All business funding that is borrowed falls into two camps. One type is funding that is relatively difficult to obtain, is slow to get disbursed, has lower than average interest, and has long payback periods. The other type includes funds that are fast and easy to obtain, have higher than average interest, are quick to get disbursed to you, and have short payback periods. It is very important that you use the right type of funding for the right circumstance. For example, you would never want to use a business credit card to pay for a long-term fixed asset; you’d want to get a secured loan with that asset as backing instead. We’re going to discuss the business cash advance as a funding option, in today’s topic.
A business cash advance is not a cheap way to borrow money. Interest rates, when calculated yearly, range from high double digits to low triple digits. The money should be borrowed for a short amount of time, typically 60 days or less. Also, the process should not be repeated.
What I mean by this is: you have a specific emergency that requires funds, you have a plan to repay the loan plus interest in the near future, and you repay the loan in full. After that, don’t use the option again until the next emergency. Too many people get caught in rolling advance after advance simply because they haven’t planned properly. Don’t let that happen to you.
So, as you can see, a business cash advance is fast, easy, expensive, and should be repaid quickly to avoid paying heavy penalties.
For more information, go to Business Cash Advance at http://www.unsecuredbizloan.com/business-cash-advance/