Why Businesses Use a Cash Advance During Slow Seasons

Sometimes businesses go through a tough time. Maybe it is a particularly slow season for your business. Maybe your customers are going through a rough patch, making them slow to pay. Whatever the reason that your business is short on cash, a cash advance can help pull you through.

Cash advances can give your business an influx of working capital to help you pay your vendors and keep operations moving while you collect on invoices owed. They can ensure you can pay your employees and stay in the black on paper while you tie up lose ends behind the scenes.

Learn more about how a cash advance can help your business grow and flourish into a successful business.

How Cash Advances Work

A cash advance is exactly as it sounds. You receive an influx of cash for your business. In exchange, you agree to pay it back with interest over a period of time. Usually, the repayment period begins after a period of time, to give you the opportunity to get paid by clients and earn extra income.

A cash advance is different than a credit card in the fact that it is cash, as opposed to credit. Therefore, it can be used to pay anything, including payroll. It is different than a loan because you receive it almost immediately. A cash advance must go through fewer channels than a loan, meaning you can receive the money in as soon as seven to ten business days.

How Can You Use a Cash Advance?

A cash advance is used to help you get through a slow period. Therefore, the money can be used to pay your outstanding invoices from your vendors. It can be used to pay your payroll. It can be used for advertising purposes. A cash advance can be used for anything you need pay.

Using a cash advance to make these payments ensures you can stay in business. When your employees and vendors are paid, you ensure that business continues to move smoothly, whether you have money out on the street to collect or not.

Why Do Businesses Need a Cash Advance

Every business goes through a rough patch. Sometimes the lack of disposable income is the result of expansion. Sometimes, it is the result of your customers paying slower than sustainable for your business. Other times it is because you are going through a slow season due to a slowdown of the economy or the time of year.

Whatever the reason, you need money to stay afloat. Without disposable income, you cannot pay your employees, vendors, or advertising bills. You cannot finish your expansion or stay open through to the busier season. These issues are the perfect reason you would need a cash advance. Your business will get though this rough patch as long as you have a way to keep paying your bills and employees. If you need a temporary fix to your problem to reach a long-term goal, then you are the perfect candidate for a cash advance.

How Can Tanker Consulting Services Help You Receive a Cash Advance?

Tanker Consulting Services is proud to help businesses gain working capital to expand their business and get through the tough season. Our cash advances are available to businesses within seven to ten business days. Call us at 609.922.0201 to learn more.