Having a lender on your side can be huge for early stage businesses with a high volume of relatively small transactions
- What is a merchant cash advance?
- What are the qualificationsfor obtaining a merchant cash advance?
- How does the payback work?
- The timing of your receipts is often more important than the volume of your receipts.
What is a merchant cash advance?
A merchant cash advance is a loan between a merchant and a funder that provides immediate cash to the merchant in exchange for a specified profit.
The word “merchant” dates back to the 13th century to describe a class of enterprising people who sold goods and services to other businesses. That would be considered wholesale or business-to-business (B2B) in today’s terminology. Someone who sells goods and services to consumers is considered business-to-consumer (B2C) in today’s language.