Guide To Same Day Small Business Loans

merchant cash advances same day small business loans

If you are a small business owner and need money fast, I wouldn’t turn to the banks in 2024. In fact, only 13% of businesses are being approved by the big banks. If you need working capital fast we can get you up to $25,000 the same day. Here are the best same day small business loans online. 

What Are Same Day Small Business Loans? 

If you are looking for same day working capital, chances are slim you will be approved by the banks, especially after the pandemic. Over 10 million small businesses shut down a few years ago due to the pandemic, and not all of those businesses reopened. 

Same day small business loans can only come from one place: the alternative lending space. Merchant Cash Advances, also known as Business Cash Advances, are quick, short-term business advances based on your monthly business revenue. 

The benefits of using a MCA or BCA are vast, but the key takeaways for small businesses are: 

• You only need a 450 to 500 FICO score
• You only need to generate $5,000 per month in business revenue. 
• No collateral is needed. 
• Use the funds as you wish for your business. 
• Get Approved and funded the same day. 
• Over 700 Industries approved. 

Business cash advances make up a large percentage of the $33 Billion a year alternative lending industry primarily because of tighter restrictions from the banks. 

Plus, small businesses have been hit the hardest during the pandemic and might not qualify for a traditional bank loan. A same day small business loan can get you money in your business checking account within the same business day in most cases, Monday thru Friday. 

How Same Day Small Business Loans Work 

The most crucial aspect of getting approved for a business cash advance is your cash flow. Yes, it seems counterintuitive, you ask “why would I need a loan if I generate monthly revenue?” 

The answer is simple: you may make great business revenue each month, but your overhead doesn’t allow you to access enough capital to cover emergencies or business expansion. 

You might make $10,000 a month with your business, but your expenses are $9000 per month, which leaves you with $1000 leftover working capital. $1,000 won’t cover a piece of equipment that breaks down and costs $5,000 to purchase. 

Obviously, if you have a credit score over 700, can put up collateral, generate over $20,000 per month, and can wait weeks or months for the money then go with a bank loan. But, most likely you are reading this because you need money a lot faster and don’t have perfect credit. 

Same Day Business Loan Rates 

When it comes to interest rates, merchant cash advances operate differently, however it is easy to calculate. They operate on “factor rates” rather than traditional interest rates. This difference in how MCA loan interest is calculated can be crucial for small businesses assessing the cost of borrowing. 

A factor rate is the multiplication of the principal to come up with the total interest charged. 

For example: if you borrow $10,000 with a factor rate of 1.20, you would pay back 12,000 in total. (10,000 x 1.2) Factor rates increase the longer it takes you to pay off. Our rates vary from 1.19 to 1.49, which are some of the best rates in the MCA space. 

Average term lengths for MCAs are 3 months to a year, and they are paid back using ACH daily or weekly withdrawals from your business checking account. That is why it is required to have a business checking account and an EIN to qualify. 

How To Apply For Same Day Small Business Loans 

Applying for a same day small business loan is fast and easy. It takes roughly 5 minutes and won’t impact your credit score. Click the apply here link below and fill out the application. 

You will be able to view the terms before continuing to the second page of the application. You can also draw on more funds after 5 months and you get your own account manager to help you with the funding process.

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