subject: Which Is Better, A Merchant Cash Advance Or A Business Loan? [print this page] Because of the economic recession, more and more businesses leave no option but to close shop. This is so because many consumers tightened their spending belt due to unemployment and other financial constraints. However, if you are in this crossroad for your business, do not fret. You do not have to close shop just because people are cutting their expenditures. The answer to your dilemma is merchant cash advance.
A merchant cash advance differs from the ordinary business loan because of these following factors:
-Traditional business loans require longer days for approval compared with advances that assure a shorter waiting period. If your business is bleeding, you need to come up with additional money to keep the business afloat as immediate as possible. With a business advance, money is provided quicker and faster than an ordinary business loan.
-No collateral is needed when you apply for an advance, compared to when you apply for an ordinary business loan.
-Repayment differs tremendously since with a business loan, you will be acquiring additional payables since there is a fixed amount and schedule for your repayment of the loan. However, with a merchant advance, there is no set payment schedule rather a reimbursement will be processed during credit card transactions.
-Approval rate is higher with business merchant advance than with the ordinary business loan. Therefore, if you really need the money ASAP, then applying for an advance is faster than with the ordinary business loan.
If you are facing tough times with your business, the best way to help you out will be to apply for a merchant cash advance. And to fully take advantage of this process, you must ensure that you look for the best merchant processing company, the one that ensures you with the best service, good rates and the credibility. Get out of your financial constraints with the help of a processing company to give you the best deal on merchant cash advance procedure.
