For your business, the funding solutions that you choose can have a significant impact on your cash flow and your ability to successfully pay them off without restricting access to cash. For instance, a daily Merchant Cash Advance (MCA) product that has daily payments is great for businesses that have regular daily sales (like restaurants or storefronts), but can be difficult to manage for companies that have projects, slow paying clients, or irregular sales patterns.
A good tool for looking at cash flow is a statement of cash flows, but many small businesses do not have all the proper financial statements and records to produce one on demand. Upgrading your accounting software to a more powerful solution to streamline accounting and the creation of financial reports is something that would allow any SMB to produce these documents. But, if you don’t have it, don’t worry!
As a short-hand tool for analysis, you can take your last three business bank statements and analyze them to see if each month’s deposits and withdrawals are constant each business day, similar month to month, or fluctuate greatly each month. Depending upon your situation, different products will be better or worse for your company. If you have daily deposits, weekly and daily payment options are better suited to your business!
If you work with contractors and have irregular deposits, the best solution may be contract/invoice factoring to quickly get the working capital you need. However, if you’re running a restaurant with regular sales, MCA products can make small daily withdrawals automatically for you. Regardless of your financial needs, one of our financial experts is able tailor a solution for your business that works for you!
If you realize that your current funding package is restricting your working capital and cash flow (withdrawals are close to or even less than deposits), refinancing is a great way to ease the stress on your cash flow by extending the repayment period or changing your funding product. At MaxW Funding, we specialize in refinancing existing business debt and have a range of solutions to fit your needs!
If you’re looking to elevate your business funding or refinance, take the time to quickly put in a Quick Application here and we can get an offer back to you within 24 hours! If you’re not sure where to start, give us a call at 1 (800) 269 5917 !