Merchant Cash Advance FAQs

Enjoy a quick Business Cash Advance, Merchant Cash Advance FAQs page.

The typical Global Swift Funding Merchant Cash Advance customer is a small or medium sized retail establishment or service organization:

  1. You require $25,000 in Business Cash Advance.
  2. Be in business for at least 3 months with these possible exceptions:
    • Purchased an existing location already in business 3 months.
    • An existing client opening an additional location.
    • A special program is available for other new businesses.
  3. Provide 6 months of Merchant Visa/MasterCard statements and 3 months Bank deposit statements,
  4. Prefer a fixed business location.

Why is Global Swift Funding the preferred Business Cash Advance Funder?

  • GSF has an excellent rating with the BBB- no complaints!
  • GSF has funded $500 million to date!
  • GSF has the lowest rates in its Industry!

Quick access to Cash! The cash advance is deposited in your merchant’s checking account within one to two weeks. Funding approval in 24 to 48 Hours. The remaining time taken is for processor setup and testing.

  • No bank hassles. Simple application with no collateral required.
  • Repayment Flexibility. The purchased receivables are automatically retrieved from the merchant’s credit card processing via a fixed percentage charge or through a fixed daily grab of gross sales.
  • Product is geared to enhance cash flow. As a percentage of the merchant’s gross revenue, the retrieval rate stays at approximately 3 to 8.99% of gross sales.
  • Additional access to cash is available. Renewal department will begin calling merchant once 50% of advance has been paid.
  • The funding amount is based on the merchant’s projected, future sales volume.

By reviewing a merchant’s most recent six months of credit card processing statements, and 3 months bank statements we calculate an average monthly volume. (Seasonal businesses may require more statements)

  • This average is multiplied by 12 to determine the merchant’s estimated future sales volume.
  • We purchase a “Contract Percentage” of that estimated sales volume.
  • A discount is taken from the resulting “Contract Price”,
  • The net amount, which is called the “Purchase Price”, is wire transferred into the merchant’s bank account.
  • The estimate timeframe for repayment is the term that best fits their business.

Standard Funding Program for 7 Month Term

  • Based on seven months of future sales volume.
  • The merchant’s average monthly sales volume is multiplied by seven months.
  • We can purchase up to 30%, average being 18%, of this estimated sales volume. This percentage is called the “Contract Percentage”.

Program Options:

  • 1st Option; To Qualify for best associated rates, Customer switches to Global Swift Merchant Services as Credit Card Processor.
  • 2nd Option; Customer can factor gross sales and repayment is done through fixed daily ACH
  • 3rd Option; Customer can factor Credit Card sales and repayment is done through a fixed percentage of daily credit card receivables.
  • 4th choice; if merchant cannot switch processing, GSF will establish an ITF bank account in order to collect the agreed upon contract percentage to GSF. The balance then goes directly to the merchant’s bank account. The entire process adds just one day to the regular settlement period.

Required Paper Work - 1st pass.

  • Signed GSF Funding Application completely filled out. (51% ownership on corporations & 100% on partnerships).
  • Copy of drivers license
  • Six (6) months of complete Merchant credit card statements, 12 if seasonal. And also 3 months deposit bank statements.

Want to speed your processing time along???
Include these items. These are documents you’d be asked for prior to the final approval.

  • Copy of Business License
  • Corporate Documents / Proof of Ownership,
  • Lease Contract-1st and last page,
  • Something printed that has the business name on it; Yellow Pages Ad, Menu, Work order, Business Cards,
  • and a Voided Check.

Once reviewed and approved, the underwriting department will send you/customer a Funding Contract indicating:

  • The Purchase Price – the funding amount,
  • The Contract Price – amount to be repaid,
  • The Contract Percentage – the percentage added to the merchant’s processing charges.

When the customer accepts the Funding contract it needs to be faxed in together with:

  • Signed Funding Contract ,
  • Copy of Business License ,
  • Corporate Documents / Proof of Ownership ,
  • Lease Contract-1st and last page,
  • Something printed that has the business name on it; Yellow Pages Ad, Menu, Work order, Business Cards,
  • and a Voided Check.

On the last round, the customer will send in:

  • Completed and Signed ACH Form
  • Completed and Signed NOVA Agreement (CC Processing)
  • TRUST account form if applicable.
NOTE: Original Signatures on the Funding Contract need to be Received by GSF Underwriting Before Funding can take place:

Three important reasons that will disqualify an Application.

  1. Are you current with your rent or mortgage payments? If more than two months behind you can’t write the deal or we will third party the landlord if it makes sense.
  2. Are there any bankruptcies in past year? Must be discharged at least 12 months prior to funding.
  3. Are there any unresolved liens relative to your business (tax, creditor, courts)? No deal if greater than $175,000. Any tax liens or judgments must be in compliance (making payments).

Merchants that likely would not qualify for this Financial Tool:

  • Adult related businesses
  • Credit repair
  • Home Based
  • Independent automobile repair
  • Furniture
  • Seasonal going off season…… but you would qualify if you were going on Season!

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