A merchant cash advance is an option to get cash immediately for your business, in exchange for funds deducted directly from your credit/debit card payments in the future. It’s not as difficult as other loans to quality for an MCA, so business owners with little collateral, history in business, or a low credit score may benefit from this option.
- Get access to funds quickly
- Approval process is easy
- Less than perfect credit accepted
- Use for a variety of business purposes
- Higher rates & fees than with traditional loans
- May have to change merchant services provider
- Shorter repayment term may reduce cash flow