Easy cash advance for lodging and the hospitality businesses

The hospitality businesses like home rentals, lodging facilities, motels, bed and breakfast businesses as well as vacation rentals are often left with several situations of sudden financial requirements. But these are the businesses that are known to involve advance booking and payments. Advance payments would mean that till the actual time when the services are availed, there is always the inherent risk of facing cancellations where the business would have to initiate full or partial repayment. Such chargebacks can cause in a lot of processing expenses which would not be covered by standard funds or loans and these are unplanned expenses that are prone to occur in hospitality businesses. In such cases of unprecedented cash crunches, MCA (Merchant Cash Advance) acts as one of the best Bank Loan Alternatives. This is one main reason why hospitality businesses approach high-risk merchant providers for business financing at times of emergency.

What is merchant cash advance? Though there is a fancy term given to it, it is simply a cash that is given to the business without any collateral or without any tedious documentation and background checks. When a situation comes where you need a reliable source of working capital or when the cash flow doesn’t come as planned then you would simply be able to apply for a cash advance which can then be closed with flexible repayment options and loan terms.

Bad credit OK options

There are very few financing options if your business has a bad credit or if it is relatively new. When the business is new there is a little track record of how the business performs and to find whether the cash flow is stable. Lenders would thus have to be able to grant unsecured business loans without any proof of how the business has performed in the past. This is why small business financing terms are very much different from the traditional financial terms.

If your business falls into the high-risk category it means that the business has already been deemed as a high risk by financial institutions and this prejudiced approach would narrow your options. But high-risk merchant providers would not really bother whether the business falls into a high-risk category or a normal low-risk category. The repayment options are designed so as to suit businesses of every size. And these cash advances come as bad credit OK options. So even if you have a bad credit you would still be able to apply for the cash advance and tackle the financial need at hand.

Loan purpose doesn’t matter

If you have applied for a loan you would be aware of the various types of loans available. Each type of loan is designed specifically to fulfill certain purposes. So you would be able to use the funds received only for that particular reason for which you applied for the bank loan. The terms and conditions, loan tenure and all such factors would also vary from one loan to another. But this is not the case with merchant cash advances. You can apply for a cash advance for any purpose. Be it simple to manage the month’s payroll or to get a new team on board, or to plan an expansion, you would be able to apply for a cash advance without having to explain the purpose. And the best part is that if you have funds to meet the purpose then you could use the availed cash advance in any other place as well. No matter what the purpose is the simplicity of the process still remains. The terms of repayment as well as the steps involved would still remain the same. This makes cash advances easier to understand and manage.

Loan positions do not matter anymore

Whether it is a 1st position loan that you have to take care of or even the 4th and 5th position loans you would be able to put them all together and plan an easy repayment routine. Merchant cash advances allow you to convert any position of the loan to a simpler and a more manageable loan that is easier to track and easier to close as well.

You would be able to choose from a flexible list of options for 1st position advance, 2nd position advance and more or even the cash advance consolidation options. You could finally make your choice by considering the factor rate, loan terms, and other aspects. Factor rates are different from interest rates. There are some cases where you would be able to receive considerable savings for paying the loan back sooner than the tenure. Read the terms and conditions to understand why merchant cash advances are so popular and so flexible.

When you want to borrow, borrowing any amount is simple

One other important attribute of merchant cash advances that requires a special mention is the easy loan increments available. Unlike standard loans from lenders, you would not be given tight limits on the loan amount. The amount it takes to manage the payroll for one business might not be sufficient to manage the payroll for another. And there are situations when a 10K dollars cash advance would be sufficient and there are cases when you might need a huge amount of 100K dollars or more. If the financing option at hand would help you tackle all such diverse situations with ease then it is definitely worth considering. And one such flexible and versatile option is the merchant cash advance.

You would always be able to go for more advanced when you already have a loan running. So for the cases where stacking of funding is required cash advances are very good. And given the less time is taken for the processing, this is one of the best options for all emergency situations. In the end, by handling your finances in a timely manner by making use of cash advances you would also be able to work on improving the credit performance of your business. This would improve your chances of getting a better loan next time.

"CapVance will  save  our client  money without sacrificing  quality service  that is how  we have a  client for life"-                                                                                                                                                                 Bill O'Donnell, CEO and President