Merchant Cash Advance: Cash When You Need It

A merchant cash advance can provide the cash your business needs, even when the bank has turned you down. Few banks are lending right now, and many businesses, even those with perfect credit are being turned down for bank loans. They’re also having their credit lines slashed and credit card limits cut, even when they’ve never missed a payment.

Don’t accept that kind of treatment from the bank. Your business is your livelihood. Your employees depend on you. If you depend on a bank that has the cash but won’t lend it, your business could be in deep trouble no matter how hard you work!

Rapid Capital Funding offers a perfect solution for your small business: a merchant cash advance. A merchant cash advance isn’t a loan. We purchase a percentage of your future credit card transactions. You get the cash you need up front along with a flexible repayment plan that allows your business to operate just as it always has.

There are no monthly payments, no origination fees, no collateral and no personal guarantees. Good credit or bad, we can likely put cash in your pocket. With a merchant cash advance, we take the risk so you can go about running your business. We offer special financing plans for restaurants and other high transaction volume businesses.

In case you’re wondering, about 75% of businesses that take a merchant cash advance take another one when their first advance has been paid off. Business owners have come to appreciate the flexibility of the repayment schedule and the speed with which they can get the cash they need to keep their businesses running smoothly. The repayment plan is easy; as transactions come in, a portion of the transaction is used to repay the loan. The rest is returned to the business.

With a merchant cash advance, there is no fixed repayment amount each month. When your transaction volume is high, the merchant cash advance is repaid more quickly. When sales slow down, so does the advance repayment. With a loan, you’re on the hook for a specific payment each month, whether your business can afford it or not.

Don’t struggle with spending cuts and layoffs if you don’t have to. Contact Rapid Capital Funding today to find out how a merchant cash advance can help your business.

Photo Credit: Jenica26, via Flickr

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Wells Fargo Small Business Optimism Survey Goes Negative

For the first time in the nearly six-year history of the Wells Fargo Small Business Index, owner optimism dropped below zero for the first time in the survey’s history. The survey, which was conducted between January 22 and February 2, down 14 points from the previous survey and 118 points lower than the record high for the index, which was notched in November 2006. The zero point on the index scale means that business owners are neither optimistic nor pessimistic about the business and economic conditions of their companies.

The index measures the present conditions and near-future outlook for small businesses in a half-dozen key areas, including overall financial picture, cash flow, revenues, capital spending or planned capital improvements, hiring and the availability of credit.

Respondents to the survey did not reduce their hiring plans overall from the Q4 2008 survey, but did report more problems with cash flow, credit availability, slow growth in revenue and an overall decline in the respondents’ financial situation.

A merchant cash advance from Rapid Capital Funding can help keep your business cash flow looking good. A merchant cash advance leverages your future credit card transactions to provide you the cash you need today.

Doing business and staying afloat in a recession can be challenging, but Rapid Capital Funding is here to help. Contact us today and see what a merchant cash advance can do for your small business.

Photo Credit: Cecile Graat

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BA Loans Decline Despite Bank Bailouts

The Obama administration reported yesterday that Small Business Administration loans issued by banks that received bailout funds declined sharply in January, despite the added government support. In part, the administration cited the declining economy as a primary cause for the falloff in loan demand.

The bailout funds were designed to restart the credit markets, however, the money has not yet had the intended effect. Lawmakers have said that they are receiving a growing number of complaints from constituents who cannot get business loans to maintain their operations. Banks are also withdrawing and reducing existing credit lines for businesses, even when the borrowers are current on their obligations, further exacerbating the problem.

The Obama administration will now require monthly reports from the 21 banks that received federal bailout funds to permit better oversight on how the funds are being used. In addition, the Small Business Administration will now purchase up to $15 billion in loans made by smaller banks. The administration will tap TARP funds to make those purchases. The SBA purchases will give the banks the capital they need to make additional SBA loans.

If you’ve experienced difficulty in getting small business loans, Rapid Capital Funding can help. If your US-based business accepts Visa or MasterCard, and generates receipts of $2,500 per month or more in credit and debit transactions, you likely qualify for a merchant cash advance.

A merchant cash advance allows you to tap the power of your future credit card transactions to get the cash you need today. There’s no long application to fill out and no waiting. You can also get as much as 1.5 times the amount of your average monthly receipts. Good credit or bad, it doesn’t matter. A cash advance isn’t based on your creditworthiness, and you don’t have to explain why you need the money.

Contact Rapid Capital Funding today for more information on how a merchant cash advance can help your business thrive in today’s challenging economy.

Photo Credit: Donovan

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Merchant Cash Advance Could Cure Stimulus Cash Flow Problems

If you think a merchant cash advance isn’t for you, hold that thought. The long-awaited stimulus plan has been presented and passed by Congress. The American Recovery and Reinvestment Act of 2009 may hold some nasty cash flow surprises for small businesses however. The package sets aside nearly $25 billion to subsidize health care premiums for recently discharged workers. The new law calls for a 65% subsidy in COBRA payments, but the actual cash comes from the employers themselves.

Under the new law, employers can deduct the 65% premium from their federal payroll tax deposits, but the up-front cash comes from the employers themselves. If you’ve recently laid off employees, or plan to do so in the near future, and those employees have health care benefits, you could be fronting the COBRA subsidy for your employees. Further, if the COBRA subsidy exceeds your payroll deposit, you’ll need to request reimbursement from the Treasury Department. You guessed it: the reimbursement policy is not yet in place.

Health care premiums are expensive, and COBRA payments for separated employees could cost your business thousands of dollars each month. If you experience a sudden cash flow problem, how will you pay your monthly COBRA payments?

A merchant cash advance can give you the cash you need to cover COBRA payments, payroll taxes or unexpected expenses related to your business. And a merchant cash advance is fast, too. Rapid Capital Funding can arrange a merchant cash advance in a matter of days. With a bank you could wait weeks or months for loan funds.

In a recession, the difference between survival and failure is cash. If your business doesn’t have the cash it needs, contact Rapid Capital Funding today and let us show you how we can help.

Photo Credit: Wojciech Wolak

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Merchant Cash Advance May Be Part Of Survival Plan

For small businesses, even in a positive economy, survival takes a lot of work. In a down economy, every move must be considered carefully because there’s little room to recover from missteps. One mistake that small businesses make consistently is not having enough cash on hand to respond to emergencies, and unforeseen delays in collecting receivables. For some businesses, a merchant cash advance can help.

A merchant cash advance provides the money you need now. Each cash advance is backed by your future credit card transactions. Each time you accept a credit card, a small percentage of your sale goes to repay the merchant cash advance. In this way, you can leverage your future transactions to get the cash you need when you need it. There are no delays in getting the cash, either. Most merchant cash advances can put money in your account in less than 72 hours. You can’t say that about a bank loan.

Also, there’s no need to provide collateral, personal guarantees or fill out long application forms. If your business is registered in the US, accepts Visa or MasterCard and generates credit or debit receipts of at least $2,500 per month, you’re likely to qualify. Ninety-five percent of applicants do – even those with less-than-perfect credit.

Don’t get caught without the cash you need. Contact Rapid Capital Funding today and get the cash you need for your small (or large!) business.

Photo Credit: Peter Gerdes

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Merchant Cash Advance Puts You In Control Of Your Cash Flow

Small businesses are hurting. The tight economy has put the squeeze on everyone and everything. Banks won’t lend, customers won’t buy and those who do want to extend the receivables cycle. That leaves the small business owner right in the middle.

Cash flow is what keeps your business alive. You need cash to pay your bills, but how can you get the cash you need when sales are down, your remaining customers are paying late, and banks aren’t lending?

If your business is registered in the US, and accepts Visa or MasterCard, you should consider a merchant cash advance from Rapid Capital Funding. A merchant cash advance gives you the cash you need now.

With a merchant cash advance, getting the funds you need is much easier than it is to ask the bank for a loan. There is no long application process, no weeks or months of waiting while your business suffers. There is no collateral to put up, no guarantees to make, and your credit doesn’t have to be perfect.

Ninety-five percent of the businesses that apply for a merchant cash advance are approved. These are businesses just like yours that need cash now. Each month, as you process credit card transactions, a small percentage of your transaction is used to repay your advance. There are no monthly loan payments. When your transaction volume is up, your advance is repaid quicker; when the transactions slow down, so does your repayment.

Many businesses appreciate the repayment flexibility of the merchant cash advance, and your business may be eligible for an advance that is as much as 1.5 times your monthly average transaction volume. We also have special financing plans for high-volume transaction businesses like restaurants and bars.

Don’t struggle to stay afloat. Contact Rapid Capital Funding for your merchant cash advance today.

Photo Credit: Miguel Saavedra

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Merchant Cash Advance May Perk Up Small Business Cash Flow

A merchant cash advance may be the ideal solution for businesses looking for fast cash to help them pay bills and stay solvent in the face of a deepening recession.

According to the latest survey from the National Federation of Independent Businesses, the group’s Index of Small Business Optimism dropped by 1.5 percent to 82.6 from January’s figures. The group’s chief economist says that the first quarter of 2009 is likely to be as bad as the last quarter of 2008.

The lack of capital is forcing some businesses to reduce their workforces, hold off on hiring new help, and reduce salaries to compensate for their higher costs elsewhere. Fewer small business owners reported demand for capital. Others said they were looking for cash to help their businesses survive. In addition, more small business owners were reporting trouble getting loans from their financial institutions because the business’ credit reports have deteriorated.

A merchant cash advance doesn’t rely on good credit; it leverages your future credit card sales to give you the cash you need right now. There is no long waiting period for approval, no credit checks and no collateral. Simply fill out the application. Most advances can be arranged in 72 hours or less.

If your business is registered in the US, accepts Visa or MasterCard and has credit and debit transactions of at least $2,500 per month, you likely qualify for a merchant cash advance.

Contact Rapid Capital Funding today for more information on getting the merchant cash advance you need to keep your business running smoothly.

Photo Credit: Mihai Radu

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Cash Is One Key To Small Business Success

If there’s one mistake that new small businesses make consistently, it’s underestimating the amount of cash they need to keep on hand. When a company is in the startup phase, one or two minor disruptions in cash flow can doom a small business.

Once outside of the start-up phase, most entrepreneurs assume that cash flow won’t be a problem. An established customer base, predictable sales and revenue often lull the business owner into a sense of complacency.

Make no mistakes about it. Cash is king. It means the difference between operating and shutting down. Regardless of where your business is in its life cycle, it needs cash to survive, and today’s recession is proving that even established businesses can quickly find themselves on the ropes.

If your US-based business accepts Visa or MasterCard, and can demonstrate credit or debit receipts of $2,500 or more per month, your business most likely qualifies for a merchant cash advance from Rapid Capital Funding.

Rapid Capital Funding is a leader in providing merchant cash advances for businesses of all sorts. In most cases, we can process your request for a cash advance in just 72 hours. Special funding programs are available for high transaction volume businesses like restaurants and bars, too!

You don’t need to worry about getting stranded without the cash you need to pay bills, make your payroll, cover unexpected expenses, or cover customers who are late paying their bills to you. Rapid Capital Funding can float you the cash you need today.

Photo Credit: Christa Richert

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Treasury’s Credit Fix May Do More To Help Small Business

More than anything else, small business needs customers. Treasury Secretary Timothy Geithner is proposing a $1 trillion fix that may loosen credit for small businesses and consumers alike. The proposal may double in size to $2 trillion by the time everything plays out.

The plan would free up consumer credit for auto loans, credit cards, student loans and small business loans by unsticking the secondary securities market, where such loans are packaged and sold to other investors. Asset-backed securities – as they are known – are used to finance an ongoing stream of loans to consumers. Loans are made and sold, and the proceeds from the sale are used to finance additional loans.

The collapse of the secondary loan market has played a large role in the tightening of consumer and small business credit, and has made it impossible for many good-risk consumers to get credit. Geithner’s proposal calls for $100 billion in TARP funds leverage the purchase of up to $1 trillion in new asset-backed securities. The plan is actually an expansion of one offered by former Treasury Secretary Henry Paulson last November.

Although the move is expected to help both consumers and small business owners, the Treasury has not said when (or whether) the program might take effect. If you own a small business, your need for good cash flow is constant. One way to ensure that your business has the cash it needs is by arranging a merchant cash advance through Rapid Capital Funding.

A merchant cash advance leverages your future credit card sales now to put the cash you need into your hands right away. Most merchant cash advances can be delivered in 72 hours or less. Special restaurant financing plans are available that can put as much as $250,000 into your bank account in seven days or less. Best of all, there’s no monthly loan payment to make. Your advance is repaid when you make your credit card transactions. Nothing could be simpler, and there are no restrictions on how you spend the money.

Don’t wait to see if the government’s plan will help you out. If you need cash, contact Rapid Capital Funding today!

Photo Credit: Steve Woods

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Small Business Index Shows Confidence Eroded In January

According to the National Federation of Independent Businesses, small business owners’ confidence in the economy and in their businesses dropped to the second-lowest level ever recorded by the NFIB in the organization’s 35-year history. The NFIB’s Small Business Optimism Index fell to 84.1, from 85.2 in December 2008.

The organization remains hopeful that signs of recovery will begin to appear in the second half of 2009, but acknowledges that any recovery is unlikely to begin through the second quarter of the year. In addition to the glum outlook for businesses, small business owners reported a significant decline in average employment in January, though capital expenditures remained steady in January, after falling five points in December. Nearly 60 percent of respondents reported a drop in profits in January.

The NFIB says that the number of deferred expenditure plans rose two points, but reports that owners aren’t making big plans to build inventories, and 20 percent fewer businesses expect to see their sales rise, an overall drop of 2 points. The outlook for expected credit conditions was largely negative, dropping fourteen percent from January. Four percent of respondents indicated that credit and financing are their single most important problems right now. Thirteen percent of respondents say that loans are harder to get now than in the past, and demand for loans is at a low.

The drop in loans could signal tough times ahead for some small businesses. Combined with tightened lending restrictions, some small businesses that would normally borrow to get through rough spots aren’t able to get the operating capital they need to stay afloat.

For some businesses, an alternative to a loan is a merchant cash advance. A merchant cash advance can put the cash you need in your hands right away, without the weeks or sometimes months of waiting that can accompany a traditional loan. Even businesses with less-than-perfect credit can qualify.

A merchant cash advance isn’t like a loan. Instead, it’s a cash advance on your future Visa and MasterCard credit transactions. Your cash advance is repaid as you take in new transactions. Nothing could be easier! Most advances are delivered in less than seven business days, and you can request an advance of up to 1.5 times your normal monthly credit card receipts. There are no restrictions on how the cash is used, and 95% of all applicants are approved for the advance.

If you need cash to keep your business moving, turn to a name you can trust: Rapid Capital Funding.

Source: NFIB
Photo Credit: Ben Earwicker

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