Many have a bitter experience of being driven from pillar to post when it comes to fund raising for business start-up or support, There is hardly anybody who is not rejected outright both by friends and foes as well as financial institutions. If you are no exception to that then it is the right time to explore other alternatives to fund and fuel your business ambition. Business advance in cash is one such good alternative to traditional funding and helps you have a quicker access to money that you are in dire need of.
The first and foremost flipside of conventional loans – as exposed by the borrowers – is that you can hardly get the monetary assistance without a good credit score. No lender will consider you as a potential borrower if you fail to submit an impressive credit card report. What they make out from a dented credit history is that the borrowers are less likely to clear the dues in time. Besides the obligation of having a sound credit record, you have to make down-payment to get business loans. However, neither of these makes an issue when you apply for a merchant cash advance.
The best about the merchant loans is that a borrower’s credit score matters a little to the prospective lenders. Moreover, you need not to worry about what to use as collaterals because no such requirement is asked by the lenders in this case. Unlike the regular financial assistance, the borrowers need not to conform to the strict guidelines of ‘do’s and ‘do not’s. Another interesting feature is that merchant advance is attached with a limited set of instructions and flexible repayment facilities.
Getting a loan means you have to give it back with monthly interest as specified in the contract paper. The rate of interest is determined on the basis of several parameters, the risk involved in the business being one of them. Needles to mention, the lenders charge a higher volume of interest if your business is associated with high risk quotient. They do so in order to minimize the high risk factor as smaller as possible. On the contrary, the business cash advance presents no such negative scenario and is always available for every businessman, particularly the small business owners.
What happens with the conventional lending system is the lenders can never trust the borrowers no matter whether you have good amount of credits or not. They will always suffer from a panic that you may default on your payment. That is why lending criteria is made stringent in banks. Business cash advance – without any such prolix list of rules and criteria – makes it easier for you to get loans in quicker span of time.