What is a Credit Card Advance Loan?
Because it has gotten so difficult to get approved for a business loan nowadays, a couple of investors got together and came up with a way to offer small businesses the working capital they need while minimizing the amount of risk to themselves. They figured that the less risk they have, the more businesses would be eligible… and they were right. Rather than relying exclusively on their credit worthiness; they began to focus on the business’s earning capability. To do that, they look at the past few months of the businesses earning statements and come up with estimated future earnings. They focus primarily on the businesses credit card sales because it is through the credit card processor that they will be paid back. I’ll explain; If your business processes $10K a month in credit card sales, they will offer approximately a $20K advance. (the amount you actually qualify for varies) They set up your credit card processor so that a percentage of your daily credit card sales is used to pay back the cash advance. Because this is done automatically through the processor; it minimizes the risk of defaulting on the advance. It is this feature that makes it possible for business owners who have already been turned down by the banks qualify for a cash advance. Aside from high approval rates; other key features of a credit card advance loan include; It takes only 24 hours to get approved You get funded in less than a week in most cases No collateral required A flexible payback structure that goes with the natural flow of your business No more monthly bills or late fees.
You may have heard of this type of funding referred to as a merchant loan, merchant cash advance or a business cash advance. Either way; they offer quick funding for your business even after the banks have turned you down. If your business is seeking additional working capital you need to be aware of all of your options. Use the following link to see if a credit card advance loan is right for your business. For more information about a credit card advance, go to http://creditcardadvance.org