Online financing has come to position itself as one of the new and most accessible financing alternatives available to SMEs, offering a series of benefits that are very attractive and can prevent businesses from disappearing, which you will learn about in this article.
Fintech companies focused on lending resources are gaining more and more ground, occupying around 20% of the sub-segment in the field of financing sources for SMEs, a good percentage considering that financial technologies are something of recent irruption in this environment.
Reasons for the impact of online financing
Some fintech lenders, such as Pymes Capital, have implemented online financing, which positively impacts businesses, for the following reasons:
- They can be requested at any time: because the application is online, it can be done at any time, anywhere.
- The process is easy and fast: it only consists of 3 steps, the first is to fill out the application form, the second is to receive the proposal with the amount of financing, and the third is to obtain the resources.
- The response time is minimal: in a maximum of 1 day you will be informed if there may be financing or not, and for how much money. This results in resources arriving promptly, which is very useful for any business, especially in an emergency scenario.
- They have a high approval rate: Given the accessible requirements for these types of loans, which usually do not imply an extensive credit history or demonstrable large earnings, approval rates are high.
- They are low cost: the rate on the amount granted (taking Pymes Capital as an example) can be approximately 18%, a very competitive figure compared to the much higher interest that a bank loan can achieve.
What is the impact?
The result of having sources of capital and financing for SMEs within reach and taking advantage of them? Aspects such as:
- A stable and positive cash flow to maintain the operations of the company.
- Have time to be able to negotiate with customers to pay invoices, without affecting liquidity.
- Allow fixed assets to be acquired to modernize the business and thus be able to expand it, offering more and better services or products.
- That the business can begin to generate history to have access to other financial products in the future without encountering obstacles.
- The reduction of the tax burden, since the interest on the financing reduces the taxes that must be paid for profits.
What is Merchant Cash Advance?
Having sources of capital and financing for SMEs, is then something that can make a business pass the barrier of 5 years of life, thanks to the aforementioned impact.
So one of these options is the Merchant Cash Advance online financing.
The MCA is one of the fastest and most flexible sources of financing for SMEs that exist, since they imply the immediate loan of resources, which are paid with an established percentage of the sales of a business, adjusting to the different needs that are they can have and at an affordable rate.
That is what Pymes Capital offers, one of the most innovative loan fintechs that is friendly to small and medium-sized businesses. Come and experience the benefits of financing online.