Here’s a situation that might sound familiar: You know that you need a business loan, but a business term loan isn’t what you want or need. For one thing, you don’t have the credit score or the collateral that the banks would require for an SBA loan or another type of term loan. While you plan to use your small business loan to increase revenue, that increase isn’t going to happen overnight. The banks won’t care, though. They’ll want you to start paying back your loan before it even has time to make a difference. You need a long-term investment, not a short-term fix, and big investments take time to generate results. If your bank demands fixed payments right away, how can your business loan do you any good?
A merchant cash advance would give you the flexibility that you need, but there’s just one problem with that possibility: You don’t make most of your revenue from credit and debit card sales. Thankfully, there is an option that can work for you: the revenue-based business loan, otherwise known as a business cash advance. Read on to find out how it works.
Compared to other loan types
|Loan types||Max Amounts||Rates||Speed|
|Merchant Cash Advance||$7.5k – $1m||Starting at 1.09||1-2 business days|
|SBA Loan||$50k-$10m||Starting at 5%||3-5 weeks|
|Business Term Loan||$10k to $5m||Starting at 5%||1-3 business days|
|Business Line of Credit||$10k to $250k||Starting at 8%||1-3 business days|
|Receivables/Invoice Factoring||$50k-$10m||Starting at 5.8%||1-2 weeks|
|Equipment Financing||Up to $5m per piece||Starting at 5%||3-10 business days|
|Revenue Based Business Loans||$10K – $5m||Starting at 9%||1-3 business days|
United Capital Source Can Help You Get Revenue Based Financing
Ready to start our partnership? Have any more questions? Feel free to call us, email us, or start a live chat at any time. We know that the revenue-based business loan is a new thing in the business world. That’s why we’re here to answer any questions you may have about it. Ready to start your application? You can apply online with United Capital Source today. We’re ready to help, and we’re so excited to work with you.