Since their inception, merchant cash advances have been considered the best option for business owners to gain quick funding when needed. They are easy to apply for and don’t demand too much information. Moreover, leading players such as eMerchantBroker offer fast approvals, with cash deposited within only a few days.
That said, smart merchants have come to the realization that cash advances mean a lot more than just a bailout from a tough or unexpected situation. When used wisely, alternative funding can help to improve sale volumes and return larger profits. And in this article, we aim to explain how.
- Stocking up on inventory
If your business has established a consistent flow of customers, buying more stock can be a good way to ensure the availability of your product in the long run. In addition to earning you discounts form your suppliers, buying in bulk will also shield you from unpleasant price variations in the future.
- Expanding your operations
Cash advances can be reliable funding sources for merchants looking to expand their businesses. Unlike loans which will always be waiting to be serviced at the end of the month, a trader pays a cash advance through small portions of individual sales.
Expanding an enterprise will, therefore, be easy because you won’t have to worry about your bigger establishment gaining traction right away to meet mandatory loan requirements
- Taking advantage of the high season
As a merchant, there comes a time when demand for your goods or services shoots through the roof. For instance, if you run an electronics retail shop, the holidays will always mean more sales as customers flock to buy the latest gadgets for their loved ones.
Your store might not be ready for the peak season, but with a cash advance, you can ensure your shelves are well-packed to satisfy the sudden influx of customers and maximize sales.
- Vigorous marketing
Your business might be doing fine, but if you want an edge over the competition, you need a good marketing strategy. Building a campaign requires money and what better way to get it than a cash advance?
Not only is an advance quicker and easier to acquire, but if your strategy doesn’t work out as good as you planned, you won’t have the stress of making monthly payments to a traditional lender.
Takeaway
Some merchants think of a cash advance only when they’re hit with an unforeseen expenditure or when their clients fail to pay in time. But applying for one may be what you need to take your business to the next level.