Why The Credit Crunch Won’t Go Away- in WSJ 06/21/10

http://online.wsj.com/article/SB10001424052748704852004575257970246239874.html?mod=WSJ_Technology_RIGHTBottomSBHeadLines

Use Alternative Financing- We are helping Businesses thrive in this challenging  economy everyday… learn more:

www.FirstFederalAdvance.com  or www.ContractorAdvance.com

Business Funding’s #1 Choice For 2010- FFA

When the “need of the day” is funding and banks are reluctant to lend, businesses still remain in the need of money for operating capital. The alternative financing option of a merchant cash advance is a growth industry for all business finance. A cash advance very quickly brings money where it is needed with a quick approval process. The cash advance is repaid in many different ways, for ex. from a portion of future credit card receivables and amounts to the base amount advanced plus a fee that varies according to the terms of the agreement.

Merchant cash advances are increasingly being sought as a source of  finance and small business needs. A merchant cash advance can be a cash advance against future credit card receivables. In effect, a provider pays the business a fixed amount of cash, in exchange for a fixed percentage of the future credit card transactions paid by customers until the terms of the financing are fulfilled. The advanced amount gets paid as a specified percentage of the daily credit card sales, which is deducted to apply towards the repayment.

This rate of repayment is calculated by analysis of the record of performance of the business.  No fixed monthly payments, late fees and hidden charges are involved. The percentage of future credit card transactions tracked for repayment flows with the rhythm of the earning cycle.

In a  financing plan a small amount of future credit card sales will be taken in exchange for the funding amount. The approved customer in effect receives an advance on their future credit card sales. There is no fixed payment requirement as the plan permits repayment to be a percentage of sales if you have a merchant account and credit cards as methods of payment, you can be eligible to receive funding very quickly.

A business advance provides small business owners with working capital they need quickly. For the best deals your credit card statement reports will be used to determine your paying capacity.

Statistics have revealed that a high percentage of businesses that apply for bank loans, as much as over 70 percent, do not get their loans approved. This can be because they have not been in business long enough, may not have enough collateral, or may have credit issues. On the other hand, business owners with this profile can still qualify for a business cash advance. Poor personal credit and prior bankruptcies are not a problem when seeking this avenue. The cash advance can be a very useful tool in the financing arsenal, if used properly. It has unique benefits that have led more businesses to seek this option in the current financing climate.

This financing method is in more demand today by businesses when other financial resources have either reduced or dried up. Banks have reduced their lending or even let go of some types of customers they had previously supplied. Thus even as the essential need for capital has not diminished, its supply has. Application process for a cash advance is quick and demands less documentary evidence. The application process has no closing charges. There is neither the requirement for collateral or a personal guarantee. Tax return forms, financial statement and asset documentation is not demanded. Rather than personal credit scores that are scrutinized, it is business performance that matters for application assessment purposes.

To use this useful tool responsibly means you will keep this option in your financing plans. To do this the business should be certain it can afford the terms. Compare the programs offered by vendors and understand your carrying costs, the time to repay the monies back and any risk factors you could have. The contract should be scrutinized to ensure the payback percentage does not fluctuate. Check out customers, past and present, if you wish before committing yourself. The right financing firm will encourage you to do what is needed to add to your comfort level as a user. After all, these firms will want to see their businesses grow with satisfied customers. The rise of the merchant cash advance industry is revealed by its growth in ten years.

www.FirstFederalAdvance.com

Lending Stays Tight at The Banks

The credit crunch isn’t over for small businesses.

Most U.S. banks kept credit tight in the first three months of the year, and some tightened lending terms further.

Some categories showed improvement after years of lending cutbacks. A third of banks tightened terms and conditions on new credit-card accounts for small businesses. More than 40% of banks said they raised minimum required credit scores.

Interest rates over the bank’s cost of funds—on outstanding balances, and 15% reported charging higher annual fees.  Loan officers said their current level of standards and terms is tighter.

Many small business customers are cutting back because of the weak economy.  Merchant cash advance, contractor advance and spot factoring have become more resourceful in today’s times. First Federal Advance is the first place to go for your funding needs. 

www.FirstFederalAdvance.com

Lending for Business Owners -Still Need Alternative Financing

Business owners used real estate to support financing endeavors in a variety of ways, the subprime crisis hit Main Street particularly hard as it rippled through the credit markets. Before the real-estate bubble burst, home and business properties were a reliable source of collateral for many businesses.

And even those that were ineligible for a traditional bank loan could often draw capital from home values by writing loans against home equity. Unlike traditional loans, home equity loans and lines of credit are determined by the appraised value of the home, minus the mortgage, and are not issued on the basis of credit history or credit scores.

Less than 10%, of those who historically qualified to use homes to gain capital could qualify for a similar loan today .

Cash flow is the number-one reason for getting declined —the combined net worth of the business and the owner—has been reduced, so collateral becomes more important in order to make sure that it’s in line with the loan.

8% of business owners used their personal homes and 11% used their commercial property as collateral for their business in 2009.  Merchant cash advance, contractor advance and spot factoring have become popular in today’s credit crunch.  Businesses are finding this resourceful for working capital. 

First Federal Advance has many different funding options   call  or visit us on-line at  www.FirstFederalAdvance.com

Business Cash Advance-Hassle Free

The economic crisis is still in full force; even if there are some signs of slight recovery. As a result many businesses are experiencing a shortage of immediate cash for daily expenses. If you are experiencing this yourself, you need to take a look at some options.

Managing your business finances is vital. Although it is easier said than done, being very careful about spending is a good way to ensure that you are on top of things. However, even if you are doing everything right, there can come a time when you need an injection of immediate funds to sustain daily operations. Such times can be very worrying, but there are realistic solutions to the problem, such as business cash advances.

Applying for regular loans can be very painful and can cause too many problems, especially when you go through traditional channels. Times have changed, and smart entrepreneurs no longer rely on traditional channels to get the financing that they need. Why? Because banks require lots of collateral. They will also insist you pay even higher interest rates in cases of late payment. Their fixed monthly repayments might be too much for you to handle as well.

Business owners who want to run their business with ease see regular business loan applications through traditional channels as an impractical business financing option. On the other hand, a business cash advance can be a much better solution, since it is easier and faster. How does it work though, and how can your business benefit?

Business cash advance is one of the fast growing financing options in the market today. If you want to avoid the hassles and paper works, this is an option you can check out. You can try looking for a legitimate company online who are offering this service, fill out an application form, get to speak with one of their business specialist and that’s it. Applications can be approved within 24 hours, and funds can be received within 5 – 10 business days depending on the method used.

To get a business cash advance, you need to make ensure you meet the following requirements:

1. Your business needs to be operating for at least 3 months.

2. You need to have your bank account statements for the past 3 months. 

Do you have a business that’s not well-established yet and you have a need for immediate financing to sustain your business operations needs? You will be having a hard time if you go through traditional loan application channels. Nowadays, though, if you are in need of immediate funding, you should not worry too much. All you need to do is to apply for a business cash advance to get the business financing that you need quickly.

Business cash advances will be able to help you take off and have the easy financing that you need at almost any time. You need not worry if you have a bad credit rating because the approval process when you apply for a business cash advance is different from the approval process of a traditional business loan. Banks have a tendency to be inflexible these days, that’s why.

If you are operating a business that had some serious financial blows and is trying to recuperate from financial difficulties, your worry days are over now. Business cash advance companies now exist to help you. Do not let your loan application rejections get to you. Apply for a business cash advance now and get the fast infusion of cash that you badly need.

There is no need to fret over having to provide tons of legal and official documents when you apply for a business cash advance. The requirements for one are very minimal. You just need to provide the business cash advance company your credit card statements for the past few months and show proof that you have been operating for at least a year. These are needed in order to help business cash advance specialists assess your needs and your payment capabilities.

Generally, you will have your business cash advance approved within 24 hours. You can get the money after about 5-10 business days after approval. You can use it any way you want so it’s really a very ideal option for you.

You need not go through a lot of time-consuming processes and procedures if you are in dire need of business financing. Being a start-up company should not even be a hindrance to you. Apply for a business cash advance now.

It is always a challenge running a business, especially if you need immediate funding amidst the economic crisis that we are all experiencing. All types of businesses, large or small, may have experienced a situation where getting immediate cash to support their daily business undertakings proved to be too much of a hassle. What are your options, then, if you are facing the same dilemma?

Managing your finances is a very important course of action. Although it is easier said than done, being very careful about spending is a good way to ensure that you are on top of things. However, even if you are doing everything right, there will come a time when you would need to infuse immediate funds to sustain daily operational expenses. It does not have to be too much of a hassle since there are options like business cash advances to help you out.

Applying for loans can really be hard and can be too much of a hassle, especially if you go through traditional channels. Times have changed, though, and smart entrepreneurs no longer go through traditional channels just to be able to get the financing that they need. Why? Because traditional channels like banks would require collateral. They will also require you to pay really high interest rates in case of late payments. Their fixed monthly repayments might be too much for you to handle as well.

Most entrepreneurs who choose to operate their business without too much red tapes recognize that business loans are not practical options. Entrepreneurs who are business-savvy have found a way to address this problem through business cash advance.

Working Capital For Sm. to Med. Sized Businesses- Hassle Free-Fast

In today’s economy business loans have become especially difficult as banks  stopped lending to most of us.  It becomes complicated to get a traditional  business loan as many programs have been discontinued and new unrealistic requirements have been put in place.   

Funding  can be used for anything,  with no questions , partner buyout, expansion, taxes, payroll, inventory as well as many other needs?  The credit score  is not a deciding factor in the approval process, enabling the business owners with weaker credit to participate in the program.   The typical amount of advance ranges from $5,000 to $150,000. 

Our  90%+  approval rates are much higher when compared to the traditional fundings. In most cases the funds can be obtained in as little as 72 hours.  There are no checks to write and no possible late fees or switching processors – plus 11 different programs to suit your specific needs!  Merchant cash advance, contactor advance and spot factoring are very resourceful in today’s times, when the banks are just not there for you. We help w working capital and meeting cash flow needs. 

www.FirstFederalAdvance.com 
We  provide business working capital to small and medium-sized businesses and is an alternative to traditional business loans and other types of conventional secured financing.

Merchant’s Don’t Have To Change Processors With First Federal Advance

http://www.youtube.com/watch?v=hpxyjz1x-N8   

We are unlike the rest…  www.FirstFederalAdvance.com

FAST BUSINESS FUNDING FOR WORKING CAPITAL-HAVE A BACK-UP PLAN?

 Business funding and having a back-up plan,is a must today.  The value  should be familiar to most small business owners,  however it seems that the concept of alternative planning is overlooked with respect to  loans and working capital strategies. Always have  a back-up plan!    The importance of a plan is beneficial to many aspects of running your business successfully. Back-up planning seems to be under-utilized when business owners are seeking new working capital via business financing strategies.  If the bank doesn’t renew your line of credit,which happens a lot,   the borrower will need to pay off the entire loan or refinance within a limited period of time. The best solution for avoiding this possibility is to review current business funding options and explore “Plan B” options. Many of local banks throughout the United States have recently decided to pull the plug on future business financing. When they do so, little advance notice is provided, in most instances. If a business has commercial loans or commercial mortgages with a regional or local lender, a plan should be developed for the contingency that alternative business loan arrangements could be needed in the near future.  To prepare for this increasingly common possibility, business owners should engage in thorough discussions with a working capital advance advisor before proceeding. The presence of a ”back-up” plan mentality is likely to contribute to many aspects of running a successful small business.

www.FirstFederalAdvance.com

www.ContractorAdvance.com

Call 888 342-4FFA   Free Quote-Immediately

Banks Could Be Forced To Dramatically Curtail Lending

The WSJ today reports that “Nearly 3000 small U.S. banks could be forced to dramatically curtail their lending because of losses on commercial real-estate loans, a congressional inquiry concluded.”  This proves their worst fear and confirms what most see as a reality – that the banks are not going to be there for the growth  businesses need.  How do we get capital to the small and midmarket companies?  Giving banks millions or billions is not the answer. There needs to be a way to ensure that money actually makes it to the intended recipients.

Alternative Financing?  www.FirstFederalAdvance.com

Small Business Loans Is Not Likely From Fed’s Plan

The president’s plan will mean $30 billion in capital for smaller banks, which has the potential to leverage a far higher amount of actual new small-business lending.”

Being considered, the U.S. government would let banks get an amount equal to 3% to 5% of their assets. Required dividend payments by the banks would be reduced if they substantially increase their business lending.

Mr. Obama is likely to face resistance in Congress, especially from Republicans.   The Senate Banking Committee’s top Republican said federal officials should push for the return of all TARP funds before discussing any new uses of the money?

www.FirstFederalAdvance.com  can help you today! Hassle Free…