Small Business Funding: Facts Versus Myths

For a first time entrepreneur, obtaining capital funding might be quite an intimidating, confusing and overwhelming process. With so many types of funding options available, different terms, cost structures, and also differing experiences, it might be useful to shed some light on what is really the truth in the financing world.

Perfect Credit and Large Financing

Business owners of startups are made to believe that only if they possess a spotless credit history will they have any chance of qualifying for a small business funding. While this may be true to a certain extent, most non-bank fundings are also approved on not-so-perfect credits. Short term cash advances from non-bank financing companies are even easier to obtain compared to the traditional bank funding.

Another myth is that financing for small businesses is only available for large amounts of money. Large scale business funding is usually preferred by traditional lending banks so that it is worth the time and investment. However, alternative financing companies like Cresthill Capital also offer very small amounts of cash advances to help businesses to meet their needs or take care of a sudden expenditure.

Long Wait And Collateral

Seeking funds from a bank generally requires months of careful planning and submission of the application well in advance. Sometimes though, cash may be required really quickly, something that may not have been possible many years ago. According to Cresthill Capital Reviews, nowadays, most small business owners can complete the entire process online within a short span of time. If all the documents are ready, the amount will be sanctioned as soon as possible.

Another notion with regard to finances is that tying up assets or collateral is imperative in order to obtain capital funds. This may seem like an area of stress for many entrepreneurs who don’t have assets of value. The solution available is to gain an unsecured merchant cash advance or a business line of credit from non-bank financing companies that do not require collateral at all. What they do need, however, is a positive revenue stream that ensures the business owner can repay the balance owed.

Customized Funding Options

Business funding requirements are not the same for everyone. Your business requirements and costs of setting up or production might be different from others. That is why before approving an application, most alternative financing companies like Cresthill Capital go through your business plans in detail, perform background checks, and analyze your actual needs versus your ability to payback. While it is easier for small business owners who have existing credit to get approval, it isn’t that hard a process for a newcomer too.

Cresthill Capital Reviews every application from the entrepreneurs closely and strives hard to make their expansion dreams come true.

Differences between Bank Funds and Merchant Cash Advance for Small Business Funding Needs

Your small business is going well and revenues are coming in steadily every month. You need additional financing to cover unexpected expenses or to invest in business development. You’re considering two borrowing options – a bank and a merchant cash advance from Cresthill Capital. Which should you choose? Here are some tips to help you make a well-informed decision.

How Banks Provide Funds
Banks have traditionally been the go-to service providers for business funds. This was before alternate funding options such as merchant cash advance disrupted the market in the 1990s. Today many companies, including Crest Hill Capital LLC, offer merchant cash advance to businesses in need. The problem with the traditional banks is that they are harder to come by.

Small businesses have to contend with the stringent qualifying standards of banks. For example, banks are not inclined to lend to business owners with a poor credit score. Most likely, you will have to put up some form of collateral.

How Merchant Cash Advances Work
These challenges are eliminated with merchant cash advance products. MCA lenders do not take into consideration a business owner’s credit score nor do they ask for collateral. A merchant cash advance is tied to future revenue. Cresthill Capital reviews an applicant’s past and current sales records as well as past revenue and current revenue inflows to evaluate creditworthiness.

It then matches a client with an appropriate funding source and makes a proposal. In the merchant cash advance model, a lump sum advance is provided. In exchange, you sell a portion of your future sales. If you have a poor credit score, a merchant cash advance may make better sense.

Differences in Time Required for Fund Disbursal
As a relatively new alternate funding option, a merchant cash advance is not subject to rigorous scrutiny. Getting approval from a bank can take months and that too, after submitting a huge volume of supporting documents.

Cresthill advisors only ask for basic business information and business document that prove your business is in sound health and you have the capacity to repay via future receivables. The approval process is simple and fast and you can have the advance amount in your business bank amount within days if required. This is a good solution when you need working capital funds urgently.

Differences in Structuring of Repayment
The structure of repayment is different for banks and merchant cash advance. In the bank model, you typically repay via fixed installments every month. The terms are more flexible with a merchant cash advance. You only pay an agreed-upon percentage of future sales.

If you’re having a lean season with less revenue coming in, the repayment amount goes down and if you’re having a good season with more revenue coming in, the repayment amount increases. The percentage does not change but the actual amount to be repaid can change. This may be a good option if you’re running a seasonal business.

To make the right decision, take into account important factors such as your business goals, business revenue flow, credit score, and risk-taking abilities!

Non-Banking Funding Institutions And Their Benefits

Most business owners automatically think of banks when it comes to their funding needs. While that may still be the most widely accepted approach for large scale business owners, various small and micro business owners find the option of nonbanking funding institutions like Cresthill Capital more suitable for their needs.

These institutions do not have a standard banking license and hence do not deal in holding deposits made by the public. That said, they offer other services like lending small amounts of advance cash based on borrowers credit profile, financial consulting, etc.

Recent times have seen a surge in the growth of such capital funding nonbanking institutions offering serious competition to renowned banks.

The advantages
Nonbanking funding institutions like Crest Hill Capital LLC are a big help to small scale business ventures with an ongoing profitable business but looking for instant access to cash flow for funding their growing business needs. Compared to banks, they offer major advantages like faster processing and availability of cash, flexible repayment options and willingness to take up high-risk investments.

Most business owners are already aware of the multiple challenges that they face when looking for funding from banks. This is perhaps the biggest cause which makes nonbanking institutions like Crest Hill Capital LLC a more convenient option to consider.

Simple application submission processes (without the complicated paperwork as needed in banks), effective teams that offer one to one customer connection as well as the rapid transfer of funds to the bank accounts of business owners make them the preferred choice of most merchants.

Easy repayments
While banks do offer attractive cost structure, the payment terms are often pretty rigid leaving minimal options of flexibility for merchants. However, capital funding companies like Cresthill Capital offer flexible payback options like split withholding where a percentage of the credit card sales are used for monthly/daily pay back the lending institution.

The overall option is significantly more convenient for small scale business owners in need of urgent cash along with easy repayment options that don’t hit hard.

There have been almost negligible instances of witnessing Cresthill Capital complaints from customers/business owners in aspects of repayment of the advance cash advance. This is perhaps one of the most important aspects to check upon when choosing a dependable nonbanking financial institution for your business funding needs.

Crest Hill Capital LLC- A dependable option
Customers often find negligible reasons for reporting Cresthill Capital complaints owing to the high efficiency as well as the capability to manage all types of funding requests. Understanding the needs of its customers, the organization offers multiple programs that are designed to meet their business needs.

While choosing a dependable capital funding organization, it is also important to check the overall market reputation as well as the team structures of the organization.

Leading capital funding institutions like Crest Hill Capital LLC have experienced professionals as a part of their team along with access to the necessary tools and technology required to meet customer needs. Additionally, since a quick response to customer applications is a criterion that attracts business owners, it is important to ensure the same before deciding on a partnership.

Quick Advances To Qualifying Companies By Cresthill Capital

Cresthill Capital is a capital funding company that dispenses merchant cash advances only. They do not give advances to start-ups but only to established businesses who are yearning to expand but do not have the funds to do so. Cresthill Capital investigates the business revenues of the company that wants the advance and based on their finding they decide to help them out or not.

Unlike big banks and traditional companies, they require only basic documents and once the company is found to have qualified, the merchant cash advance is quickly credited into their business account. This is to ensure seamless conduct of business without any unnecessary glitches.

Shore Up Your Working Capital With Cresthill Capital

Cresthill Capital finances independent sales organizations or ISOs, resellers, and small businesses. This is in exchange for a percentage of their credit and debit card sales along with a fee. The repayment is done daily until the full amount is repaid. Your credit score or your lack of collateral does not matter to the experts at Cresthill Capital.

It is important to note that this is suitable only as a short term financing technique. This method of financing is suitable for a wide range of businesses. It may be necessary to shore up your working capital, for unexpected emergencies and debt payments, for inventory purchase, or for other reasons.

Expansion Plans With Cresthill Capital

Starting a business is not easy. You probably have to invest all your savings in setting it up. When the business takes off and you find that your services or products are in demand, it becomes necessary to expand the business either by adding in equipment or personnel. Either way, this involves money which you do not have. Your bank may be unwilling to risk advancing you money since your credit score is not healthy.

It is at such times that merchant cash advance companies such as Cresthill Capital come to your rescue. They advance you the money with minimum investigations with the only caveat being that a percentage of your daily credit card and debit card sales is given to them. It would do well for you as the business owner to do your own homework and check out any reviews about the company before you go into an agreement.

Finding The Right Funding Solutions For Small Term Operators

Cresthill Capital reviews have generally been positive In the event of negative reviews, they take efforts to address it and rectify whatever has gone wrong. Their team of professionals is drawn from different backgrounds and have detailed knowledge of different types of industries. This helps them to find the right funding solution for each company that approaches them.

My Business Took Off Better Than Expected, But I Need Funding to Grow

Starting a new business and having it take off better than you expected is always good news. The only problem is you may not be able to handle the increased business yourself. Depending on the business, this may not be a big problem, but if your business is software services, like building websites, you may need help. You also have to hire someone that is skilled.

You could take on freelancers for the short term, but you know that you will need a full-time employee. Even if you can make do with freelancers you have to pay them and they will likely want some of the payment upfronts. Though you set aside funds for software costs and more hardware, you weren’t expecting a payroll expense and the software or service you may need to handle that. You want your business to keep growing, so you don’t want to turn down work. What do you do now?

Can You Go to the Bank for Help?
Banks aren’t always willing to give you a cash advance for this type of problem. After all, they have no guarantee that after this sudden boom the customer base will continue to grow or the customers you have will continue to need you, though you know they will. Websites cannot be static or they will fail to bring in the business your customer is looking for.

This is where a capital funding company like Cresthill Capital comes in. These companies are dedicated to helping micro and small businesses get the funding they need to get over these kinds of unexpected changes to your business.

You need enough money to cover the salary and the software or service to handle the payroll that you are now responsible for. You have set up your business so payment from your customers is expected 30 days after the product is delivered and accepted.

Once these accounts start paying regularly, you will be able to handle the additional expense, but until them, you need a merchant cash advance to pay the person you hire and secure and set up the software or service for your payroll.

How Can These Companies Help Me Fast?
Cresthill Capital reviews your revenue stream and receipts and also review how you allocate these funds to reinvest in your business and to pay yourself. In this case, they would also review the salary you intend to pay to see if it is in line with current practices. Once you are considered to be a good risk, they will work out the repayment details.

Once the contracts are signed you can have the funds you need within hours and you can confidently hire your first employee. Prior to signing any contract, make sure you look up things like Cresthill Capital complaints. This will show you how the company you are considering handles people who are not happy with the decisions they made.

What is a B2B Reseller?

B2b resellers are everywhere but you just don’t realize that this is their business. One example of business resellers are salvage yards. They buy cars that people junk and remove the parts. They then sell the parts to consumers or auto repair shops that want to give their customers a good deal, especially if they don’t care if the part is used.

Businesses can also list on Amazon and sell to other businesses or to consumers. If they sell to other businesses, they are B2B resellers. There are hundreds of ways one can become a B2B reseller. The key is to have a product or service that you are an expert at, market it well and above all be honest about your product or service.

Small businesses, in particular, can use resellers, especially for online sales. They may hire someone to write up product descriptions and other online content that requires writing or photography skills. The consultant they hire may not be able to do this themselves, but they will find other companies that do writing and photography and contract with them to do the required work.

Those people are B2B resellers. They purchase the service they need from one company and then resell it to the company that hired them.

What Would Capital Funding Do for a Reseller?
In order to find the business, they need to be able to make their own business thrive and grow, they have to market themselves. They have to either have the people with the skills they need to contact them or they have to find them. They also have deadlines to meet.

The customer that originally contracted with them will give them a certain amount of time to produce what they need. The product must not only be on time, but it must meet the expectation of the business owner purchasing it.

If the business they contracted with to provide the service or product looks likely to fail to meet the deadline, they will have to quickly find someone else that can. This will likely increase their costs since the deadline is far shorter than it was originally. This is where a company like Cresthill Capital comes in.

They can quickly provide a merchant cash advance to the consultant to offset the unexpected increase in expense. This is the advantage of a capital funding company as opposed to a bank. A capital funding company can provide the capital needed much faster than a bank.

Do Capital Funding Companies Just Hand Out Cash?
In a sense, yes, but they do have standards that must be met by the company they hand out the cash to. A company like Cresthill Capital reviews the past performance of the company that is requesting the funds. They will look at the revenue stream that has been generated, the business model the company has, how they use the revenue they receive and other factors.

This gives them a picture not only of the viability of the company’s business model but also if the owner is wisely investing the revenue back into the business. Once they determine that the risk is worth the cash advance, the repayment terms are agreed upon and the contracts are signed, within hours the consultant can have the needed fund deposited in their bank and they are back in business.

You will also want to make sure to look up things about the company you are considering. For example, look up Cresthill Capital complaints and reviews to see what former clients have said about the business and how they conduct themselves.

What is a Capital Funding Company?

There was a time when the only place business could go to get a loan was a bank or a credit union. After all, this was one of their main functions and defined one of their roles in the economy. These financial institutions generally loaned money to individuals who were starting a new business.

Among other things, personal credit was important, how much you had of your own money and where it came from, and of course, your business plan. Generally, once you are approved and your business was up and running, you simply had to repay the loan. But if you ran into problems with your businesses’ cash flow the bank was not the place you went.

Odds are, you wouldn’t get a merchant cash advance, particularly if you still owed on your initial loan. This is where capital funding companies come in.

Capital funding companies use their own money to provide micro and small businesses with merchant cash advances to help them through the rough spots. They act as a bridge. For example, Cresthill Capital reviews your receipts and your expenditures to determine if you are running your business responsibly.

When you have a micro or small business your cash receipts should be going back into your business to help it grow. Of course, you have to get paid too, but that is taken into consideration. After all, payroll is an investment in your business. Not many people will work for free. Make sure you review any company you are considering. For example, do an internet search for Cresthill Capital complaints to make sure you like the reviews if this is a company you are considering.

What Happens Next?
A company like Cresthill Capital looks at your books and your business model as well as what your business is. All of these elements are important if they are going to assess the risk you present. It will help them determine what the best terms are for the loan and what appears to be the repayment method that seems to work best for your business.

Banks typically loan you money by determining the amount of capital they are willing to commit, the interest rate based on your credit history and then you are given a fixed payment amount usually due monthly. One of the differences between borrowing from a bank and borrowing from a capital funding company is this.

Capital funding companies offer different types of repayment plans. One of the things that a capital funding firm like Cresthill Capital does require is that you accept credit cards. One reason for this is that they can use the payment processor to repay the loan.

How Does the Payment Processor Get Involved?
Your payment processor knows what your business’ receipts are. They produce reports for you so you can see how much you took in. They also send a file to the bank to settle the receipts and have the funds deposited in your account. They can also ensure that the fees charged by the bank are paid, depending on how you set up your arrangement with the bank and the payment processor.

One way a capital funding firm can get paid is to work with you and the payment processor. You could instruct the payment processor to divert a percentage of your daily receipts to the capital funding agency. This leaves you with one less bill to worry about and you get a daily settlement report showing how much was paid. This method also saves you interest because you are paying the loan back on a daily basis.

Non-Bank Funding Options for Your Small Business

Regardless of your political preferences, one thing all candidates regardless of party affiliation agree on, is that small business are the true backbone of the United States economy. It isn’t Wall Street or the mega-corporations, it’s the local business that serves the needs of the community.

Cresthill Capital

Small businesses have challenges that are very different from stock companies. They don’t have institutional investors, they don’t have investors at all. Most small businesses are started up with the owner’s personal funds or loans from family or friends. But sometimes you need help. You need investment from a company like Cresthill Capital.

What is Cresthill Capital?
Cresthill Capital is a non-bank funding company that serves only small businesses. They grant Merchant Cash Advances to businesses that need small amounts of money to continue to operate through hard or slow times.

The loan approval criteria are different than that of a bank. If you look at Cresthill Capital Reviews you will find that it uses your monthly revenue stream, your average bank balance, how long you’ve been in business and what your business is. Based on these criteria, the company decides how much money it can advance to you.

It works with you to set the repayment rate and other terms and simplifies the repayment process through technology. Best of all, this company can get you your loan fast. As soon as all the contracts are signed and delivered you can have the funds you need in as little as three hours. Does everyone qualify? Of course not, so you may see Cresthill Capital complaints but that happens with any business.

How Does It Really Work?
Merchant Cash Advances will only work with businesses that take debit or credit cards. Why? Because this is how your business Is evaluated and how the repayment terms are calculated. When you apply, you allow the private lender to look through your processing statements.

In this way, they can determine how much they can lend you. Remember their goal is to be repaid. Once this process is completed, they decide the repayment terms. Another advantage is there is no repayment end date, you repay the loan based on a percentage of your sales.

So, if the repayment amount is 15 percent and on Monday you make 100 dollars, you owe 15 dollars, if on Tuesday you make 200 dollars, you owe 30 dollars, and so on.

Your contract determines how the lender gets the payment. You can either have the payment processor split the payment between you and the lender or you can have the lender withdraw a percentage from your business bank account. This is all determined in the contracts you sign before the loan is granted.

For many businesses that have seasonal ups and downs, this is a great way to fund your business. Banks typically won’t give microloans because it isn’t worth it to them. The amount they make on the loan doesn’t cover the processing costs required to make the profits they require.

This is frequently what causes small businesses to fail. All they need is a microloan to make it through the downtime of their business. If you do a search you can find Cresthill Capital reviews which could help put your mind at ease and give you more information.