The Benefits of a Business Cash Advance For Startup Funding

Unfortunately, in today’s economic environment many business owners can no longer count on traditional sources of financing, such as a bank loan, credit card, or home equity loan. Whether it is due to a lack of collateral or meeting the bank’s credit requirements, traditional sources have become more restricted over the past couple of years.

This has resulted in a surge of alternative financing programs geared to meet the needs of small to medium sized businesses operating in the U.S. Programs such as accounts receivable financing, crowd funding, vendor lines of credit, merchant cards, and seller financing make it possible to obtain the capital needed to grow a startup business. The purpose of this post is to share with you the business cash advance program as a viable alternative start up funding option.

This program is a cost-effective way to obtain the immediate cash you need, without having to wait weeks on end for an answer from a lender. A business cash advance is similar to a loan because your company will receive the funding it needs and the money will need to be paid back. However, there are several distinct differences that make this program very attractive. For example, a business cash advance does not require the following: Collateral Formal business plan Financial statement Shares in equity ownership Disclosure of business assets Fixed payment schedules or due dates Additionally, you are not faced with costly interest rates, upfront costs, closing costs, or late fees that are pretty standard with traditional loans.

The amount of cash which can be advanced to your business is based upon the cash flow from your monthly credit card sales. In order to qualify many cash advance companies require that you process a minimum of $1,500 in credit card sales per month, and be in business for at least one year. You also must provide 3 months of sales records, so let’s say your company currently processes $5,000 per month on average. With those numbers you can expect to get pre-approved for approximately $6,250 and have funds in as little as 10 days with some programs.

Paying back a cash advance is simple because it is repaid through future credit card sales as they are processed through your company’s merchant account. The cash advance company will automatically deduct a small percentage of your monthly credit card sales. There are no payment schedules to worry about because all payments are automatic. This makes a business cash advance an excellent alternative to traditional funding programs. With no personal guarantees, personal credit checks, or collateral requirements, a business cash advance may be just what your company needs. Best of all, once you establish a relationship with a provider; future cash advances are readily available throughout the life of your business.

How can I use equipment financing to build my business credit report?

Whenever you make a purchase no matter how big or small, you should always consider how it may help you improve your business fundability. If you fail to recognize opportunities that come up you are shortchanging yourself and hurting your ability to get future loans or credit. The Many Benefits of Equipment Financing Improving your credit score is only one of the benefits of financing equipment for your business whether it is everyday office equipment or heavy backhoes and utility vehicles. You can depreciate the cost of the equipment as you pay for it, use it for collateral against new loans in the future and end up paying far less than leases on similar equipment.

Those benefits can increase your business' financial stability on their own, but the single most important thing large-scale purchases do is improve your business fundability by creating better credit scores. Of course, that's only true if you keep your accounts in good standing. There are many tips for improving your business credit on http://www.businessfundability.com, but keeping your equipment financing accounts in good standing is a simple procedure. • Make your monthly payment on time • Don't over-extend yourself on equipment loans These two simple steps are easy to do if you keep them at the front of your mind at all times.

If you are having cash problems, using equipment loans can help you get what you need without over-taxing your company's liquid assets. How Equipment Financing Differs from other Loans When you get an equipment loan it will have a different payment structure than a common personal loan, or regular business loan. Banks know that equipment depreciates quickly at the beginning, and will lose a lot of its value in the first few years. Therefore, payments on equipment loans will be larger in the beginning of the loan to keep the equity value in line with the loan value. It takes very good credit ratings to obtain equipment loans due to the nature of their payments. You will also have to prove you can afford the hefty early payments. Before you apply for any equipment loans make sure you have done all you can to establish strong business fundability and have all of your records in order to show your ability to pay the note.

Unsecured Business - Easy qualify Up To $250,000

Business Financing - finding the funding you need

Business financing sources are not in short supply but finding the right one can be a daunting task. We help make that task much easier. In order to assist you in your search for business finance firms, we have categorized the lending and investing criteria of funding sources in a variety of areas:

• Commercial finance
• Equipment leasing
• Government loans
• Venture capital
• Commercial real estate
• Angel investors
• Start-up financing
• Invoice factoring
• Purchase order advances
• Asset sale leasebacks

Access to sources of capital for your business is fast and easy. Your request will be matched against those business finance firms offering what you are requesting and those to which your funding need may also apply.

Here is how easy it is to fund your business:

First, you can search for your matched available funding programs for free, without having to give any personal or contact information. Provide only general business information, such as:

• The date the business started, current revenue, your industry ...
• How much money do you need for: cash, equipment, buildings ...

Then, we show your available funding programs and you select the ones that may be right for you. It is that easy. Since 1995 we have helped over 200,000 businesses in their search for capital. We want to help you too!

Click here to find funding for: Business Financing

Business Loans for Bad Credit... How to Get Money for Your Business

Obtaining Business Credit Cards, Its Harder Than You Think

Most small business owners believe that obtaining a business credit card is as easy as having good FICO scores and applying online. In some cases they are correct, but in most cases they are very wrong.

Applying for business credit cards without knowing what you are doing can damage your personal credit, get you declined, and make it impossible to get approval at other institutions for 6 months to a year. Why is that?

Currently there are about 30 banks and credit unions that are actively involved in issuing business credit cards. Each of these lenders has a different set of guidelines for approval, but there are a few underwriting items that hold true for almost all of them.

The first is debt utilization. These lenders want to see that your current debt utilization for all existing revolving accounts is less than 40% current account balances to your maximum approval limits. In simple terms, if you have $10,000 in total limits from 3 credit cards, they want to see that no more than 40% of $4,000 has currently been used. If your debt utilization is greater than 40% you will most likely be declined.

Second is do they have a personal relationship with you. Let’s face the facts, all these credit card providers want your personal business because that is where the higher limits are and that is where you are more likely to use the cards more often.  While some of these lenders will approve you for a business credit card, your approval limit will be much lower than if you already have a personal credit account with them.

Chase for example provides excellent terms and credit approvals for their personal credit cards. Once those are approved you can wait just 48 hours and apply for the business credit cards for which you are likely to see approval limits of double what you might have received without having the personal cards first. So the funny thing is that if you applied for just the business card you might have received an $8,000 approval. But by applying for the personal cards first you may have gotten approved for a total of $25,000 or more there and then the business approval comes in at $16,000 or more. Therefore instead of only $8,000 you may have obtained $40,000 in approvals from the same financial institution. All of which could be used towards supporting your business.

The bottom line is that applying for credit cards in general, for use in your business, is a very detailed process with a lot of moving parts. There is far more to it than simply FICO scores and online applications. What you as a consumer most likely do not know is that the first part of the approval process is all automated and completed computer to computer. You apply online via your computer and their computers start checking many other computers to determine the automated approval or decline decision and assign the credit limits based solely on what gets returned from those other computers. If you are a normal consumer once that happens you are done.

But the process is actually very far from being done. The next step is what is called the credit reconsideration lines. These allow you to connect with a live person and request that a live underwriter review your account to determine if the assigned credit limits can be increased. As with any live process, the underwriter will want to know why and what the increases will be used for. If you know the proper answers then many times credit limits can be increased manually from 25% up to 100%. We have even seen declines reversed for up to $20,000 in approvals. Most consumers have no idea these live person reconsideration lines exist and even if you did, you would have no clue as to how to most effectively utilize them.

Many lenders specializes in the placement of Unsecured Business Financing or UBF. Here we work with over 30 different banks and credit unions to maximize your approval limit opportunities.  The average per principle funding approval amount has been $108,000. The approvals are available to any business, startup or established does not matter. The approvals are based on the principal(s) of the business and not on the business itself, therefore if the business has four (4) principals it may be possible to obtain $400,000 in financing.

The process of finding out if you pre-qualify is a simple as contacting them to find out. There are no upfront fees and your only payment for the success in funding obtained on your behalf can be paid from the new credit lines that have been obtained for you so there is absolutely no risk to you and nothing to lose.

How to Get Business Credit Without a Personal Guarantee

Start Up Business Loans - Help for Your Business

Nowadays there are a variety of young entrepreneurs entering the financial field. They may not be able to flourish because as they are young they do not have a deep capital base. For such reasons start up business loans are designed.

These credits can be applied for by a business that is still on its training wheels. There are various needs in a business that require money for its fulfillment. Such as; purchase of machinery, tools and other supplies. They person who applied for these finances Can use them any way he chooses.

Start up business loans are offered to those who people who are running a legal business. The finance is granted only to a registered organization. The lender before granting the advance checks the profitability of the proposal he is to finance. If he does not think this endeavor to be profitable, he does not lend the credit.

These credits are generally unsecured as the business is fairly new. They may not any assets which can be pledged against the loaned amount. Thus the rate of interest rate charged is high. If the applicant is willing to pledge some security against the amount loaned to him, he can avail of more amount of money at a higher rate. The lender is safe in an unsecured loan, as if the borrower defaults in repayment, he can sell the asset and recover the money. He faces no risk in this kind of transaction. The amount granted ranges from £5000 - £5, 00,000 for a period of 5- 25 years.

These advances can also be applied for online. This mode is preferred by a number of people. This mode of application is free of cost. The borrower is only required to fill a simple application form giving details of his name, address and contact number. The entrepreneur is also required to have a valid current account and debit card.