Products & Funding Instruments
Small Business Advance
For small businesses unable to qualify for a bank loan, or find traditional financing a long and tedious processes, small business advances can be a great way to get on track. While interest payments from a bank would be lower than those of a small business advance, the timing of working capital can be the difference in a healthy business.
Small business advances are determined on a case by case basis. Terms and amounts depend on each business’s unique cash flow situation and need. However, all business advances, no matter the size, can be approved in a matter of hours, and funded in a matter of days. Your credit score is not an issue in obtaining credit.
With a small business advance you will quickly and efficiently receive the necessary working capital to grow your business. For repayment, instead of facing a large lump sum payment, a small, manageable amount is deducted from your business bank account until your advance is repaid. A small business advance allows for quick approval and funding, while also offering flexible repayment options.
Merchant Cash Advance
A merchant cash advance is a great financing tool for businesses who need cash fast and receive the majority of their revenue through credit cards. It is very similar to a small business advance with one difference. As with a small business advance, repayment terms can flexible but the process differs. With a merchant cash advance, an agreed upon manageable percentage of the business’s everyday credit card sales are used to repay the advance.
Like a small business advance, a merchant cash advance can be a powerful working capital tool to businesses who need to move quickly. A merchant cash advance can also be approved in hours, and funded in days. Capital can be used for inventory, marketing, technology, staffing, or just about any working capital challenge facing a small business.
Invoice factoring is an option that allows businesses to monetize their accounts receivable and bridge the gap between invoicing and collection. Companies don’t always have the resources to make collection calls and actively manage receivables. Invoice factoring offers timely working capital, along with full service accounts receivable management.
Invoice factoring can be a very effective working capital tool for businesses who are growing quickly and extending terms to customers, but need to pay suppliers and employees in real time. Invoice factoring works for not only traditional manufacturing and distribution companies, but also for seasonal business, staffing companies, service providers, and many more.
Purchase Order Funding
Unlike invoice factoring which accelerates the cash from your invoices, purchase order financing or PO funding allows businesses the assurance of having goods available for customers prior to the creation of an invoice. Purchase order funding can be utilized to fill a single or multiple customer orders, as well as seasonal sales increases.
A business should never find itself in a position of not being able to promptly and efficiently fill a customer’s orders. If left unfulfilled, those orders, and the related income, could be potentially lost for good. Future orders from that customer could also be jeopardized. PO funding provides for the timely payment of suppliers and manufacturers so that orders get filled, and revenue grows.
Equipment financing allows companies to purchase or lease business equipment without having to pay the full price upfront and use precious capital. Leasing allows for the preservation of capital, and the flexibility of repayment terms. Financing a capital purchase allows for the long-term ownership of equipment.
The value of the equipment is taken into consideration when determining transaction terms, and the equipment itself is collateral. When a business chooses to finance or lease, the cost of the equipment is spread over a specified time frame, keeping more valuable working capital on hand and in the business.
What is a Bridge Loan and How Can It Work for You?
Bridge loans are short-term loan options that can range from a few weeks to a few years. Bridge loans are meant to provide quick cash-flow for businesses to bridge the gap between the shortage of funds and business expenses. Since some business loans can take a few weeks to be approved, bridge loans are here to provide almost instantaneous funds for businesses seeking ways to bridge their current financial needs.
Getting the funds your business needs from a traditional lender can help you secure resources to grow your business. Unfortunately, traditional business loans often take time to process. Even if you’re approved, you may not be able to access the loan funds for several weeks. Bridge loan lenders help you get the money you need for immediate expenses while you wait for other financing to come through.