1What types of small business financing does BizFund offer?
We provide working capital in the form of a Merchant Cash Advance.
2What documentation is generally required to get working capital from BizFund?
We require that you submit four bank statements and a completed MCA application.
3What are qualifications for working capital?
To qualify for an MCA, you will need to submit at least four bank statements. We may also be required to run a credit check.
4How fast can I get my money?
As fast as 4 hours from when we get a completed application and at least four of the latest bank statements.
5Can I get a better deal by going directly to a funding provider?
Yes by coming directly to you I can avoid certain fees that may be charged by brokers
6What is a factor rate?
A factor rate is the difference between the amount we advance you and the amount of your receivables that we purchase.
7What is alternative lending?
Alternative lending is a term used to describe a wide variety of fundings outside of a traditional bank loan, including: merchant cash advances, factoring, and accounts receivable financing.
8What metrics affect my business cash advance application?
There are two major factors that affect your application: your bank deposits and the length of time you have been in business.
9What are your merchant cash advance amounts and terms?
Our advance amounts range from $5,000 to $250,000. While there is no set term for a merchant cash advance since it depends on your revenue, advances are usually repaid within 3-12 months.
10How does the application process work?
Our application process is simple and typically takes about 10 minutes. You can apply online or over the phone by calling (888)-958-3781.
11How does repayment work?
We deduct a fixed payment from your business bank account on a daily or weekly basis, depending on the product you are approved for. This amount is based on historical percentage of your average daily receivables. The fixed amount can be adjusted from time to time depending on your future experience. These fixed payments help ensure minimal impact to your cash flow and prevent the snowball effect often caused by missing larger monthly payments. You can request your balance statements and pay off letters by emailing us at email@example.com or calling us at (888)-958-3781.
12Are BizFund advances unsecured?
Our merchant cash advances are not secured by a lien on all of your assets; they are secured by a lien on the purchased receivables.
13How is Bizfund different than a traditional lender?
We are faster than a bank or a traditional lender. Unlike banks, we can deliver decisions in minutes or hours and we value your overall business performance – not just your personal credit score. We take a percentage of your sales in the form of an estimated daily payment.
14What industries do you work with?
We work with more than 700 different kinds of businesses in all 50 U.S. states, including restaurants, retailers, auto repair shops, healthcare professionals, HVAC contractors and many other service providers, provided they are grossing $10,000 per month.
15Why is it so hard for small businesses to get financing?
Small business lending has been slow to recover since the recession. Traditional lenders lack an efficient system to underwrite small businesses, so many tend to defer to the personal credit score of the business owner as a measure of creditworthiness. It’s also cost prohibitive to underwrite smaller sized loans – it’s more profitable to make a $3,000,000 loan than it is a $30,000 loan.
16Why can BizFund approve so many more businesses?
We use our advanced scoring technology to make financing decisions based on the health of the business, rather than a personal credit score. We look at a variety of data points when analyzing businesses, and are able to deliver decisions in minutes or hours and funding in as fast as 1 business day.
17How is a BizFund MCA different from a traditional bank loan?
BizFund is different than traditional lenders in a several ways:
- ur advances are between $5,000 and $250,000 with no exact payback term since an MCA depends on your sales. Bank loans are typically larger – up to $5 million – and can have terms anywhere from 2 to 25 years.
- BizFund makes funding decisions in minutes or hours and can deliver funding in as fast as 1 business day, while banks can take up to 2 weeks to review the application and an additional 30 to 60 days to fund the loan if approved.
- BizFund also deducts a fixed, payment which is an estimated percentage of receivables purchased directly from your business bank account each business day or weekly, which helps to ensure minimal impact to your cash flow. Traditionally, banks collect payments on a monthly or quarterly basis.