Linked Finance launches merchant cash advance
Linked Finance has launched a merchant cash advance product, providing businesses with a lump sum payment that frees up their future income.
The Irish peer-to-peer lending platform said that the business receives a lump sum with repayments based on a percentage of their daily credit and debit card sales.
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Linked Finance said the advance can be used for a variety of reasons such as for regular cashflow, buying stock or equipment, hiring staff, expanding office space or digital upgrades.
The platform said the advance may suit a wide range of businesses that accept credit or debit cards as a form of payment for their goods or services such as restaurants and takeaways, online businesses, pubs and bars, hotels, retail stores, gyms and hairdressers and beauty salons.
The repayment is sent directly to Linked Finance by the borrowers’ card terminal provider.
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“Businesses have several financing options to help fund their growth,” Linked Finance said in a blog on its website.
“A merchant cash advance is one of those options. An alternative funding option to a term loan, a merchant cash advance best suits businesses that receive consistent credit or debit card payments.
“An advance is also ideal for a business that needs funding promptly. Not all business expenses can wait for a lengthy loan application process with a traditional bank.
“With a credit decision in 24 hours and a fast drawdown, a merchant cash advance from Linked Finance is a short-term financing option that may work for business owners.”