As a restaurant owner you may be looking for finance to fund expansion, new equipment purchases or more. A merchant cash advance gives you access to fast financing with funds available in as little as 24 hours. One of the main benefits of this type of lending compared to a traditional loan is that the amount you repay each day is aligned to the amount of card sales you take. On a quieter day your card sales will be less and therefore you pay back less, equally on a busy day you will pay back more to reduce the amount you borrowed.
There is absolutely no interest charged and there are never any late payment fees or charges. The amount your restaurant will pay back is decided at the beginning and is based on a factor rate which takes your restaurant’s performance into account. A typical factor rate is between 1.05 and 1.15. If you were to borrow £10,000 at a pre-agreed factor rate of 1.10 then you will repay £11,000. The repayment period is typically 6 months to 1 year but if your card sales are less than anticipated you will never have to pay late charges.
Merchant cash advances have been praised by the government as an alternative funding option for UK businesses and have already helped thousands of restaurant owners secure the funding they need for expansion, new equipment, staffing costs and more.
If you have been trading for more than 6 months, have monthly card sales of £5,000 or more, are a UK resident and over 18, you can qualify for a merchant cash advance. All credit histories are welcome, so even if you have bad credit we can still accept you for funding.
The application process takes no time at all and requires no paperwork.