What Are Business Cash Advance Loans?


Jeffrey Bumbales

As a small business owner, you probably have come to expect the unexpected. Like when your business is in sudden need of more cash to meet surprise expenses, pay for supplies, or cash-flow to keep daily operations running smoothly. The problem is, traditional lending options take time, excellent credit, and are not an option when you need a fast solution.

Faster, More Flexible Financing

When an emergency strikes (like your equipment breaking or cash-flow compromised by a seasonal slump in business) you don’t have a couple of months to wait for a loan. A fast solution can be your life preserver helping your business to stay afloat through challenging times.

Even if you do have time to spare, a bank may not approve your loan application. According to Forbes.com, most small business owners today don’t meet conventional lending criteria, and those with low credit scores, or are in need of cash quickly, are being forced to seek funding outside of the bank.

The good news is there are other funding solutions that can end the stress and chaos and provide that cash you seek with speed and ease.

Business Cash Advance Loans

The solution is known as a business cash advance, which is not a loan, but rather, it’s an option that allows you access to your future sales today when you need it most.

According to businessnewsdaily.com, this funding option offers small business owners speed, availability, and flexibility that answers effectively to their immediate needs without added worry about the affordability of the monthly payments. Why? Because repayment of your cash advance is tailored to fit your business.

What exactly is a business cash advance?

  • It is not a loan. You are getting an advance on your future sales revenue to use today. The money is paid back based upon a small, set percentage of your business’s daily credit card processing receipts.
  • They are unsecured business cash advances, so you do not need to risk valuable collateral.
  • The decision for your advance is typically made within two business days and your money can be in hand within 72 hours.
  • Since your monthly payments are based on a small, set percentage of your business’s daily credit card processing receipts, your payments are cash-flow friendly. Instead of being locked into a large monthly payment, they ebb and flow based on the sales volume of your business at that time.

Will I be Approved For The Advance?

  • When you apply for a business cash advance, you are not judged by your credit core or how long you have been in business. You will not be asked to provide a lengthy, detailed business plan, collateral, or be required to wait for weeks for an approval.
  • Qualification is based upon the overall health of the business you have built and your business potential.
  • Prequalifying is quick, simple and only requires filling out an online form and submitting a couple of bank statements.

Sometimes fast funding solutions are required when you own a small business: that’s when business cash advances can be ideal. To learn more about all of your funding options, contact Credibly today!