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Which Program Do I Qualify For? |
Business Cash Advance Program Description
The business cash advance program is different from the fixed-term loan, a traditional bank loan and a low-credit merchant cash advance. This program hinges most significantly on the credit card sales of a business, and as a result, moderate or even lower credit scores are a secondary factor. Additionally, most of these programs do not require the owners to personally guarantee repayment.
If you'd like to compare these to a fixed-term loan or a low-credit merchant cash advance, you can visit those pages and view the business cash advance calculators.
Comparison of Business Cash Advance and Typical Bank Loan or Corporate Credit Card Programs
Business Cash Advance |
Bank Loan or Corporate Credit Card |
Not a loan, rather an asset purchase |
Uses interest rates. For instance, with credit cards or many loans, underpayment may result in a growing amount that you need to pay back |
No fixed payments. If your revenues slow down, the repayment slows down |
No fixed payments. If your revenues slow down, the repayment slows down |
No personal repayment guarantee |
Typically require personal repayment guarantee |
No credit bureau reporting (except fraud) |
Shows up on your credit report |
| Get money in as little as 7 days |
Can take months to get the money |
Can be used for any purpose |
Typically, can be used for specific purposes only |
Initial Criteria
Most commonly, the answers to these questions can help identify which business cash advance program is most applicable to the business.
- Industry
- Length of Ownership
- Monthly Credit Card Processing
- Average credit card ticket size
- Monthly sales
- FICO Score
- Existence of Tax Liens or bankruptcy
- Time left on lease
- Current on lease
- Non homebased business
- Requested Amount of Advance
- Whether in a cash advance now, and amount
We have available several different programs, each with different characteristics. Below is summary of our three most popular business cash advance programs: (a) Standard Business Cash Advance Program, (b) Starter Business Cash Advance Program, and (c) New Restaurant Cash Advance Program.
Standard Business Cash Advance
These advances are typically viewed as the lower risk deals, from the perspective of the business cash advance company. Typical industries that qualify for this program include:
- Restaurants
- Tanning Salons
- Medical Offices
- Nightclubs/Bars
- Book Stores
- Hosiery Stores
- Clothing Stores
- Music Stores
- Luggage Stores
- Day Spas
- Tobacco/Cigar shops
- Beauty Shops
- Hair & Nail Salons
- Shoes/Accessories
- Movie Theatres
- Liquor Stores
- Gift/Stationary Shops
- Sporting Goods Stores
- Hotels/Motels
- Coffee Shops
- Florists
- Laundromats/Dry Cleaners
- Eye Glass Stores
- Gourmet/Specialty Food Stores
Typical Requirements:
- Process at least $3,500 per month [href to opening page] in Visa/Mastercard Sales From Their Customers
- Credit cards processed daily
- Multiple daily transactions
- Average transaction size $500 or less
- Immediate delivery of goods and/or services to the customer (no future delivery)
- Cards are swiped in person at the place of business
- Brick and mortar locations
- Merchant owns their inventory (no drop shipping)
- Batches out their terminal at least 12-15 times per month
Industries that will not qualify:
- Airlines
- Electronics/Stereos
- Anything Illegal
- Employment Agencies
- Drug Paraphernalia
- Flea Markets/ Booth vendors/ Kiosks
- Pornography
- Gas Stations
- Anything pre-paid
- Home Based businesses
Audio Text
- 900 Numbers
- Carpeting
- Gift Cards
- Phone card sales
Home Furnishings
- Art Galleries
- Auction Houses
- Telemarketing
- Car (New or Used) Sales
- Internet sites and stores that are home-based (see our fixed-term loan, however)
- Investments Opportunities
- Jewelry Stores
- Bail and Bond Payments
- Lotteries and Gambling
- Check Cashing
- Membership Clubs (sports)
- Computer/Computer Repair
- Merchants selling on E Bay or PayPal
- Construction Companies
- Moving and Storage
- Consultants
- Stamp & Coin Stores
- Contractors
(see our fixed-term loan, however)
- Supermarkets
(see our fixed-term loan, however)
- Credit Repair
- Timeshares
- Cruise Lines
- Travel Agencies
(see our fixed-term loan, however)
- Debt Collection Agencies
- Vacuum Cleaner Sales
- E-Commerce
(see our fixed-term loan, however)
- Wire Transfer Money
Low-Credit Merchant Cash Advance
This program is an alternative to a business cash advance and applies to merchants that have a credit rating below that required for a business cash advance, or that are in exceptionally risky industry categories. In general, credit scores are not considered for this program. To learn more about Low-Credit Merchant Cash Advance programs, please visit the pages that describe the program, walk you through application process and the next steps.
New Restaurant Cash Advance
There is a special program available for qualified companies planning to start a new restaurant.
Cash Advances on Checks
In the past several months, this new cash advance program has become available for businesses that accept checks from customers. This requires the business to begin processing all checks using a check scanner service, which on its own can improve cash flow and reduce costs. If this program is of interest, please visit our Business Cash Advance Based On Checks page.
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