Monthly credit card transaction volume.

Most providers require a monthly sales volume of at least $3,000 – some even require more for large advance amounts. Cash advance providers will use your current sales volume to predict future sales – a regular, steady sales volume is a good indication that a business will be able to repay the advance on time

No existing merchant cash advance repayments.

If you have an existing merchant advance balance or a factoring loan balance outstanding, the new advance will be subordinate to it – the new provider will be second in line behind the advance provider you’re already paying back. Providers don’t like to be placed in this position and usually require that all cash advance transactions with other providers be repaid before a new advance can be issued.

No existing liens on business - owned property.

Similarly, most providers also deny businesses with existing liens on property. Other credit obligations are an indication that your business isn’t financially healthy and might not be able to repay the advance

Information about past sales volume.

Providers generally will want as much information as possible about past sales – this way, they can more accurately predict the future financial health and solvency of your business.

Other Qualifiers

Specific providers will have qualification standards for the types of businesses they will provide advances for. Some providers will only work with businesses that have been operational for over a year. Others require existing property or equipment leases. Providers look for anything that indicates that your business is an ongoing, profitable enterprise – the more information you can provide, the better rates you’re l ikelier to get and the more favorable repayment terms you’ll qualify for.