A business cash advance is an expensive funding option with interest rates in the high double digits, in most cases. Be that as it may, there are some times when you should get one. We’ll be discussing those reasons, in today’s article.
Emergencies that affect something that drives business: If something stops operating at your company that is required for your daily operations, your top priority should be to pay for these repairs. Waiting for funding really isn’t an option. Let’s say you run a burger joint, and your main fryer goes on the frits. Obviously, you need a fryer to cook fries and other fried goods. Therefore, the high interest rate of the business cash advance is less relevant than the continued operation of your company.
Opportunities that are underfunded: If you have an opportunity for immediate profits or gains that outweigh the interest load of your cash advance, you should consider getting one. Obviously, if you have a cheaper funding source on hand, you should use that. However, don’t lose site of the goal.
For example, let’s say you have a service company for which you are presented a contract. You might not have the funds on hand to pay the expenses (like paying for additional temporary workers). In such a case, you should get the money necessary to fund this.
Emergencies that affect payroll: Finally, any emergency that prevents you from paying your employees should be your greatest priority. Not only do you get very little work out of unpaid employees, you will likely lose them at the first opportunity they get to leave. For this reason, using your business cash advance is a good idea.
For more information, go to Business Cash Advance at http://www.unsecuredbizloan.com/business-cash-advance/