What Merchant Cash Advances Are
Originally, a Merchant Cash Advances was designed to be a lump-sum payment for businesses in exchange for a specific percentage of future credit / debit card sales agreed-upon by both parties. Now, it’s more commonly used to describe an array of financial options for small businesses.
They’re typically characterized by shorter payment terms and smaller payments in comparison to traditional bank loans.
- Loan Amounts: $5,000 – $1,000,000
- Loan Terms: 6 - 60 Months
- Interest Rates are Represented as Factor Rates: 1.14 - 1.50
- Time to Fund: Fast, on average 2-5 business days
Who Qualifies For A Revenue Based Loan:
These loans are great for business owners with limited time in business and limited collateral.
Some lenders are flexible when it comes to your personal credit score as well. These loans are great for businesses who have daily sales and are looking for a short term funding solution.
- Ideal Annual Revenue: $100,000+
- Ideal Credit Score: 550+
- Required Time In Business: 3 Months or more
How To Apply / Documents Needed
Revenue Based Loans And Advances cannot be obtained through traditional banks in most cases. Luckily, Finance Factory has access to the best options in the industry and expertise to obtain the capital you need for your business.
What’s Needed to Apply?
- 3 Months Most Recent Business Checking Account Statements
- Business Tax Returns (In Some Cases)
- Driver’s License
- Business Checking Account