Cash Advance Fee
Fast Cash Advance is a great way for merchants to get immediate capital for critical business expenses. The cash advance fees however sometime leave business owners in shock. It’s important sometimes to try and see things from the perspective of the lender to gain an understanding.
Direct lenders take high risk with no collateral. They also incur significant losses when those debts go sour making the costs increase for everyone. Cash advance rates are high but actually the cost of capital is lower than term loans. Think of a 12 year mortgage compared to a 30 year; the 12 year will have a much higher payment but the total payoff amount is far less.
Same Day Cash Advance
Many MCA direct lending firms offer same day funding. The process is simple with most firms looking at last 3 months of bank statements and a one-page application for pre-approval. The best cash advance apps will show merchants details very fast including cash advance rates, cash advance fees and terms.
Any business that is generating sales and paying its bills can find a variety of direct lenders who have the sophistication and resources to evaluate and underwrite risk.
Current Prime Rate
Interest Rates are increasing making it even more challenging for merchants seeking small business loans. Covering the need for immediate cash has always been difficult but a rising interest rate environment makes those challenges greater.
The best cash advance rates are now becoming even more attractive compared to the commercial loan rates 2018!