Turn Future Credit Card Sales into Cash with a Credit Card Factoring Advance
One of the least-known merchant financing strategies for successful businesses is potentially the single best working capital management strategy for obtaining needed capital, the use of a Credit Card Factoring Advance or credit card receivables funding.
For any business that accepts credit cards as a method of payment, Credit Card Factoring Advance is a critical business financing tool that is often overlooked. Credit Card Factoring Advance allows a business owner to get a large sum of cash now, without incurring any additional debt. The reason is simple; you are not receiving a loan. You are “selling an asset at a small discount”, your future credit card sales.
Collection of the purchased credit card sales occurs automatically through the credit card processor, which sends the funding company a small fixed, predetermined percentage from each credit card sale. The seamless integration of processing and ease of obtaining working capital is a natural fit and an obvious benefit to businesses that can not acquire traditional funding.
Credit card factoring companies work with both established and expanding businesses to provide working capital to businesses in the small-to-medium sized range who have difficulty securing capital from traditional financial institutions or prefer a funding option that aligns with their cash flow. Working capital can be in the business owner’s hands in 7-10 days.
What are the key advantages of a Credit Card Factoring Advance over other forms of financing? A Credit Card Factoring Advance, also known as a merchant cash advance, allows a business owner to get a large lump sum of cash now, without incurring additional debt. A credit card receivable funding is not a loan. You are “selling an asset at a small discount”, your future credit card sales.
Other major advantages include:
- No long application process
- 24 hour approval
- Cash in 7-10 working days
- No application fees
- No tax returns needed
- No business plan needed
- No closing costs
- No fixed payment terms
- No fixed time
- No hassles
What can you use the money for?
- Buying out a partner
- Expansion
- Advertising campaign
- Hiring personnel
- Payroll
- Emergencies
- Almost anything related to your business.
As you can see, a Credit Card Factoring Advance, or merchant cash advance, can potentially be the single best working capital management strategy for obtaining needed cash. This is a vital business financing tool that should not be overlooked.
Now let’s explore what you, as a business owner, need in order to qualify for such funding. You’ll see it’s very easy to qualify. Then we will compare qualifications needed for a credit card receivables funding vs. traditional bank loan.
How do you qualify for funding?
General guidelines:
Minimum $5,000 per month in credit card sales (MasterCard/Visa)
6+ months in business, preferably one year
No unresolved bankruptcies
Let’s compare the qualifications: Credit Card Factoring Advance vs. a traditional Bank loan.
Traditional Bank Loan:
Minimum 3 Years in Business
Business Asset Collateral
Personal Guarantees
3 Years Tax Returns
3 Years Financial Statements
High Credit Score
Application Fee
Closing Cost
Long Application
Long Approval Process
Credit Card Factoring Advance:
6+ months in Business, one year preferred
Based on future VISA/MC Sales
No Personal Guarantee
No 3 Years of Tax Returns
No 3 Years of Financial Statements
Credit Score Does Not Matter
No Application Fee
No Closing Cost
2 Page Application
24 Hour Approval
Do you see how easy it is to qualify for this type of funding vs. a traditional bank loan?
Additional benefits of this type of funding:No Preset Dates No Preset Amounts No Need to fill out stubs and enclose checks The process is fully automated; “We’re paid if and only when you’re paid” This is NOT a Loan.
Now let’s answer the most frequently asked questions about this type of financing.
What is The Difference Between a Bank Loan and Credit Card Receivables Funding?
A business bank loan is a time consuming and inflexible process where the bank is very restrictive. You need a lot of documentation, collateral and your business has to be in an excellent shape. In a few words; the bank will usually lend you money when you least need it. Should you eventually get the loan; the repayment time is rigid as well as the amount and date on which it has to be paid. At Crown Financial Services, Inc. we have made the approval process very simple and straight forward. Approval and funding is usually done within a week. Since this is not a loan, your credit is not affected. The repayment process focuses on how your business is doing; “We’re paid when You’re paid”
How Do I Qualify For Funding?Thanks to our innovative system, the application process is quick and easy. All you need to qualify is:
- One year in business
- At least $5,000 in VISA/MC sales per month
- No unresolved bankruptcies
Does it Cost Anything to Apply?
No, the application is free and we charge no processing fees to fund you.
How Much Funding Can I Get?
$5,000-$300,000 per location. The amount depends solely on your monthly VISA/MC sales volume.
How Quickly Can I Get Funded?
As little as four days but typically 7-10 working days. The funds are deposited directly into your business account.
Are There any Limits on How I Can Use the Money?No, most companies use the money to grow their business; remodel, add space, marketing, purchase additional inventory or employ more people to name a few. Others use the funds for events that they didn’t plan or budget for. In any way you see fit for your business.
How do I Repay?
A small percentage is deducted from each credit card transaction. We don’t have any preset amounts or dates. The time to repay depends on your sales; if you have a slow month, you pay back a little less and it also depends on the program you qualify for.
Is There a Penalty for Early Repayment?
Since this is not a loan with a fixed time frame, we do not charge anything if you repay a little quicker than you anticipated.
Do I Have to Switch Processors?
Not necessarily, we have a list of processors that we work with. Should you have to change, no need to worry – we will beat your current rates.
When can I re-apply?
Once you have repaid the original Business Cash Advance you can apply again. It is possible to apply for an additional Business Cash Advance, provided that part of it will be used to pay off the original funding. In most cases, the initial Business Cash Advance has helped to grow the business and you now qualify for increased funding levels.
How do I know my current balance?We will provide you with printed monthly statements. In addition, you will be able to go on-line and get up-to-the-minute information. All this is in addition to the statements you will receive from the Credit Card Processor.
Businesses seeking cash for working capital — look no further. Crown Financial Services offers a unique solution for clients who need a quick infusion of money now.
Crown Financial Services uses an asset that is unrecognized by traditional financial institutions — a steady stream of credit card sales — to determine the financial viability of a business. Capital advances are based solely on the predictability of a company’s future credit card sales.
According to the latest statistics from Equifax, there are more than 18 million small businesses in the
Crown Financial Services can help their clients avoid these financial black holes through purchasing a fixed amount of the business’ future credit card sales, at a small discount, and in turn, providing them with a lump sum of working capital.
Crown Financial Services, proud members of both the American Cash Flow Association and Las Vegas Chamber of Commerce. We work with established and expanding businesses to provide working capital to companies in the small-to-medium-sized range who have difficulty securing funding from traditional financial institutions.
With fast, courteous and professional service, we aim to help businesses reach their financial goals and dreams. We appreciate you allowing us to explain
our working capital solutions for small business.
Let us provide you with a lump sum of cash now! Call today for a free no cost no obligation consultation, (866) 560-8079. Call in to see if you qualify for a $25,000 lump sum cash advance! What are you waiting for? Let’s start the process today!