A top goal of most business owners is to grow their businesses. There may be a few businesses in the marketplace that want merely to maintain their market share and profit levels, but most know that they need to grow in order to maintain and build on their successes. 

Growing a business typically involves putting more money into it. Businesses may grow by investing in new equipment, expanding their office or retail space, or hiring additional employees. All of these things take money to accomplish - money that can be hard to come by for business owners. 

How To Fund Business Growth

In some cases, businesses can reinvest some of their profits back into the business to fund the steps that will lead to growth. In many cases, however, the business isn't generating sufficient revenue to make reinvesting profits a viable alternative. If the business is the sole support for a family, it may not be possible to use the profits to grow the business. 

Quite possibly, the volume of business can't reach the point where there are large enough profits to reinvest without some growth first. When additional working capital is needed, businesses can turn to merchant cash advances for the cash flow they need to make improvements that can lead to growth. 

Merchant cash advances are easier to get than traditional loans, which often want a five-year track record of success, assets and a favorable credit rating in order to make funds available. Even then, traditional loans take up to three months to process, which could be long enough for growth opportunities to pass by or conditions to change.

How Merchant Cash Advances Work

In as little as 48 hours after filling out the application, merchant cash can be in the hands of business owners, making it possible for them to invest in their businesses' growth. Repayment terms of 3 to 12 months are typical, and are taken as a percentage of daily credit card sales. This type of repayment is ideal because when sales are down, less money is taken for repayment, leaving more to cover regular expenses. 


As the business grows, the advance is repaid, leaving the business in a better situation than before the loan. Loans can be renewed once successfully repaid to give business owners capital to grow even further. Having a steady source of working capital that is repaid from future receivables can be crucial for some businesses to thrive.

While some have had a negative view of merchant cash advances, they are becoming more and more mainstream. A recent white paper by First Data suggests that banks themselves can benefit from partnering with companies that offer merchant cash to businesses.

The Sky's the Limit

Businesses that are willing to take the time and money to invest for growth have a greater chance of success in the marketplace. Playing it safe and not taking chances may seem like the best course of action, but may limit the business's ability to succeed in the long run. What doesn't grow, often stagnates. The passion customers have for your goods and services may wane unless the business can show that it is keeping up with customers' changing needs and is able to offer more to meet those needs. 

Don't let your business stagnate. Keep interest levels high by funding growth. Quikstone Capital Solutions can help with all your business funding needs and position your business for future success.