The Merchant Cash Advance (MCA) is an industry standard, as far as unsecured advances go. At Cushion Financing, we are proud to offer this option to our clients. We'll purchase your future gross receivables in the form of a lump sum payment to your company. The MCA then turns your future Visa, American Express, Discover, and MasterCard projections into immediate working capital.
The MCA is paid back on a fixed percentage holdback set against the credit card processing receivables. Since the advance is a purchase of your future projected receivables, and the holdback percentage is fixed, the risk to you is non-existent.
Say, for example, that your future receivables are projected at $40,000 per month. Since we can fund 100-150% of your monthly receivables, and you are projected at $40,000, you might be advanced $40,000 for a term of 12 months. If, for instance, your business were to go from doing $40,000 a month to $20,000 a month, that 12-month term would become a 24-month term at no charge or penalty. To find out more about the MCA, give us a call today.