SBA business loans vs Business Cash Advance

When a business owner is looking for funding, it’s sometimes suggested that the business owner take out a SBA business loan – or a Small Business Administration loan.  While a SBA loan is an option for a business owner, how does this option stack up against a business cash advance, or business funding through future credit card receipts?

SBA Loans – some of the finer details

While SBA loan repayment terms can be more flexible and even attractive, this type of business financing is not a feasible option for all small business owners.  Business owners with less-than-excellent credit or businesses that don’t have a solid cash flow may be excluded from receiving the cash they need for equipment funding, inventory financing or just working to improve the company’s working capital.

A couple of the more noteworthy points when you’re considering a SBA loan:

1. Your company’s debt-to-worth ratio is examined in detail
2. Collateral IS required
3. Personal guarantees are required for all owners who hold a 20% or more stake in the company
4. Outstanding debt is a major setback with an SBA loan, and will likely disqualify eligibility from this form of business funding
5. It could take 6 months or more to get approved and receive your funds for an SBA Loan. 

Business cash advances – credit card funding

Now, when you take a look at the options of financing your business using your credit card sales receipts – the requirements are much less stringent than with the SBA business loan option:

1. There is no collateral required
2. A high credit score isn’t required for approval, in fact – even if there is  bankruptcy or foreclosure in your credit history, you can still be approved
3. There is no personal guarantee required
4.  You can receive your money in as little as three business days

While small business loans through the SBA loan program have helped numerous business owners, these types of loans can have drawbacks in certain situations, not to mention they won’t likely help if you need cash for your business right now.   Credit card funding programs are available to businesses who may not qualify for a SBA business loan – and it only takes 30 seconds to get started.

Fill out our pre-registration form to find out how much money your company qualifies for today.

What do you need to know about funding options for small business

• Small Business Financing 101
• Where to Turn When Banks Say NO to Business Lines of Credit
• 10 Good Reasons to Consider Merchant Cash Advance for Your Business
• Benefits of a Cash Advance for Your Business
• Conventional Bank Loans vs. Business Cash Advance
• Funding Small Business with a Merchant Cash Advance
• How Do I Know If a Merchant Cash Advance Is Right For My Business
• 7 Reasons a Cash Advance Is Better Than a Bank Loan for Your Business
• How To Choose A Cash Advance Company
• SBA Business Loan vs. Business Cash Advance
• Small Business Loans 101

Offices:
20225 NE 16th Place
Miami, FL 33179

Phone (954) 575-4399

Fax     (800) 418-7078

Toll-Free: (877) 2-FUND-FAST
                   (877) 238-6332

Email: info@fastfundsforbusiness.com

Find out how much cash you can get at Fast Funds for Business® in 30 seconds:
Company
First Name
Last Name
Email
Phone
How Long In Business
None Under 6 months 6 months to 1 year 1 year to 2 years Over 2 years
Monthly Visa/MasterCard Sales
None $0 - 2,500 $2,500 - 5,000 $5,000 - 10,000 $10,000 - 20,000 $20,000 - 40,000 $40,000 - 60,000 $60,000 - 80,000 $80,000 - 100,000 $100,000 + Don't Accept Visa/MC

›› Read Client Testimonials