For many business owners, a merchant cash advance is a new and unheard of financial solution. The industry is still very new, especially in Canada, and many people still think that the bank is the only place they can go to get financing for their business.
Usually, the first thing that’s asked by someone who’s genuinely interested in the program is “how much money can I get from this program?”. At this point they begin to formulate ideas of what they would be able to do in their business if there was more cash available in order to be able to do it. People often want to understand what they’re able to qualify for before filling out our application and supporting documents (although the paperwork is minimal compared to the bank!).
What we can do is provide them an approximation of what they qualify for based on three numbers – their average monthly debit/credit card sales volumes, their net income margin (what’s left after all costs are covered as a percentage of their sales), and the approximate % of their sales that are cash sales. We provide our sales agents with calculators that they can use right on their cell phones in order to give you these approximations on the spot.
The reason we ask for your net income margin and the % of sales that are cash sales, is because we want to ensure that your business will remain profitable during our program so that you can make the best use of your cash advance money. We described the importance of this when we discussed our consultative approach in this blog post. None of our competitors take the same approach, and they will often suggest programs that put businesses into a negative cash flow situation. We want to ensure our program works for you so that your business succeeds. That way you’ll walk away as a happy client and you’ll go on and recommend us to everyone else you know!
If you’d like to find out what you’d qualify for, just fill out our quick quote form on our website and we’ll get back to you promptly or give us a call at 1-866-240-3694. We look forward to hearing from you!
There is no question that people are starting to prefer to do their banking online. The days of having to go into the bank for every transaction you want to make are long gone, and now the era of the fintech is taking its place and continuing to grow.