Short-term cash advance for SMEs without fixed payments, terms, or any security. Borrow from £5,000 to £200,000 and pay back the advances with a small percentage
Business Cash Advance, also known as Merchant Cash Advance, allows SMEs to quickly and easily obtain funding up to £200,000. This type of financing differs from traditional loans as no interest is levied on the borrowed sum. Instead, a factor rate (explained below) is charged on the total amount.
One distinct feature of Business Cash Advance is that it enables businesses to repay with the revenue they generate through their credit and debit card sales. Lenders charge a fixed, small percentage factor rate on the revenue. The revenue directs the repayment rates. This means you only repay from your earned income, with no fixed interest rates or set monthly payments involved with the Merchant Cash Advance Facility.
It greatly reduces financial stress on the borrower by keeping repayment rates predictable and linear to growth. Payments are lower when you earn less and higher when you earn more, creating a win-win situation for both borrowers and lenders.
A Merchant Cash Advance is a quick and flexible option to borrow funds for your business if you handle payments through a card machine (PDQ) and/or an internet payment system.
Business Cash Advance offers many advantages over traditional forms of credit loans. As the industry is still getting acquainted with it, its rising popularity ensures more borrowers and lenders are participating in the cash fund pool.
Merchant Cash Advance offers many advantages over traditional forms of credit loans. As the industry becomes more familiar with this option, its increasing popularity ensures a growing number of borrowers and lenders are involved in the cash fund pool.
As no interest rates or fixed monthly repayments are involved in Merchant Cash Advance, the chances of defaulting on the payback are very less since repayments on agreed factor rates are done automatically on the earned revenue from credit/debit sales.
No interest rates at all. It solely relies on the factor rate for repayments. So be sure of no hidden service or charge whatsoever while borrowing from a lender using BCF.
Lenders can quickly assess the sales history of the borrower through previous credit sales and release funds quickly. BCF sees the highest approval rates across many financial options.
Following are the key requirements to access Business Cash Finance in the UK:
Small and medium-sized businesses can apply for Merchant Cash Finance benefits if they adhere to the above standards and certain lenders’ terms and conditions.
