There is a time and place for every loan type. Of course you’d prefer to pay a low interest rate and have a low expectation for repayment of your loan. But this may not always be an option, you may not have the time to wait through a lengthy loan process, or you may not have the credit or available resources to get a traditional bank loan. If this is the case, you may want to consider a business cash advance. Today we’ll discuss the top three reasons to get one.
Emergencies: if your company has a sudden emergency, critical equipment is broken, the store is robbed and you are waiting on an insurance claim to resupply, etc. It would be a good idea to get a business cash advance to deal with this immediate need so you can continue to bring in profits.
Expansion: if you are expanding rapidly you will notice that you may not have the money to pay for all your expanding inventory (not to include property that should be purchased with long term bank loan), but you need the new inventory to make more money. If the benefit outweighs the cost, you should get an advance.
Payroll Shortage: finally, the worst situation you can be in is if you have gone over your expenses and cannot pay your employees. You should get a business cash advance to pay them if possible. If some or all of them quit, the cost to retrain new employees can be very expensive.