FAQ

Q?

What is this?

A.

This is a modern innovation in working capital. We are able to lend funds to you by using
your future revenue as an asset.

Q?

How much can I get?

A.

Our decisions are based on your revenue. We typically offer 5% of revenue as an initial loan. However, we often increase this percentage based on your financial strength,
operating history and leverage.

Q?

How long is the payback period?

A.

We typically structure our loans to get paid back anywhere from 6 months to 18 months. This will represent a small percentage of your revenue. An extended payback
period allows for smaller daily payments.

Q?

What can I use the funds for?

A.

You can use it for any purpose. Typically, our clients use it to add to working capital for expansion, seasonal needs,
renovation, inventory purchases etc.

Q?

What if I already have bank financing?

A.

We can work with your bank lines so that this is a complement to, not a replacement of,
your existing financing.

Q?

Other merchant advance companies stress that this is not a loan. Why is that?

A.

It might be because they don't want anyone to understand how much they charge. There is the possibility that their high rates violate banking regulations concerning loans. Classifying an advance as a “purchase of assets” avoids potential legal issues regarding usury laws. It has been our opinion that if you receive money and expect to pay it back, plus some additional cost, within a period of time, then it does not matter what you call it; it is a loan.

Q?

Are there any tax advantages?

A.

Yes there are tax advantages to taking out a business loan. We recommend that each client speak with their
accountant for specific details.

Q?

How long does this take?

A.

Our due diligence is done by humans with vast credit experience, not computers. Usually credit approval is offered within 24 hours. Because UCC searches are usually part of underwriting, final approval and funding may take 5 business days.

Q?

Can I get additional funding after I close with Credit Cash?

A.

Yes. Most clients qualify for additional funding after they have paid down their original loan by 70%. Some clients use
this facility like a revolving loan.

Q?

Do I have to change my processor?

A.

For clients with credit card revenue, we do not require a change. We are in the lending business, not the credit card business. However, if you would like to change processors, we have relationships with several of the largest and best processors, who will either meet or beat your current rates and level of service. Nevertheless, we appreciate your loyalty to existing relationships and would like to be part of it, not replace it.