Small Business Archives

How to Use Small Business Financing to Bypass Traditional Banks

Posted on May 31, 2022 by dstheme

Starting a small business can be exciting but challenging. Of course, a business plan is a must, but so is having sufficient financing to give you the space you need to succeed. The problem is that financing can take time and may be difficult if you work with a bank.

There’s no specific requirement to gain small business funding, but traditional lenders are strict about who they lend to. If collateral or bad credit are causing problems, an alternative form of small business financing might work better for your needs.

Why Small Businesses Have Trouble Getting Bank Loans

Small businesses may struggle to get capital for several reasons. Banks might want to help out smaller companies, but their lending process doesn’t facilitate the process. Small organizations and shops will have more trouble than larger national businesses.

In addition, most small businesses don’t have years of experience, and some banks want to see a several-year profile before lending. That’s why alternative funding may be the perfect solution for your business.

Alternative funding is simply receiving a loan without using a traditional bank. Many of these funding options are online, while others also have standard brick-and-mortar locations for business owners to visit.

Why Choose Alternative Small Business Financing

There are many reasons a small business owner might choose an alternative to a bank loan. However, the ones below are the most commonly cited.

Quicker Approval – A traditional loan might take weeks to reach the approval stage with banks. However, business loan alternatives give you access much faster. As a result, it might take a week or less to get the money.

Simpler Qualification – Traditional loans take all sorts of paperwork and contracts. Not everyone can meet all the requirements for this type of bank loan. The qualification process for alternative loans is often much more accessible.

Lower Credit Requirements – A typical bank is likely to have stringent credit requirements, some of which can be hard to stand up to. Many business owners will be rejected for not having a perfect credit score. Alternative loans may take many other things into account.

How to Find Small Business Financing

Financing a small business may seem like a time-consuming and frustrating process. But it doesn’t have to be that way. Companies like CMCA offer financial support through cash advances of up to $100,000. In addition, simple, flexible payment plans are available for any business. Choose from several credit lines or merchant cash advances that meet your needs.

It doesn’t matter what industry you work in. The best alternative financing companies will serve you. That includes everything from convenience stores, restaurants, and franchises to hotels, coffee shops, and personal service providers. All you have to do is choose the lending option that works for your business.

Choose CMCA for Small Business Financing

CMCA has decades of experience in the financial world, and we can use it to help you get financing for your small business. We’ll work with you individually and share our knowledge to ensure you meet all your business goals. Reach out to us today to find out how we can help or learn more about our services.

5 Merchant Cash Advance Advantages for Online Business Owners

Posted on April 21, 2022 by dstheme

When you’re an online business, you have unique concerns and costs. However, you also face a lot of benefits that other businesses with a brick-and-mortar location don’t. Without the operational costs associated with having a physical location, you have extra resources to focus on improving your product, lead generations, and sales. To get your business to the next level, you may need an influx of cash that you can use to grow your current infrastructure, expand operations, or make new investments.

A merchant cash advance, or MCA, can help you do just that and can have more advantages than other business financing options. Here are the possible benefits your small online business could receive by getting an MCA.

Number 1: No Collateral (No Asset Backing or Effect on Credit)

A merchant cash advance is not a loan like you would get from a traditional bank. What you’re doing when you get an MCA is selling a portion of your future sales to the financier. They will give you a lump sum for that future credit card-based revenue. That means that getting approved for this advance relies on your credit card sales and sales history, not on the upfront collateral you provide.

Number 2: You Don’t Need Perfect Credit

Compared to traditional lending methods, the likelihood that your application to an MCA will get approved is higher than in other places, including credit cards. What makes MCAs even more convenient is that the application can be completed entirely online, and the process can be very quick if you have all the necessary paperwork on hand. Because good credit is not a requirement for approval, there is frequently no credit check done for this type of loan, making it ideal for those with bad credit.

What is vital for approval, however, is evidence that your business consistently makes sales with credit cards, which is the receivable the company will be getting a return on investment from. In many instances, MCA have almost guaranteed approval, making this perfect for those that need emergency cash.

Number 3: Receive Funding Fast

In a fast-paced market or in the face of special offers, you need a cash injection to take advantage of; you can use a merchant cash advance to get the money you need quickly. Depending on the scope of your application, the accuracy of your information, the company you work with, and the strength of your sales, you could receive funding instantly. In other cases, the application approval and funds transfer process usually does not take more than a week.

Number 4: Use the Funds However You See Fit

To reiterate, getting a MCA isn’t the same as getting a small business loan. Those loans often come with strict rules outlining how the capital you receive can be used. These rules include not being able to spend it on inventory, real estate, or covering other debts. With a merchant cash advance, you can use the funds for whatever your businesses needs currently are, like renovations, expanding operations and more.
Number 5: Flexible Payments

One of the major benefits of a merchant cash advance is that the payments are not fixed monthly or weekly payment terms. This can be great for online businesses as you will be remitting the investment, not paying back a loan based on an agreed percentage of credit card sales profits. If you have a slow month, you pay less and vice versa.

Get the Capital You Need Fast

The online world moves at a breakneck pace; you need a business loan that can get to you just as fast. An MCA can offer you the capital you need right in just a few minutes in some cases. Consider carefully how your business may use this cash injection to increase profits and grow your business.

3 Reasons Small Businesses Deserve to Reinvest in Themselves in 2022

Posted on February 21, 2022 by dstheme

The benefits of receiving a cash advance in 2022 amplify your abilities to grow and sustain your business as communities navigate the steadily arriving post-pandemic business world.

The reality is that cash advances for small to medium-sized businesses can determine whether or not a business continues to move forward. No matter how small, every business contributes to the Canadian economy and deserves a seat at the table.

Here are three reasons Canadian small businesses deserve to reinvest in themselves in 2022:

1. Returning from the digital landscape:

The great return, otherwise known as the physical return to the workspace from existing in a virtual world, requires cash advances for businesses to stabilize the next steps to creating their new normal.

The hardships of the Covid-19 pandemic reinforced the appeal of brand identity and business presence on digital platforms. Digital marketing and social media presence have made a significant difference in small businesses; however, re-opening the physical doors of the business comes with notable expenses. Ensuring a successful return from a digital landscape means investing in physical spaces to engage in person with potential clients and partners. If you need to secure a new space to open shop, or if your existing space needs PPE and a fresh look- cash advances can speed up the process of opening your door and closing your laptop.

Without a doubt, the necessity for digital business offered solutions during the most crucial moments of the Covid-19 crisis. Many businesses are considering cash advances to pay for a professional to upkeep the digital side of the business.

2. A secure payroll leads to better business:

Securing a stable payroll is a means for better business. Opening the physical doors of your small business again does not just mean welcoming patrons. This means opening the doors for new and reliable employees as well. Growing your business means being able to afford long-term employees, the ones that create the company culture you envision. These employees will deliver the results you need, offer the teamwork you’ve been missing, and serve as a true investment in your business.

After a year or more of running their businesses on their own, owners are transitioning back to hiring employees or expanding their current staff. Payroll is an important piece of a business’s functionality.

3. Your vision requires belief in your business:

Securing a cash advance for your business signifies a re-commitment to your company’s future. It’s a power move that says, “I believe in my business.” Cash advances promote creativity as businesses revive their best qualities and services. Cash advances help facilitate even bigger returns for your business, in addition to adding the needed cushion to pursue your best ideas.

Advocating for the future of your business is both noble and responsible. Reemerging from digital platforms, navigating a post-pandemic landscape, and securing a bright future calls for businesses to reinvest in themselves with the right cash advances. Securing a cash advance means ensuring that the foot put forward in the world is the strongest.