Merchant cash advance financing is an alternative form of business financing where your business receives an upfront sum of cash that you repay through a percentage of your future credit and debit card sales, plus a fee. It is not a loan but rather a purchase of your future revenue, meaning repayment is linked to your business sales and can fluctuate daily or weekly based on how much your business earns.
This financing option is typically quicker to obtain than a traditional loan, often requiring less paperwork, usually does not require collateral, and repayments continue until the agreed total amount is paid back. Merchant cash advance financing are commonly used by small businesses that want fast access to capital to cover expenses or invest in growth, and repayments adjust according to sales volume, easing financial pressure during slower periods.