What is a business cash advance?
A business cash advance works as a great alternative funding solution for those who are unable to access traditional bank business loans in Sweden. It can solve serious financing issues and work effectively in favor of the business, if used in the right way. In brief, this form of financing solution is an agreement between a borrower and lender wherein the former will let the lender get a fraction of the future gross sales receipts that it receives through their credit card processor in return of an upfront lump sum amount from the lender. The time for repayment and payback methods are determined based on the advance borrowed. You will not have to switch your credit card processing company. A lot of factor make business cash advance a preferred choice as compared to traditional financing for business owners.
Business Cash Advance Loans Benefits
It is easy to secure a business cash advance than to get traditional bank loan. Application process is quite simple for this financing solution. You will not have to pay any kind of application costs and approval for the loan amount comes relatively quickly. While comparing it with traditional loan applications, it is less costly and time saving. Traditional bank financing may take up to several weeks or months to get sanctioned and businesses often cannot afford to spend so much time to get their businesses going. Another advantage of a business cash advance is that the borrower does not need to adhere to a fixed payment schedule. In case a borrower has to face a slow business period then the payments can be made in smaller amounts. Less documentation and paperwork required for getting access to this type of financing solutions makes it more advantageous as compared to the bank loans, where paperwork involved is too huge. You can also be sure that you will not have to go through the trouble of getting lengthy credit checks or filing tax returns, or putting up personal property as guarantees as the completion of the entire process takes place quickly. There are a lot of financial portals in Sweden online, like https://foretagslan24.se/, where you can compare different loans from different lenders and find the one that suits your company the most.The main reason why most business owners choose business cash advance is its fast and easy application process than other traditional financing means.
Bad Credit Business Financing
Businesses looking to seek business cash advance will not have to worry about showing a strong credit history as this type of business financing is based on future receivables. It only requires the business applicant to show proof of being in business for a period of at least three months and show potential to earn steady revenues. By showing these two, a business stands a good chance of getting a loan approved. It is a great alternative financing option against bank financing and hence taken by a number of business owners who find it difficult to secure banks loans because of the stringent requirements.
