Guide On How A Mission-Driven Business Grew With A Merchant Cash Advance

When it comes to running a mission-driven business, it can be a long road to success.

It is not easy to maintain a strong vision for the business and still get it to succeed. You are going to require funding and that is easier said than done in contemporary times.

This is why more and more businesses are starting to look at the perks of merchant cash advances. These are specific funding options that will allow you to get the funds when you need them the most.

Here is a breakdown of what a mission-driven business gets with the help of an MCA.

What is a Merchant Cash Advance?

A merchant cash advance or MCA refers to any funding that is provided by a lender in exchange for a set amount of credit/debit card sales. This tends to extend over the course of a particular period that is determined in advance between both parties. The advantage of this has to do with ensuring businesses that want to have working capital can get it as soon as they want. The idea of waiting for a traditional lending process to come through can be difficult for businesses that are already cash-strapped.

MCAs are noted for offering real value to those who want to get easy-access funding as soon as possible.

These funds can be used as the business desires including setting up large purchase orders, handling emergency expenses, taking care of business needs, managing payroll, and/or any other expense you can think of. Once the funds come in, you are good to go.

When it comes to the funding process, there are qualification requirements in place for businesses. This includes not having to set up collateral to get approved nor having to put together a fixed monthly payment as you would with other types of loans. Since everything is based on credit/debit card volume, this is how you are going to have the MCA set up.

These funds are generally going to be somewhere between $3,000 to $500,000 depending on the deal that is put together. Most lenders are going to have a payment timeline set up that is spread across 3-18 months.

1. Funding

Funding is critical when running a new business.

You are going to want to continue to push forward and scale the business. This isn’t easy because you might not be getting the funds as soon as you want them while traditional lenders make it difficult to gain approval for loans.

This leaves you in a tough spot with no way out.

However, MCAs are great because they simplify things as much as you want them to. You can get the funds when you need them the most to keep growing.

2. Growth Phase

It is the growth phase that is going to elevate your business.

A lot of businesses take advantage of MCAs because they can continue to take on larger purchase orders. It is these purchase orders that are going to help complete more sales over the long haul.

Businesses that want to do well and continue to grow take advantage of what these loans have to offer. The funding is going to be readily accessible and will work out as planned. This can push a mission-driven business to new heights.

Final Thoughts 

In the end, a mission-driven business has to be resourceful and that is what MCAs are all about.

You are not going to have to settle for less or wait around for too long. Instead, you can simplify things as much as possible with the help of an MCA.

Get started here if you are in the same spot and watch as your business continues to boom in the coming years.