What is a Merchant Cash Advance?
A merchant cash advance gives a business quick access to working capital in order to meet business needs based on future credit card receivables. Merchant cash advances come in various forms and often have shorter durations and smaller remittance amounts than business term loans, making them ideal for small business owners who need flexible options to satisfy their funding, while maintaining strength in cash flow.
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Which business is ideal for this type of small business financing?
Businesses who accept credit card payments and are in need of quick capital are ideal candidates. Remember, aside from being simple and have a much easier application process, a merchant cash advance provides flexibility with variable payments based on business receivables. If your business has high credit card sales, revenue receivables, or is seasonal, then a merchant cash advance might be ideal for you.
Merchant Cash Advance Details
Advantages
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Fast funding
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No fixed monthly installments
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You can qualify even if you have bad credit
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You don’t have to put up any collateral
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The amount you owe never grows
Disadvantages
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MCAs are shorter in duration
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Can be more expensive than other alternative funding structures
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Many MCA lenders deduct funds from your credit card receipts on a daily basis
Will your business qualify?
Approval for a business cash advance from Mahomes Capital Funding isn’t based on your credit score alone. We focus on the overall health of your business. Here are some factors we consider:
550+ credit score
12+ months in business
$10,000+ average monthly bank deposits
Which documentation is required?
We at Mahomes Capital Funding want to make the funding process as simple as possible for you. Therefore, minimal documentation is needed for your application
Signed one page funding application
3-5 most recent months company bank statements
Full credit report (not all cases)
