Build Up Business Capital with Merchant Cash Advance

If you run a public-facing business, you know that your business capital is the key to maximizing profits. When you’ve got the right working capital, you are free to stock up on inventory ahead of predictable demand surges like local events and national holidays. This is essential for all kinds of retail businesses, as well as entertainment businesses and restaurants. It can also be important to contractors and others with a business model that includes seasonal demand peaks driven by environmental circumstances. A merchant cash advance can be the secret to ensuring you have the working capital you need to make the most of those heavy demand periods, but it can also be a great way to maximize your working capital year round.

Using MCAs To Build Capital

You can apply for a new advance against your merchant account whenever you’ve finished paying off your previous one, allowing you to plan for a few advances throughout the year with a fair amount of confidence about what you can count on each time. The first advance will tell you what kind of terms you qualify for, and as your business grows, you’ll find more capital and more generous fee agreements and finance charges tend to come your way. That’s because your lender will be able to better calibrate risk for borrowers whose business cycle and payment history is well-established. When you can count on a few regular injections of capital to provide you with a budget for various business activities while you weather the ups and downs of the demand cycle, it’s easier to plot out a course for growth that pairs preparation with an inspired set of tools for reaching new customers.

Putting Your New Capital To Work

With more predictable cash flow, it’s easier to commit to ongoing expenses like ad campaigns and online marketing to spread word about your business. That empowers you to do more than just stock up for busy periods, because it gives you the tools you need to make yourself busier all the time, so your slow periods aren’t as slow as they used to be. When you plan your cycle of merchant cash advance applications the right way, you can set the advances up to be even more cost efficient by timing them for the period just before each rapid demand increase, to minimize repayment times and interest. Retail businesses tend to be limited by their working capital, so isn’t it time you had the tools to transcend those limits?

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