Originally written by Partner Content on Small Business
In the past, when a business needed finance to grow their business or solve a cash flow challenge, they applied for a business loan. Makes sense, right? Your business needs some cash and a loan gives you just that.
But sometimes a straightforward business loan isn’t the right option for every business. Take retailers as an example. Retailers need to buy stock and pay for staff, equipment and premises. But their income is generally made up of small payments from customers. And most retailers are susceptible to seasonal spikes and troughs in revenue, which often does not give them  the best chance of repaying that standard business loan on time.
This is the challenge that can be solved by the merchant cash advance.
What is a merchant cash advance?
A merchant cash advance is a relatively new type of funding that’s designed for businesses that use card terminals to process customer payments.
You simply borrow a set amount and make your repayments as a percentage of each card terminal payment until you’ve paid off the full amount. You can generally borrow up to the equivalent of a month’s turnover with a merchant cash advance.
What makes a merchant cash

Read more...