Financing is one of the most important tools so that a business can have liquidity and be able to continue with its daily operations, in addition to expanding in the future.

However, there is a perception that credit institutions impose complicated procedures and high interest rates, which has caused that, despite the importance of requesting resources, it is estimated that 54% of companies have not requested any financing. , so as not to face unfavorable scenarios or have their application rejected. For this reason, new convenient alternatives have appeared, and one of them is the MCA.


What is Merchant Cash Advance?

The MCA or cash advance is a financial product that is not a credit or loan, but rather the “purchase” of future sales of the business requesting this advance, based on the future income they will have (through credit card payments and debit). That way, businesses can have financial liquidity.


How does it work?

The business makes a request to the financial institution, which carries out an evaluation and analysis of the risk, based on that to determine how much capital it can offer.

The resources are deposited, an advance fee to be paid by the SME is determined, and the percentage of sales that will go to the person who granted the capital, so that the business can return it. This percentage is automatically deposited to the lender, as sales are achieved, this means that financial liquidity is not affected, regardless of the debt.

Then the payment period becomes versatile and adapts to the pace at which resources enter the company, without affecting the cash flow and liquidity of a company.


Why is it ideal financing for companies?

The Merchant Cash Advance is one of the best options that an SME can have to obtain resources, since, usually, it is approved in very quick periods (a few hours), while traditional loans or credits take a long time to resolve the approval ( days and even weeks).

The fact that it is coupled to the sales that are achieved gives it the aspect of versatility that escapes forced payment terms. The more sales are made, the faster the debt is paid off, and if there are times when the pace is a little slower, there is no problem and liquidity is not affected.

Another of the pros why this financing is ideal is that it is not required to have a solid credit history, something that gives a lot of relief to businesses that are just starting out, which do not have sufficient performance over time to have an adequate score. , which is requested recurrently by other types of traditional financing.

The requirements are usually lax, requiring a reasonable operating period, not necessarily very high profits, and having a POS provider, as well as being a legally incorporated company.

All these advantages make this type of financing ideal for keeping a company’s liquidity healthy.


Your MCA with Pymes Capital

If you have a young business and do not want to face the stress or cumbersome procedures of traditional credit products, consider MCA financing.

Pymes Capital puts it within your reach, making it possible to apply online, filling out a form so that in just a few hours you will be notified of the result of your application and how much you can be financed.

Get your personalized financing and keep your company’s cash flow positive, with .