High risk businesses struggle with almost everything. From getting off the ground, to growing its clientele, to getting a business loan, to paying back that loan. Business loans are the go-to for most merchants, and high risk merchants search them out, as well. However, the bad usually outweighs the good with a loan. While some refuse to look for anything other than a business loan, many high risk merchant account processors offer up alternatives for their clients.
A high risk cash advance is something that all high risk merchants in need of funding should search out. While not all high risk merchants have a merchant account, they should search one out. This is an underlying issue with the industry and its financial issues. Sometimes merchants use PayPal, which is good for small businesses which do not have many sales, such as an Etsy shop. For those who have, or wish to have, over $500 per day in sales, PayPal can quickly turn ugly. Too many transactions can cause an account to close without notice. The same happens with too many returns. This leaves you without a way to refund clients – or even access order information. If you are a high risk merchant can currently use PayPal, you need to consider other options.
As far as finding a loan source, your high risk merchant account processor is usually the best choice. If they offer a high risk cash advance, you should seriously consider this option. Unlike a traditional business loan, a high risk cash advance is scheduled for payments at a much easier rate. This rate is an agreed upon percentage that comes from your merchant account at the end of each business day. This helps those who fear large, lump sum payments every month. It also helps you not lose funds. Cash advances are also fast – sometimes as little as 72 hours! This is a big improvement over traditional loans which can take weeks to obtain.
When you are in need of a cash advance, look no further than your merchant account processor. This is something that many do not do, but it should be the first stop when your business is in need of extra cash.