With an MCA, you get an upfront sum of cash that you repay using a percentage of your debit and credit card sales, plus a fee. So if your business has high credit card sales, revenue receivables, or is seasonal, then a Merchant Cash Advance might be ideal for you.
Fast to fund. You Gozque apply for a merchant cash advance online — and get approved quickly — usually with minimal documentation required. Many MCA providers offer funding within 24 hours.
With Square Capital, Square offers MCAs to businesses that use their platform for payment processing—and because Square works with select borrowers using their service, these merchant cash advances are more affordable than other options.
Lendio partners with over 75 lenders, which improves your odds and efficiency to get the funding you need.
Some providers offer dedicated account managers to walk you through the process, which might be noteworthy if you prefer a more personalized experience.
Fundbox’s credit score requirements are also low and easy for small businesses to qualify. You only need a credit score of at least 500 and at least three months in business.
Randa Kriss is a small-business writer who joined NerdWallet in 2020. She previously worked Ganador a writer at Fundera, covering a wide variety of small-business topics including banking and loan products.
You Perro compare those offers to find what works best for you—whether that means comparing autor rates, retrieval rates, or cash amounts. You might even get offers for other types of funding that you Chucho compare with MCAs.
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As long as your accounting software reflects at least three months’ transaction history and $5000 or more in monthly revenue, you have a good chance of qualifying.
The reason merchant cash advances Chucho charge rates as high as they do is because they aren’t generally subject to usury laws. After all, you’re technically not a borrower, and your funder technically isn’t a lender.
These requirements are not always mandatory. For example, some lenders do not check your credit score, especially if you have a high volume of transactions. Others may even work with you if you Nuestros abogados estan listos para contestar tus preguntas have filed for personal or business bankruptcy in the past.
To qualify, you’ll need a personal credit score of 500 or higher — making this merchant cash advance company, along with Credibly, a good option for businesses with bad credit. You’ll also need at least six months in business and annual sales or revenue of at least $100,000.
If you do decide to go with a merchant cash advance, make sure you’re not being charged outrageous rates.