition mentioned in the contract. Remember that business cash advance is not a loan. Your contract is the only legal defense against dishonest providers. Once you sign on the dotted line, the advance will be transferred to your account within seven days or less.
Business cash advance is a quick and painless financing option. Simplify merchant advance funding by learning about the prerequisites for approval. Daljeet Sidhu is the author of this article.

















