What would you do with an extra $20000 in your bank account? Many people would go on vacation. Some would buy a new car. Others would invest it. Those “others” are more than likely entrepreneurs of some kind. Most business owners constantly think about ways that they can grow their businesses. So how do you want to grow your business?
Especially in the post-recession era, it’s no secret that banks are making it harder and harder for small and mid-sized business owners in Canada to secure bank loans. Near the end of April, the Synergy Merchant Services Blog commented upon a recent piece in the Financial Post that outlined one business owner’s difficulty in trying to get his business money to renovate.
As a result, some entrepreneurs don’t actually have an answer for the question we posed to begin today’s blog. This is because without the extra working capital necessary to actually make their plans come to fruition, they figure that there is no use in planning. However, when these same owners are presented with a legitimate path to fast cash, their ideas become endless.
At Synergy, we believe strongly that our merchant cash advance program is best taken advantage of when the recipient of the cash advance invests their newly-acquired money back into his or her business. Of course, our money is not “borrowed”, and due to that fact, our clients have every right to do whatever they like with their cash advances.
Obviously, the ones who are most successful within their respective industries are the ones that put the funds towards growing their companies. Some clients choose to buy as much inventory as possible during the months of the year when the items are not in demand. That way, the inevitably cheaper purchase translates into greater profits once the seasons change, and the demand for the products increase.
This is especially true for clothing stores who stock up on winter gear in the summer, knowing that when the cold returns, they will be well-prepared to service their clients. Not only does the cash advance allow them to pick up more inventory at bargain prices, but it ensures that they don’t have to dip into their own savings to do so.
Some clients enjoy utilizing our program practically on a yearly basis to take advantage of the aforementioned idea. Others use the money to renovate their locations in order to ensure increased sales all year round. Restaurants refurnish their patios. Auto repair shops buy new tools and equipment. And no matter what industry you are in, advertising your brand always helps.
The old adage “it takes money to make money” is one of the truest statements ever uttered. These days, “it’s hard to get money to make money” seems to be a phrase that is becoming more common for those who have been turned down by their banks. Here’s our favourite saying though: “A merchant cash advance is the quickest and easiest way for Canadian business owners to get money today”.