Alternative lenders have become quite popular in the lending industry and in particular, merchant cash advance providers seem to be experiencing a rosy season. As a restaurant owner in need of an external source of funding for your business, whether for reasons of meeting your working capital needs, increasing the pay of your employees or expanding your business, you might have thought of trying them out. You can fill out a restaurant business loan application to one of the MCA companies.
Before you consider filling a loan application for one of the merchant cash advance providers, there are a couple of things that need to be borne in your mind. First of all, you need to be a restaurant which accepts credit or debit cards in the settlement of your bills. You also need to be an established restaurant with at least three months experience in the business world. Last but not least, you need to have the necessary documents that might be required to make the process easier and quicker for you.
A loan application for a merchant cash advance can be undertaken either by approaching a MCA provider that is near your location or you can use the online resources. You will need to provide the financial statement of your business, a copy of your credit sales history as well as your estimated credit sales in the near future. It is good to note that you don’t need to have any form of collateral during the restaurant business loan application.
After requesting for a merchant cash advance from the MCA Company you have settled on, you will get feedback in a matter of days. Their approval rates are high and your application is more likely to be approved by the MCA provider that you’ll approach. You can get the cash advance in about three days but there are convenient scenarios where you can even receive in the cash within just a day.
The repayment schedule for the approved loan applications is quite sustainable. A fixed percentage of your daily credit sales transactions will be deducted from your earnings for remission to your MCA provider. This means that you will have to part with higher amounts on days when the credit sales are high while days with low credit sales will leave you with enough cash to sustain your working capital needs.
If you are in dire need of cash, approaching a MCA provider could be a prudent decision. Restaurants on the verge of collapse could try completing an application.
This option is remarkably prompt in the provision of the much needed external funds to a given business. How you will utilize the cash advance you get is totally up to you as no follow up is undertaken by the MCA companies.
Filling a restaurant business loan application for a MCA provider is a sure way of ensuring that you get the much-needed cash to finance your restaurant. Though this form of alternative lending is considered to be the most expensive, it is responsive, has higher approval rates with a repayment schedule that is quite sustainable.