by Mark Finkelstein
Restaurants by the very nature of their operations are a natural fit for merchant cash advances. Having a merchant cash advance can allow your restaurant to thrive. You’ll have financing to put towards achieving your restaurant’s goals, and can remit your advance at the pace of your restaurant’s sales.
A simple application process – If you’re applying for a merchant cash advance from a trusted alternative lender, there will be certain standards. For instance, they’ll want to see your most recent credit card statements. This is to ensure that your business receives enough credit card transactions to successfully utilize and remit this product. Overall, the application process shouldn’t be too complex. If your business frequently receives credit card transactions, and you run your business in a responsible manner, your application process should take a few minutes.
A high approval rate – Merchant cash advances for restaurants have a high approval rate because an important part of their evaluation is the consistency of daily cash deposits. Restaurants are natural fits for these evaluations. While getting approved for some financing products rely heavily on your credit score, this isn’t the case for merchant funding.
Have money to grow your business – Once you receive a restaurant cash advance, you’ll have money available to use for whatever your restaurant is currently lacking. Perhaps your restaurant’s interior could use some TLC, or you’re frequently understaffed. Getting a restaurant cash advance will enable you to proactively invest in areas of your business that need to be enhanced.
Have money for emergencies – Perhaps you don’t have any major ideas for improving your restaurant. Still, you can’t predict the future! What if your restaurant experiences an unforeseen emergency, such as having an oven break or running out of required inventory? If you have a merchant cash advance, you’ll have the peace of mind and will be able to navigate these unexpected twists and turns that come with running a small business.
5. Flexibility based on your business’s sales – With restaurant merchant funding, remittance is based on your business’s future credit card sales. Therefore, if your restaurant goes through a lull in sales, you won’t be expected to remit a set amount.