Professional Practices are Opting for Merchant Cash Advances

by Paul Kline

While these comments are written specifically to professional practices, they equally apply to all businesses. Growing your business can be a challenging venture. Investing in advertising, equipment, skilled staff, and more, while accumulating capital to achieve your goals can make for a delicate balancing act. To sidestep the entanglement of bank loans, turn to merchant cash advances, or MCAs.

MCAs Have No Limitations

Traditional loans usually have a designated purpose, such as for fixed assets or property. Using funds for purposes other than their contractual designation can leave professional practices in breach of the terms of the loan agreement. MCAs, on the other hand, can be used to anything your practice needs. From advertising to equipment, supplies, hiring additional staff, practice acquisitions, and more, MCAs can be used for multiple purposes. Merchant cash advances have few, if any, restrictions on the use of the funds. You are free to apply the funds in how you deem best to grow your business.

MCA Funding Is Not Debt

One of the main reasons professional practices prefer MCAs is that they are not debt. Merchant cash advances are an infusion of working capital structured around future receivables. No collateral is necessary, and credit scores are not negatively impacted. Your practice received an advance in working capital, which can be put toward growth projects. As clients pay their bills, a small percentage goes toward repaying the balance owed on the advance.

Since MCAs Are Not Debt, There Is No Prepayment Penalty

Another nice thing about MCAs is that there are no prepayment penalties triggered if you want to pay off your balances ahead of schedule. This is part of the flexibility that merchant cash advances offer. Instead of being locked into a payment schedule, the percentage of receivables paid allows practices to repay the advance without impacting finances during lean billing periods. On the other side of the coin, when a practice is receiving many payments in a short period of time, the balance on the MCA can be zeroed out quickly, without triggering any hidden fees.

Work With A Professional Funder

You will be inundated by phone calls and emails which promise easy access to capital. Properly vet the person supposedly representing you to make sure they will not simply take your information and ship it to dozens of direct funders. The easy promise you heard will guarantee a commission to the representative you only met by phone, but dramatically affect your personal credit score and your information will be given to groups without your direct permission. Make sure your representative is more interested in a long-term relationship to help you meet your objectives, rather than making a quick sale for a quick buck.

We Have Over 150 Combined Years In Your Shoes

Sitting Up Nights

I was in the furniture business for many years and, at times, knew that I had to make a choice between putting inventory on the floor or making payroll. It wasn't bad planning or poor decisions, it was situations that were out of my control. Even though I could not control bad weather or an employer laying off workers in the area, the buck stopped with me. Laying up nights, fretting over what to do, much less being able to take my own salary, affected my business and my family.

I know owning a small business is both exhilarating and painful. There are times where the money is just not there to do what you need to do, whether it is a short‐term emergency or taking advantage of a unique situation to grow your business. Just like me, the buck stops with you. We both know it is impossible to deal with a bank these days. You know that for over a decade, banks have had no interest in helping small businesses.

AYN Capital Funding

2018-05-17T01:55:27-04:00

I was in the furniture business for many years and, at times, knew that I had to make a choice between putting inventory on the floor or making payroll. It wasn't bad planning or poor decisions, it was situations that were out of my control. Even though I could not control bad weather or an employer laying off workers in the area, the buck stopped with me. Laying up nights, fretting over what to do, much less being able to take my own salary, affected my business and my family. I know owning a small business is both exhilarating and painful. There are times where the money is just not there to do what you need to do, whether it is a short‐term emergency or taking advantage of a unique situation to grow your business. Just like me, the buck stops with you. We both know it is impossible to deal with a bank these days. You know that for over a decade, banks have had no interest in helping small businesses.

https://goldstandardfundingsolutions.com/testimonials/sitting-up-nights/

Taking Advantage of Opportunities

There is another side to the story. While problems face all of us, you also need to be able to take advantages of unique opportunities when they occur to help grow your business. We both know that these opportunities do not come around that often, and when they do, you will need additional funding to make the move. Whether it is opening a new location, taking advantage of an incredible buying opportunity or the closing of a major competitor, knowing that you have the funds available allows you to take advantage of the situation immediately. Not taking advantage makes no sense. You know that your bank has no interest in working with you.

AYN Capital Funding

2018-05-17T01:56:24-04:00

https://goldstandardfundingsolutions.com/testimonials/taking-advantage-of-opportunities/

Is MCA Funding Really That Expensive

For all of us, the bottom‐line with regard to making the decision to go with a Merchant Cash Advance, is the nagging question ‐ it looks so darn expensive.

When I faced that question, it took me a bit to realize that the answer was right in front on me ‐ compared to what. I realized that comparing it to bank loans made no sense since these were totally unavailable. The comparison is simply one which looks at the cost of not taking advantage of an opportunity or helping to bridge an emergency situation.

Ask yourself, what will it mean to me and my business if I don't move on that truckload of discounted inventory or what if that blown HVAC system makes it impossible for customers to be in the store. We all face these decisions at some point.

AYN Capital Funding

2018-05-17T02:14:05-04:00

For all of us, the bottom‐line with regard to making the decision to go with a Merchant Cash Advance, is the nagging question ‐ it looks so darn expensive. When I faced that question, it took me a bit to realize that the answer was right in front on me ‐ compared to what. I realized that comparing it to bank loans made no sense since these were totally unavailable. The comparison is simply one which looks at the cost of not taking advantage of an opportunity or helping to bridge an emergency situation. Ask yourself, what will it mean to me and my business if I don't move on that truckload of discounted inventory or what if that blown HVAC system makes it impossible for customers to be in the store. We all face these decisions at some point.

https://goldstandardfundingsolutions.com/testimonials/is-mca-funding-really-that-expensive/

Make Sure You’re a Client and Not Just a Commission Check

I remember receiving emails promising unlimited amounts of money, stating that everyone is qualified and payback terms were close to insignificant. All of these emails are from brokers that never owned or managed a business, didn't understand what I faced everyday and were only concerned with how much commission they would make by selling me.

Then one day, I accidentally clicked on an email that talked about my situation, from someone that sounded like they knew what I was going through. Your time, like my time, is valuable, and there is never enough in a day. Do we want to provide funding to you, of course. But our objective is to develop a long‐term relationship with you, helping you to get your business to new levels.

AYN Capital Funding

2018-05-17T02:16:39-04:00

I remember receiving emails promising unlimited amounts of money, stating that everyone is qualified and payback terms were close to insignificant. All of these emails are from brokers that never owned or managed a business, didn't understand what I faced everyday and were only concerned with how much commission they would make by selling me. Then one day, I accidentally clicked on an email that talked about my situation, from someone that sounded like they knew what I was going through. Your time, like my time, is valuable, and there is never enough in a day. Do we want to provide funding to you, of course. But our objective is to develop a long‐term relationship with you, helping you to get your business to new levels.

https://goldstandardfundingsolutions.com/testimonials/make-sure-your-a-client-and-not-just-a-commission-check/

AYN Capital Funding