Merchant Cash Advance Retail Financing Uses

retail merchant cash advance

Merchant Cash Advance Retail Financing Uses

Merchant Cash Advance retail financing can offer your business a variety of benefits to be more successful. To stay competitive in the retail industry, it is important to continuously improve your business, which often requires additional short or long term capital investment. Your business improvements will likely include new technology, marketing, inventory, personnel and business practices.

With merchant cash advance retail financing, your business receives a lump sum of capital while the financial lender receives a percentage of your business´ future credit card sales. Instead of a traditional small business loan, where there is a fixed interest rate and loan period, your business financing cost will vary based on your daily credit card sales. Generally the requirements to qualify for merchant cash advance retail financing are easier than other financial options, with the added benefit of having access to the capital in a short period of time. Since a retail business normally accepts credit cards, your business can likely qualify for merchant cash advance retail financing.

There are a variety of ways your retail business can take advantage of a merchant cash advance as noted below.

Modernize Your Technology

Technology is always advancing, particularly in the retail industry. It often can can be expensive, but it can be valuable to your retail business. Retail technology can include point-of-sale (POS) systems, mobile apps, electronic progressive payment services. And don´t forget the Internet! Many of your future customers may first look to the Internet to find your type of retail business. As with any investment, as a business owner you will need to evaluate the investment versus potential value and return.

Inventory Management

A retail business always has some type of inventory on hand. Often this is seasonal and constantly in movement. Your customers visit your store in search of a specific item and if not available, will either defer the purchase at that moment or go visit your competition. Due to a mismatch of inventory, you may have lost that customer and their future sales. To avoid this, be sure that your business inventory is well stocked, particularly with popular or seasonal items that fly off the shelves. The payment terms with your inventory suppliers may limit your future inventory purchases. Your retail business can use merchant cash advance financing to “pre-purchase” seasonal inventory, with future higher credit card sales quickly paying back the additional capital to your business.

Personnel Expenses

Your retail business is open to the public. Your business needs experienced employees who can sell merchandise, provide customer service, and maintain your store’s appearance. If your business does not have the right amount of employees, properly trained, the quality of your business will likely suffer. If there is the need to add additional personnel for the seasonal buying period, your business can take advantage of merchant cash advance financing to help your business cash flow. The additional capital to your business ensures that your personnel get paid, offset by the future credit card sales during the seasonal buying period.

Update the Interior

A potential retail customer forms an opinion of your business, the moment they see your storefront and walk through the door. Does the storefront need a makeover? Does the lighting need to modernized? Does the store layout need a redesign to improve the customers’ shopping experience? Does the personnel need new uniforms? Does the signage need to be revamped? A retail business always needs some type of maintenance and merchant cash advance financing can help you reach your goals.

merchant cash advance retail conclusion

Merchant Cash Advance Retail – Conclusion

Merchant cash advance retail financing offers a retail business owner quick, flexible capital paid from future business credit card sales. We presented a variety of ways a retail business can take advantage of using merchant cash advance financing. A retail business owner should evaluate the cost versus benefit of this type of financing and their immediate and long-term affects on the business.

Please call us at (888) 213-3383 to help review which financial product best serves your business needs or Contact Us via Email.


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