Business Cash Advance - Small Business Cash Advance by Ameribank Card
Business cash advance is one of the most easiest and popular methods for small business financing. Cash advance business has been around for a while but gained the popularity and exposure in the last few years. There are merchants who purchase a predetermined number of VISA or Master Card sales receipt and provide business cash advance to the sellers in lieu of those receipts. Any fund received through a business cash advance is not a loan, it is a cash advance paid against Visa or Master card merchant account receipt and these amounts are paid back through the merchant account itself.

Prerequisites for a Small Business Cash Advance

• The business must accept Visa, Master Card, American Express or Discover as a mode of payment.
• The business must process payments of $1500 or more in a month.
• The business should have been operating for at least 2 years.
• Non-seasonal businesses: credit card processing and bank statements for each of the previous three months immediately preceding the month of application as well as statements from the previous year for each of the three months immediately following the month of application.
• Seasonal businesses: credit card processing and bank statements for each of the previous twelve months immediately preceding the month of application

The biggest advantage that the cash advance business offers to the businessmen is that they are not personally liable to repay a small business cash advance. Most retail store front and small business accepts credit cards as a form of payment. Rather than using the personal credit or personal collateral, personal guarantor etc to get a small business cash advance the owner can sell his future credit card receivables at a discounted price to the cash advance business companies. This is pretty much similar to factoring, except in this case your credit card receivables are factored rather than the business-to-business invoices.
Cash advance businesses get repaid through future Visa and Master Card sale. Other payments received through cash check or other cards are left with you and only the Visa and Master card payments are used for repayment. There are no fixed payment schedules for business cash advance and they get repaid automatically when the merchant has a Visa or Master Card Sale.

A business cash advance can be particularly useful to meet working capital requirements and can be a good alterantive to working capital loans. Unlike venture capitalist systems, cash advance business would not take equity ownership of the company and the company is free to use the business cash advance for any usage that they see fit. Small Business Cash Advance

Ameribank Card is one of the most trusted names in small business cash advance. A small business cash advance not only helps you to meet your temporary cash crunches but also can be extremely useful if you are planning an expansion or trying to cope with shortage of working capital. With the goal to become the pre-eminent provider of cash advance for small businesses, Ameribank Card works continuously to support the growth of small businesses and helps to take it to the next level. We work towards making the small business cash advance process as simple and risk free as possible. Small businesses can easily acquire a cash advance against their credit card sales receipt. It is also relatively easy to qualify for a cash advance than to get a small business loan. At Ameribank Card, any small business can acquire a cash advance if they fulfill the following conditions:

• The business must accept Visa or Master Card as a mode of payment
• The business must process a payment of $1500 or more in a month
• The business should have been there for at least 2 years.
• Credit card statement and bank statements for 3 month for seasonal business and 12 months statement for non-seasonal business should be available.

Business Cash Advance Vs. Small Business Loans
Every business owner who has ever tried to get a business loan knows how difficult it is to get the money out of those banks and financial institutions. Surprisingly enough, these same people don�t need to be coaxed for a personal loan even if you are going to spend all that money for a pleasure trip or buying a car, but if you are looking for a business loan that is likely to give you a good ROI, you need to fulfill a bunch of criterions to qualify. One of the prime criteria for getting a small business loan is to have a good credit score and unfortunately over 92% of the American population does not qualify for a business loan including the Small Business Administration (SBA) Guarantee Loan Program.

Credit Score is just the tip of the iceberg, even if you have a good credit score, you will have to provide the bank with financial statements, audited tax returns, business plan, a personal guarantee or collateral and meet other regulatory requirements set forward by the financial institutions.

Most banks would not even consider offering a business loan if you are

1. New in business
2. Have low credit score or no credit or credit problem
3. Do not have enough collateral
4. Need under $100,000

Also a business loan brings with it the liabilities of making monthly repayments of fixed amounts. While it is so difficult to obtain a business loan, it becomes pretty easy to get some funding if you opt for a business cash advance. A business cash advance Company would offer cash even to people with relatively low credit score. Most business that accepts credit cards and are in business for more than 2 years qualify for a business cash advance. A business cash advance is similar to a factor company except for the fact that it uses your future credit card receivables instead of business-to-business receivable invoices.

A business cash advance does not require a personal guarantee or a collateral neither is there a fixed monthly repayment schedule. Business cash advance is repaid automatically through Visa or Master card sales. A business cash advance is a much easier option compared to business loans. A cash advance provider would not take equity ownership of your business and you are free to use the money for any business purpose you see fit.

As the cash advance provider gets paid only when you sale and get paid, it is more of an investment to them. The repayment of your business cash advance follows the revenue trend of your business and your cash sales are never used for repayment. This ensures that it is never a burden for you to repay the cash advance. If your business needs an injection of cash flow it is time you apply for a business cash advance and start enjoying the financial stability.