When is a merchant cash advance a good idea?

A merchant cash advance can be a good idea when a business needs to quickly access capital for short-term financing needs. Merchant cash advances offer short-term capital that can be used for any business purpose, including inventory and expansion.

Who are the best merchant cash advance companies?

There are plenty of MCA companies to choose from. To narrow down the list, here are a few we recommend:

  • Lendio: Lendio has funded over 300,000 loans to date. The company offers loan amounts from $5,000 to $1 million and you can get funds in as little as 24 hours. 
  • Fora Financial: Fora offers fast funding, claiming to take just 24 hours to get back to you with a decision. You can access loan amounts from $5,000 to $1.4 million and terms of up to 15 months.
  • Torro: Torro offers loan amounts from $5,000 to $750,000, and they have an easy-to-use mobile experience. 
How do you get out of a merchant cash advance?

The best way to get out of a merchant cash advance is to make consistent, on-time payments. If you’re unable to make payments, contact the lender to discuss options. Depending on your situation, they may be able to work with you to establish a more manageable payment plan. In extreme cases, it may be possible to negotiate a settlement, which would lower the amount owed and settle the debt. Additionally, you may be able to consolidate multiple merchant cash advances into a single loan with a lower interest rate or longer repayment term to make payments more manageable.

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Personal Finance Expert

Christopher Murray

Personal Finance Expert

Christopher Murray is a professional personal finance and sustainability writer and editor who enjoys writing about everything from budgeting and saving to unique investing options like SRI and cryptocurrency.

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