As with everything there are systems in place to make sure the business cash advance process operates smoothly. For the process to go as needed, make sure you have references, sales history and other relevant documentation ready for providers to look at. Online applications are popular and offer an easy way to provide financial statements and recent credit card transactions reports.

An advance provider is not a bank. They will not check credit history and operates in black and white. A cash advance service cares only about your ability to pay back the advance in the near future.

Cash Advance Table of Contents

* Business Cash Advance Help – The Guide
* Merchant Cash Advance Terms
* Who is suited for a Merchant Advances or Factoring Services?
* Who Qualifies for a Business Cash Advance Loan?
* The Cash Advance System
* How Much Does a Business Cash Advance Cost?
* How to choose a Business Cash Advance or Factoring Provider
* Merchant Cash Advance Tips

Cash advance approval usually does not take too long and rarely exceeds 7 days, although in rare instances may take several weeks. The provider will contact you with an offer of an advance and provide you with the advance amount. With that advance you will receive a retrieval rate, which indicates that percentage of daily credit card sales that they can collect. When agreed upon, this amount will be transferred to their account on a daily basis.

Some credit card companies won’t allow a third party to be involved. If that is the case than a new credit card processing service may be needed for automatic repayments. Make sure your credit card processing company allows this before agreeing to repayment terms.

Now that you have decided on a provider, been approved for a cash advance, reviewed and agreed on all terms and checked with your credit card processing company to make sure it is allowed, a contract will be drafted that specifically lays out all the terms in the agreement with your advance provider.

A contract should state the advance amount, daily return rate, repayment schedule and what the provider can do in the even that a repayment is not being met on time. Typically if you are falling behind on payments a provider will demand full refund of the remaining balance.