Small businesses that are looking for funding options might find that traditional loans, business credit cards and revolving lines of credit are not available for a wide range of reasons. When it is not possible to qualify for the traditional loans, business owners can turn to a small business cash advance as a solution to funding needs.
Understanding the Loan: A small business cash advance is a short term loan that business owners can use for immediate cash needs. The business owner is expected to repay the loan quickly, though the exact length of time varies as a result of the flexible repayment method.
After the funds are provided, the company is able to use the cash for any necessity like buying equipment. The loan agreement will allow the lender to take a certain percentage of the credit card sales a business receives and apply the amount to the loan balance. This results in differing payment sizes and minimizes the complications that might arise during slow months when the business does not make many sales.
Qualifying for the Advance: A small business cash advance has very specific qualification requirements. While some variation might exist between lenders, most lenders have the same basic requirements that small businesses must fulfill.
The first major requirement is that the business must have the ability to take credit and debit card payments. This is due to the repayment method and all small business cash advance lenders will require this factor.
Many lenders also have set minimum income standards for the businesses. The exact amount will vary based on the lender’s individual policy requirements.
The cash advance lenders will also require that the company be in business for a set time period. Most lenders require at least one year since the company was established to provide proof of profits, but this can vary between lenders based on their specific policies.
Taking out a cash advance can help small businesses facing a financial need. Though the lenders will have some slight variations in their standards and qualification requirements, most small companies can benefit from obtaining these short term loans.
For more information, go to Business Cash Advance at http://www.unsecuredbizloan.com/business-cash-advance