Business finance can seem hard to come by for growing businesses or start ups. Banks criteria has changed passing the need on to alternative funders like ourselves. However, this doesn’t mean that money isn’t available. Great ideas still get funded, but you need to think carefully about the kind of investment you’re going to take on. The terms of the funding on which you’ll take it and is it the correct type of business for you and your business. The past years have seen a number of alternative business finance products land in the UK market.
Alternative sources of business finance
PDQ Funding work hard to support businesses or entrepreneur that have a requirement for finance. Business funding from ourselves may not viable for a number of reasons, we do fund 90% of applications though! However, there are numerous other funding routes you can go down to get your business up and running such as:
- Crowdfunding – funding the venture by raising money from a number of people.
- Friends and family
- Bootstrapping – using your own financial resources.
- Asset-based lending – business loan secured by assets.
- Equity financing – raising capital through the sale of shares.
- Business angels – wealthy individuals who invest in start up companies.
- Peer-to-peer lending
- Business accelerators – organisations that take a share of equity in return for initial funding.
Business finance which support your cash flow & business needs
Sometimes you might find that your business needs a little extra working capital. Whether you’re trying to establish yourself in your first year or you need funds to expand. Business just sometimes need funding to see you over a quiet period. We understand that acquiring Small Business Funding can be a daunting experience.
We also understand the hard work and difficulties that is required to gain funding in the first place. Banks routinely reject funding applications leaving many small and medium sized businesses with cash flow problems and missed business opportunities.
Merchant cash advance for business funding
Our competitors 365 Business Finance & Liberis like ourselves have a lending criteria usually been trading for six months or more. Card turnover of £5,000 or more each month via your PDQ card payment machine.
Merchant cash advances are by far the most common form of alternative business cash advance. This is because the payments technology makes it very straightforward to track. They’re designed specifically for merchants with card payment terminals. Businesses that take payment using a PDQ card machine. The lender then works with your merchant provider to be directly involved with each transaction.
The merchant loan advance amount is usually based on the average monthly turnover. Lenders will want to see your last few months of card sales statements.
Flexible Business Funding
The main advantage of merchant cash advances specifically is that once they’re set up, they require very little oversight. There’s no monthly repayment to worry about. This is due to every single transaction pays down the debt, and you’ll know the total cost from the beginning.
Business owners often find that the repayments are seamless. This is because rather than putting money aside you just carry on as normal, and the advance is automatically repaid as a percentage on each transaction.
Most merchant cash advance providers offer an online login where you can see the status of your advance. Once half the cash advance has been repaid you can apply for a top-up amount.
If you would like to know more about a merchant cash advance for business, its so simple to get started. Simply complete the online enquiry form. Once it has been received a business finance specialist would contact you. You can discuss your companies needs and ask any questions you may have.