COVID-19 Idles Service Economy: Merchant Cash Advance Can Help
COVID-19 is affecting hundreds of thousands of people and hurting the global economy. Lots of small businesses are looking for ways to get the funds they lack. A merchant cash advance (MCA) is a go-for option for this type of businesses. Let’s see what’s going on in the U.S. in these challenging days and know who can help you with an MCA.
Merchant Cash Advance for Businesses Hurt by COVID-19
Over 188 countries are currently suffering from the new coronavirus. Because of the outbreak, many businesses, such as restaurants, bars, gyms, are closed. The lockdown has created financial problems for many business owners.
7.5 million small businesses are estimated to shut permanently if the problems caused by the pandemic continue unabated, as Main Street America reports. Over 90% of the 5.850 business owners having participated in a recent survey have no more than 20 employees.
In such situation, though merchant cash advances (MCAs) aren’t the cheapest business funding option, they prove to be the only preferred form of financing for many merchants. An MCA is a perfect choice for those in need of fast financing.
Be aware that an MCA isn’t a loan, as many think. It’s just a sale of future receivables. By the way, customer acquisition costs for MCAs have reached $4.000. Besides, states don’t put MCAs under regulation.
If you need a merchant cash advance, turn to a respectable alternative online lender that offers the cheapest possible rates in the industry. With a reputable MCA provider, you can enjoy quick and hassle-free application and approval.
Coronavirus Impact on the Economy
Corona has already hurt the global economy. Many industries, such as manufacturing, retail, pharmaceuticals, etc. aren’t operating effectively in the created situation. On the other hand, digital marketing agencies, eCommerce companies, technology service providers, and others operating over the internet don’t need to stop their operations.
The strict lockdown across nations has caused the supply chain to get disturbed. So, it’s no surprise that the eComemrce industry is faced with the problem of on-time deliveries during the pandemic.
To wrap things up, small businesses make up the backbone of the U.S. economy. They’re employing millions of people and generating taxes. To stay afloatand navigate these uncertain times, an MCA can be of great help for your small business.
Author Bio:Michael Hollis is a Detroit native who now lives in Los Angeles. He is an account executive who has helped hundreds of business owners with their merchant cash advance solutions. He’s experimented with various occupations: computer programming, dog-training, scientificating… But his favorite job is the one he’s now doing full time — providing business funding for hard working business owners across the country.