ForumsMerchant Services

I agree with LUCKIEST. If it is too good to be true, chances are it is.
ALL businesses are in business to make money. They would not lend money and not get something in return.
Perhaps they don't want interest, but you have to promise them your first born child.

CC08

Jason,

I would be interested in speaking to you.
I have clients that would fit into a cash advance option.
Please give me a quick email to arrange a call.

CC08

Merchant, Where are you located?? Area code 801??
LUCKIEST

Central,
As yourself i am new to this forum. I offer these kinds of programs to merchants just like yourself on a daily basis. It seems to me you understood the blueprints of the program. There is no catch, what happens is that the money you are being advanced is expensive. Depending on your monthly average credit card sales you will pay back a 1.24, 1.38, or even a 1.48. Just multiply the amount you are being advanced by one of these factors i.e. 50 000 * 1.38 (which is the most popular factor rate) 69 000, meaning to borrow 50k it will cost you 19k. It is true there is no intrest rate because there is no period no 1yr 5yr 15yr the loan gets paid back through your credit card sales. Everytime you batch out 15% to 20% of your gross revenue goes towards the payback amount, meaning no monthly payment no specific time frame to payoff the loan. The lender gets paid back only if your business grows and continues to do well. Remember the reason it is expensive is because there is no collateral no guarantee. If ever you choose to go through with this or if you have any questions do not hesitate to contact me.

Eric ,
Regional Vice President
Your Merchant Company LLC
o-866-529-0259

If you are shoping for Capital Advance please call me at
877-274-7933

Sam Segal

The program you are describing is called a Merchant Advance. Depending on your credit card sales, you can receive an advance up to 125% of your average monthly MasterCard and VISA sales. For example, if your average MC and VISA sales are $40,000 a month, you can get an advance up to $50,000. The repayment is made through your merchant account. You sign an authorization to have the payment made as sales are credited to your merchant account. The amount is a fixed percentage of your MC and VISA sales until the advance is repaid.

It's untrue that there are no interest charges. The interest is a fixed amount determined at the outset of the advance. The interest charge assessed is a function of the type of business, credit rating, and other factors.

To qualify, you need to meet three requirements. 1) Must have been in business for one year (two years for advances over $75,000) 2) Average MC/VISA sales must exceed $2,500 a month 3) Must have at least one year remaining on the lease for your business location or own your property.

The advantage to this type of financing is that 1) it's relatively quick to obtain - generally I can get an approval within two business days 2) there are no restrictions on the use of funds - you can use the money for working capital, new equipment, and other needs. 3) it's nonrecourse financing which means that unlike a mortgage secured by real estate or a loan secured by equipment the lender can only look to your merchant account for repayment - if your business fails you can walk away.

Another advantage is that a Merchant Advance does not affect your ability to apply for other types of financing. You can still apply for loans and leases provided your business qualifies for them without being affected by the Merchant Advance.

Because this is nonrecourse financing it's not inexpensive. If you need financing and you can't qualify for a loan or a lease, or it will take too long to obtain them, then you should consider a Merchant Advance.

I offer the lowest rates you'll find anywhere on a Merchant Advance. I also have a special program for restaurants. If you'd like to know more, please send me an email and I'll contact you. My address is DougA@equitycorpfinance.com

Best wishes, Doug

This sort of financing is not too good to be true. I do these sort of transactions all the time. They are quick simple and fast.

I am short on time, if you have more questions or would like some free advise, drop me a line.

financeguy@avalonfnd.com