Business Cash Advance for the Retail Entrepreneur


In retail business, credit and financial options lay themselves on the table but that does not mean that they are feasible or even practical for you and your company. Not every alternative is available for you to take as well and you might find yourself scratching your head dumbfounded, confused as to what your next step might be. But there’s no more need for that because we are here to introduce another alternative which you may have not considered or barely knew about: the business cash advance or BCA.

Also referred to as the merchant cash advance, the BCA gives retail entrepreneurs a lump sum amount in exchange for an agreed-upon percentage of future credit card and/or debit card sales.

In the retail industry in particular, credit and debit card transactions are pretty common and often make up a significant percentage of one’s sales. There is essentially nothing wrong with this setup because sales do happen that way. Customers and consumers often use this method of transaction to pay for their purchases.

Now what happens if the company needs immediate cash but does not want to nor does it have the luxury of time and equity to apply for a traditional loan? It can then consider financing its present needs with its future sales. In other words it can advance the value of their credit and debit card sales even before they happen.

cash advanceThe business cash advance offers a solution to entrepreneurs without the burden that a traditional loan will come with. Unlike the latter, the BCA is not directly a kind of loan but the transaction leans more on the side of selling the company’s asset, its future sales.

There are advantages that a BCA has to offer and its most popular one being the fact that payment is revenue based. If you scroll back up and read the definition, the business cash advance is done in exchange of a percentage of future sales. To put it simply, payment is parallel to performance. When you have huge credit and/or debit card sales, you pay the financing firm bigger. When your sales are on the lower side of the spectrum, you pay less. Retail entrepreneurs are only expected and liable to pay with what they have and are feasibly capable of. This arrangement goes on for months or years up until such time when the amount has been fully paid

Learn more on BCA from 365businessfinance.co.uk.

Restaurant Funding and How to Save Up Bucks

restaurant-fundingIn business, finances are always limited. We all wish they weren’t but we have to face reality. Restaurateurs for example have a long list of disbursements on the table from utilities to ingredients to employee wages to interiors to furniture and fixtures to everything. You name it and they’re most likely to have it. This makes it all the more important for owners to manage their restaurant finance efficiently and save up bucks without skimping on quality. That isn’t really hard to do. Don’t believe us? Take a peek from the tips below and you’ll see exactly how.

  1. Cut back on your water bills. There are a number of ways for you to be able to cut back on this often costly but essential utility such as:
    • Soak the dishes first. This is a trick often used by your mothers and grandmas. When food or drink stays long in dishes and silverware, they tend to dry out and harden. A common SOP in cleaning would be by running hot water over them which can be a huge waste in water. Instead of this, fill a huge basin or the sink with water and soak them in first.
    • Invest in low flow faucets and toilets in both kitchen and comfort rooms. It can save up to forty percent in your water usage per month
    • Run the dishwasher only on full load. This reduces not only your water bill but also your electric costs and expenses on soap.
  2. Cut back on your electric bills. Likewise, there are simple and pretty self explanatory and simple ways to reduce your electricity consumption like:
    • Switch to energy efficient bulbs and lighting. A study shows that you can save up to £14 per year per bulb simply by switching. Restaurants often have plenty of lighting so if you calculate your possible savings then that will surely tantamount to a lot.
    • Keep the lights off when not in use. This is SOP when the restaurant closes. The same is true before opening. Avoid turning everything on when it’s still hours from store hours.

  3. Cut back on your materials. This one in particular pertains to utensils and dishes. You will save more by switching from disposable to reusable, plastic and Styrofoam to glass. Plus, you get to reduce your garbage too.
  4. Consider online marketing. Television, radio and print ads tend to be pricey plus the modern trend has consistently pointed to social media and the internet. This mode of marketing is not only less expensive but some of them come free as well. The reach and engagement can even last longer and spread wider.
  5. Lastly, train your personnel to be compliant with standard procedures. To save up bucks on your restaurant funding, everyone has to participate or everything will be in vain.

365businessfinance.co.uk for more info on restaurant and small business funding.

Hotel Funding Application Tricks

hotel-fundingWhen it comes to finances, hoteliers know for certain that every alternative requires an application process. This can range from being doable to pretty challenging and to borderline meticulous. The intensity will often vary depending on the amount, the provider and your creditworthiness. If you want to get that hotel funding as soon as possible then you have to know some application tricks to hasten the process. Do you want to know what those are? Then you better read on to find out.

  • Understand what you are getting yourself into. – Varying finance options have different terms, procedures, rates and whatnot. No two are exactly the same. This makes it all the more important for hotel owners to understand and get to know their options first. This not only helps you assess them better but it too shall have you make better and wiser decisions.
  • Know your limits. – You have to be fully aware of what you are capable of borrowing. You cannot simply spat out an amount without examining whether or not it will suffice or if you have the capacity to repay it once it matures. This requires the company to check its finances, get to know its needs and determine its perimeters with the use of extensive study and analysis.
  • Map out your exit strategy. – Lenders are known to sway to clients who inform them of their plans or options of repayment. It shows that the entity is eager and is strategizing on how it will close out the borrowing. The reason is pretty obvious. Hotel funding owners want to get paid and they will not lend if they sense that you can’t.
  • Look into your financial reports. – How good is your credit standing? Are you debt heavy? What is your asset to liability ratio? Do you have any long outstanding payables? All those questions and more need to be answered and to do that you will have to check your financial reports. This will help you keep your expectations realistic and your application approach more suitable. Fund providers put a lot of bearing on these facts during the assessment stage.
  • Get your documents at the ready. – Even if your hotel funding provider has not specified that they want certain documents, it is still best to be ready in the best way you can. Typically, your financial statements will be asked for, taxes and similar other details that will check and assess your creditworthiness. Prepare them beforehand to both save up on time and to not give your lenders a headache.

How to Get Your Unsecured Business Loans Approved

unsecured-business-loans2Unsecured business loans pertain to a credit financing method that allows individuals or businesses to borrow funds; and instead of property collateral, lenders rely on the borrower’s creditworthiness. In other words, “unsecured” simply pertains to the absence of collateral. Actually, this is the very quality that many users find most appealing about it. However, we do know that it is not for everyone. If you read that definition again, it says that lenders bank on creditworthiness. So how do you make sure that you rank high on that? Or the better question is how do you get your business loans approved? Below is a list of tips to help you on that! Read up.

Approval Tip # 1: Know where you stand. – You need a reality check and ask yourself: where do I stand? No one wants to get false hopes up nor do you want to look way too overconfident. Get to know your creditworthiness as well as the amount of assets and liabilities you have so you can best keep your expectations right and your decisions on point.

Approval Tip # 2: Get your financial reports ready. – Not only will you do this for purposes of creditworthiness examination but also to get them ready for your lenders. You want to show them that you are exerting effort and that you know where you stand.

Approval Tip # 3: Show interest and effort. – One way to do this is to mention about your repayment options. Unsecured business loans are still after all a type of borrowing. You get more chances of being approved when you discuss how you plan to close it out.

Approval Tip # 4: Share a bit of a story. – It doesn’t have to be of novel length but a few sentences or minutes would suffice. Sometimes putting in some facts and history about your company can help. This is a way for the financial providers to get to know your business and you as well as the owner.

Approval Tip # 5: Account for the loan’s intended use. – You are applying for unsecured business loans for a purpose. There is always a reason behind it and a good purpose intended for corporate growth, expansion, profitability and operations. You don’t have to go into the nitty gritty of it all but mentioning how you plan to use it and where will help the providers see whether accepting your application will be well worth it.

The Common Mistakes to Restaurant Funding Use

restaurant-funding-businessWhen it comes to the use of your restaurant funding, it is important to not only be wise but in fact smart about it. These resources are not easy to acquire. They take time and a lot of hard work. Putting them to waste would be plain business suicide and before you know it the restaurant you’ve toiled so hard to put up is crumbling into ashes. It sounds pretty melancholic, doesn’t it? So to avoid having to suffer that sad fate, below is a list of the five most common mistakes that you could commit in the use of your funds.

  • Poor Accounting of Transactions

Many entrepreneurs fail to acknowledge the importance of maintaining an accounting of their transactions. You can do it if you are capable otherwise you should hire a professional for it. You need a means to keep record of what comes in and out of your accounts. This is necessary not only to keep them in track but also to help make analyses regarding your use. This will be beneficial in the days to come too for planning purposes.

  • Inadequate or Total Absence of a Budget

Allocation is a must to ensure the best use and maximization of the benefits of your restaurant funding. Failure to do so opens up huge risks to wastage and even shortage when it comes to necessary expenses.

  • Unnecessary and Impulse Expenditures

If you don’t need it then do not buy it even if it is on sale and you’re offered a whopping discount. Many restaurateurs have the perception that if it’s a good deal then it has to be done. Remember that you have your budget to check and you have to carefully assess whether it’s a must or it’s an impulse.

  • Not putting anything on your savings.

Owners need to set aside some resources for savings. These restricted earnings should be meant not only for growth and expansion purposes but also for emergency situations. Just because business is doing good doesn’t mean that you can spend mindlessly. You still have to save up for the future.

  • Mixing Personal and Business Funds

This one is probably the most common and one of the pretty fatal misuses of one’s restaurant funding mistakes. Not only does it mess up your books but it can also lead to more serious legal consequences. Remember that your business as a juridical entity and you as a person should have separate funds and books.