Frequently asked questions for our small business finance brokers
At Liquid Finance, we are committed to helping you achieve success with our business cash advances for small businesses. We are fully authorised and regulated by the Financial Conduct Authority, giving you confidence when you consult with our small business finance team to achieve your cash advance. Please read on to discover the answers to some of our frequently asked questions, and to apply for your own business loans for small business.
The term Alternative Financing or Alternative Funding is used to describe any financing option other than traditional methods eg a Bank Loan or Overdraft.
- A merchant cash advances is an unsecured provision of funds to a businesses based on their monthly average takings from their credit/debit card terminal.
- The advance plus a factor rate “fee” is paid back as a daily percentage of credit/debit card takings until full repayment.
- You must have a minimum of 12 months card processing history
- You must process an average monthly card turnover of £3,500 minimum
- You must either own your business trading premises or have at least 12 months remaining on your lease
Up to 100% of your monthly card turnover.
If approved then your funds could be in your bank account within a week.
It is always advisable to seek advice when looking at finance – registered advisers can walk you through the options available and advise which route would best suit your business needs.
You do not need to provide a business case to apply for a Merchant Cash Advance from Liquid Finance but we will expect you to be clear about what you need the funds for and the potential effect on future business.
Unlike a Bank Loan, you will not be required to provide collateral to secure your business advance from Liquid Finance.
It is always advisable to apply for funds as soon as you think you need them – try not to leave it until the last minute.
When applying for a bank loan you will typically be asked to provide security and a clear business case. A cash advance requires neither of these. With a traditional bank loan, you will also be subject to fixed rate APR’s, fees and a strict repayment schedule.
90% of qualified applicants who meet our basic requirements get approved. Our expert account managers will guide you through the full process from qualification, through the paperwork requirements right up to receiving your funds.
The are no payback deadlines or penalties, Liquid Finance will take a percentage of your daily terminal takings until the advance plus fee are paid off.
We can usually approve your application and deliver your funding within 14 business days or less. The speed of the process generally depends on how quickly we receive applications and supporting information. The faster you send them back, the faster we can process your funds.
Your cash advance will be automatically transferred to your business bank account.
The Cash Advance is ideal for many different types of business. Our underwriters assess every application individually, on each business own merits. The advance can be used in any way you like to grow and improve your business, common uses are as follows:
- Equipment upgrade
- Website development
- Opportunity funding
- Emergency funding
Of course you can. You must be in good standing, and a certain percentage of the first advance must be paid before you renew.