Enterprise Advance loan : The method of preference regarding Small company Money.
Merchant Cash Advance is among the easiest ways to keep up a wholesome cash flow and meet the mandatory cash availability for the day-to-day business activities. It is a relatively new method of financing your short-term cash needs compared to business loans, however it is much safer and easier on the purse from the borrower's perspective.
While lots of people are very apprehensive about business cash advance companies and have a pre-conceived notion that they're just the same kind of loan sharks in a new disguise, the fact is that business cash advance and business loans are totally different.
With business loans comes the liability of repaying back in accordance with predetermined schedule, there is always a threat of defaulting and worries of losing your credit score. However, business cash advance is a much easier process and the repayment is done through Visa or Master card sales receipts. Payments received through Visa and Master cards are accounted for repaying the money advance amount and no other sales proceeds are involved. This can help the borrower to repay the business cash advance easily while maintaining a regular income through other sales receipts.
Not just repayment is easy with business cash advance but it is also easier to get a business cash advance compared to your small business loan. While to get a business loan the borrower will have to undergo a lot of documentation and will also probably require some suitable collateral, getting a small business cash advance is a lot easier. The paperwork is comparatively less and the money advances are approved comparatively faster. Also, though some companies would ask for collateral most companies would not require any collateral to offer a business cash advance.
The largest advantage that business cash advance has over a conventional business loan is that the borrower isn't personally liable to repay an income advance. In the event of a small business loan the borrower is personally liable and if the borrower struggles to repay the loans there is always a threat of losing personal assets which are often being used as a collateral. For business cash advance the repayment is done through charge card sales receipt and the borrower's personal assets remain untouched.