Our application process is easy, free and won’t affect your FICO® score. Get an instant decision on your loan.
Step 1 - 3
Merchant cash advance loan is an innovative alternative to the traditional bank loan tends to have easy eligibility criteria so most small businesses shouldn’t have a problem qualifying.
Instead of looking into collateral or other securities, merchant cash advance 360 looks at daily sales receipts to determine if a business can pay back the advance on time. As a result, rates on an MCA can be a little higher than other financing options
If you have little or no collateral, limited business history, or a low credit rating then merchant cash advance loan could be a solution to your financing problems.
A merchant cash advance (MCA) was originally structured as a lump sum payment to a business in exchange for an agreed-upon percentage of future credit card and/or debit card sales.
A merchant cash advance is not technically a loan. With an MCA loans, a financing company advances you cash in exchange for a percentage of your daily credit card and debit card sales, plus a fee.
A merchant cash advance (MCA) isn’t really a loan, but rather a cash advance based upon the credit card sales deposited in a business’ merchant account. A business owner can apply for an MCA and have funds deposited into a business checking account fairly quickly
It’s an option to get cash immediately for your business, in exchange for funds deducted directly from your bank account in the future.
A merchant cash advance loan isn’t a loan, but rather a cash advance based upon the future business sales deposited in a business’ merchant account.
For businesses that make a big portion of their revenue through credit card payments like a restaurant or a retail store, they can use a merchant cash advance loan like a short-term financing tool.
Merchant cash advance loans are paid back with your daily credit/debit card sales, so we will look at your bank statements to make sure you have enough volume coming into the business.
Bank Statements (recent three months)
Voided Business Check
Merchant cash advances loan can get a little expensive for a few different reasons. The most important reason is that merchant cash advances loan tend to work for riskier borrowers those with lower credit scores or those with newer businesses. And riskier lending options correlate with a little higher fee.
Merchant cash advance 360 aligns their fees with a factor rate rather than an interest rate. Factor rate ranging from 1.20 to 1.25. A factor rate is what you multiply your loan amount by to figure out the total you’ll owe.
Let’s say you’re advanced $20K with a factor rate of 1.18.
$20K multiplied by 1.18 (factor rate) is $23,600, which is what you’ll need to repay with your daily repayments by daily credit/debit card or bank transactions.
At first glimpse, that might seem like you’re just paying an 18% interest rate but looks can be misleading.
You have to understand the true cost of the merchant cash advance by its APR.
If your lender will be taking 15% of your daily credit card sales and you’re estimating $25K a month in credit card transactions, you’d repay that advance in 189 days with daily payments of $125.
$25,000 / 30 days = $833 Your Daily Income
$833 * 15% APR = $125 Daily deduction on your income
$125 * 189 days = 189 Days
Merchant cash advance loan repayments can be categorized in two ways.
You can get an upfront sum of cash and during the length of your payback period, a small percentage of your daily credit/debit card sales is withheld until the advance is paid in full.
Or you can make one fixed payment every month from your bank account over a set repayment period.
To get started, we’ll ask you to complete our one-page application, submit six months of
credit card statements, and six months of bank statements.
We require that your business be up-and-running for at least 6 months before receiving a merchant cash advance. Being open for 6 months will likely increase the success you have with our merchant cash advance loan product.
Another requirement we have is that your business make $5,000 in sales each month. If you generate less than $5,000 in sales, it may be challenging for you to remit your merchant cash advance.
Also, any business we work with can’t have any open bankruptcies or dismissed bankruptcies within the past year.
Our application process is easy, free and won’t affect your FICO ® score. Apply now, and get an instant decision on your loan.
To qualify, you should be in business for at least six months & have a minimum of $50,000 in annual revenue.
A merchant cash advance loan could be a reasonable option for
someone who has an emergency need for money and limited resources for getting it, most importantly
when that person has a clear and reasonable plan for paying back the money in a short period.
It is, for example, a better option than a bank line of credit, due to the exorbitant triple-digit interest rates those loans typically carry and the greater payoff flexibility that comes with credit card debt.
The loan fees can sometimes be higher but open to businesses with lower credit and provide a level
of ease, convenience, and service that many traditional lenders or banks can’t match.
Merchant cash advance 360 is a nationally recognized leader in the financing industry for providing the best business lending solutions available to small and mid-sized businesses.
We leverage our network of 4,000 competing commercial lenders to provide your business with the largest selection of commercial financing options.