Forums: Discussions for entrepreneurs and small business.

Actually, there are dozens of cash advance companies out there, and they all have different criteria for funding.  Some of the more established companies can mold a plan more specific to the business at hand.  While 1 year in business is a generally accepted practice, it is not the rule.  You can usually go as high as $50,000 without requests for tax returns as well.  Meaning, you should do your homework on the different companies out there.

I work for 2nd SOURCE FUNDING, and we work with 7 different Merchant Banks.  To anyone who doubts the viability and size of the industry, we are currently funding between $10 and $15 million a month to merchants in all 50 states.  We usually ask for the last couple months of bank statements and merchant processing statements, so we can assess the business as a whole and how your income is broken down.  In some cases, we will forward you to one of our banks for a more traditional loan vehicle (though 650+ FICO scores and P&L`s are required).

Realistically, you can expect to pay  between 25%-40% on the money.  Refinancing options are available to merchants who pay on schedule.

In summary, this business is evolving and you should apply to more than one company to see who will offer the best terms.  Also be cognizant of the fact that in most (but not all) cases, you will be required to switch your credit card processing company.  Make sure your rates are not hidden and the fees inflated.

If you would like to learn more, feel free to contact me

Brian A. Baron
Executive Funding Specialist

877-700-7947 # 1912
877-699-9017 fax

Traditional methods of financing are always an option, if they are available to you. 

In today`s business, the profile that traditional lending institutions use may not be a reflection of the actual profile of today`s business owners, which often causes the desperate business owner to seek funding in alternative venues.

At www.thesnaploan.com, there is a consulting fee of 5 points on the amount of money they acquire for you.  If they do not acquire a loan for you, there is no charge.

What do you think of this policy and fee application process?

I have used www.thesnaploan.com.  My biggest fear about them was that it was some virtual business online that would end up asking me for astronomical fees and charges.

But actually, they are the online branch of a real commercial business located in Colorado, who has recently implemented this online loan source after a successful trial run of two years.  Now they offer their services to all US residents.

There are other companies out there that offer similar services.  However, in my opinion, most  tend not to be upfront about everything involved in the loan process.  They sought of spring it on you bit by bit.

I like www.thesnaploan.com because they do the complete opposite.  You know exactly what you are getting into from start to finish.

Apparently they went by the wayside.  Their website now says "Under Construction".