Term Loan
A lump sum and a fixed schedule, for the purchase you have already priced.
- Amount
- $25,000 – $500,000
- Rate
- Set in the lender's offer
Merchant cash advance
Merchant Cash Advance
Cash now against future card sales, repaid as a share of each day's takings.
- Advance
- $5,000 – $200,000
- Repayment
- A share of daily card sales
- Funding
- 24 – 48 hours after approval
- Card sales
- $5,000+ a month
Merchant cash advance
What it is, and who it suits
A merchant cash advance is not a loan. The business sells a slice of its future card sales for cash today, and a fixed percentage of each day's card takings goes to repay it until the agreed amount is paid. A slow week repays less and a busy one more; there is no fixed monthly payment.
It asks the least of any program — three months trading, a credit score of 500, and $5,000 a month or more in card sales — because the card processing statements are what it is written on. That makes it the quickest to arrange and, usually, the most expensive per dollar; the offer states the total to be repaid, and that is the number to read.
What it is for
Six things merchant cash advance pays for
- Restaurants and cafés
- High card volumes and daily takings.
- Retail
- Shops and boutiques taking cards all day.
- Personal services
- Salons, spas and repair shops.
- Online sellers
- Where nearly every sale is a card payment.
- Healthcare practices
- Practices that take card payments.
- Gas stations
- Forecourts and convenience stores.
The bar
What a lender will look for
- At least 3 months in business
- Personal credit score of 500 or higher
- $5,000 or more a month in card sales
- A consistent card processing volume
- A business bank account
A minimum is where an assessment starts, not a promise of an offer.
And what it will ask to see
- Three to four months of card processing statements
- Three months of bank statements
- Government-issued ID
- Business registration, if there is one
- A voided business check
The application
Get a free quote
About fifteen minutes, a soft inquiry rather than a hard pull, and no obligation to take what comes back.
Rather talk to somebody first? (213) 204-5628.
The six programs
All six, this one marked
Business Line of Credit
A limit to draw on when it is needed, and interest only on what is drawn.
- Limit
- $10,000 – $250,000
- Interest
- On the amount drawn only
Short-Term Business Loan
A smaller sum repaid within months, for a need that cannot wait for a bank.
- Amount
- $5,000 – $100,000
- Rate
- Set in the lender's offer
Working Capital Loan
Money for the running of the business — wages, rent, suppliers — without pledging what it owns.
- Amount
- $15,000 – $300,000
- Term
- 6 months – 3 years
Equipment Financing
Buy or lease what the business runs on, and let the equipment secure it.
- Amount
- $20,000 – $1,000,000
- Term
- 2 – 7 years
Merchant Cash Advance
Cash now against future card sales, repaid as a share of each day's takings.
- Advance
- $5,000 – $200,000
- Repayment
- A share of daily card sales