Do you own a small business and want to expand it? Do you need fast cash? Instant cash advance for business is an excellent, resourceful substitute to traditional small business loans. If you want a traditional business loan for your business expansion, it can be really difficult. With extensive documents to fill up and submit, credit checks requirements, providing satisfactory collateral, going through the lengthy process - and all these things still do not promise to get you the loan approval. If your business is in need for quick cash, business cash advance is a better alternative with less paperwork, no collateral and no credit checks. Also business cash advances can be used for almost any business expense.
Eligibility For Business
Unlike traditional small business loans which require collateral and numerous credit checks, qualifying for business cash advance is quite simple and less restrictive. To qualify your business has to be operational for at least one year, and it should have processed credit cards for a minimum of six months. Some lenders also ask for minimum monthly credit card sales. Though there is no need to have a strong credit rating to qualify for a business advance, if you have one it will certainly help you get a better deal or a larger cash advance.
How Does It Work?
In a case of instant cash loan for business, the borrower sells a percentage of his business's future credit card transaction to a lender. The lender reviews the past credit card transaction records and lends him cash depending upon his business's average monthly revenue. For repayment, both the lender and the borrower agree upon a fixed percentage and the lender take that percentage of borrower's future credit card receipts to repay the cash advance. Since these loans are more beneficial to borrowers than the lenders, the lenders charge quite a high premium for them.
Instant cash advances for business are repaid through credit card sales. There are no fixed payment schedules, and no due dates for repayments. The lender will automatically deduct a percentage (previously agreed upon) of your monthly credit card sales through repayment of the cash advances.
With the information available on the Internet, research your options well. Find out the business cash advance provider that is right for you. Prepare a list of required qualities for a lender and be sure to select the lender who meets all of those criteria. If your business needs cash immediately and it does not qualify for a small business loan than instant cash advance for business would be a better alternative.