Small businesses are the heartbeat of our nation’s economy, and COVID has made a massive impact on that heartbeat, slowing, and even shutting down (too many) small businesses across the country.
However, surviving the pandemic’s economic impact is possible with the help of financial assistance- a merchant cash advance.
If you (like many others) find yourself needing an immediate increase in capital to keep your small business afloat, a merchant cash advance could be your best option.
An MCA can help your small business during COVID by putting money in your bank account, not tomorrow but today.
Let’s dive deeper.
How does a merchant cash advance (MCA) work?
So, to put it simply, getting a merchant cash advance means you borrowed money from a lender and will have to pay it back. It’s not technically a loan because there is no interest and the terms are different, but you still have to pay back the money borrowed along with a fixed cost.
You- the small business- and the merchant cash advance provider will discuss lending terms and how the money will be paid back. The most common way small businesses pay back the cash advance is through a percentage of daily credit/debit card sales.
The more debit/credit card sales your business makes, the faster you will pay back the advance. If you have a slow day and don’t make many sales, the percentage withheld will be lower to compensate for less profit inflow, which is important considering the impact of COVID. Your lender may also offer fixed daily withdrawals as a repayment option.
How can an MCA help my small business during COVID?
If your small business is really struggling, an MCA can provide you with more than enough working capital to keep your doors open. The cash will be deposited into your bank account, usually within 24hrs of signing an agreement. That’s lightning-fast cash at your disposal.
Another reason an MCA can be your best option during COVID is that you won’t have to put anything up for collateral. If you fail to repay the cash advance, you won’t have to worry about losing any personal or business assets.
How do I get a merchant cash advance for my small business?
The first step is finding the right MCA company for you, like Merchant Funding Solutions. The cash advance provider you partner with should be trustworthy, honest, and not financially struggling due to COVID. Getting a merchant cash advance for your small business might look something like this.
- Apply for funding through an MCA company.
- Provide all necessary documents and business proof.
- Wait for approval.
- Finalize cash advance and repayment details.
- Get the cash and begin repayment.
A cash advance could be the lifeline your small business needs during COVID. Our team knows the struggle and is here for you every step of the way. Get a quote and receive the helpful cash advance you need today!
