Most businesses will go through periods when they require extra cash. You may not have personal savings or you may not be in a position to put these funds into your business. Here are some quick cash options that can assist you to function smoothly.
Use online lenders – There are online lenders who will provide you cash in as little as 24 hours. You will, however, have to complete an application and provide the required documentation.
Factor your receivables – Normally you have to wait 30-60 days to collect your invoices. These invoices can, however, be converted into quick cash. You can do this by setting up an account with a factor. You will, have to forfeit 2% of the invoices cost as a charge for this service.
Use your business line of credit – Most businesses have a line of credit which a business can take cash from at any time. The amount of credit will depend on your capital. Most lenders will require a 24-hour approval period to verify documentation.
Cash advance from your credit card – You can use your business ATM card to get quick money. But the interest on these transactions is high.
Borrow from your 401(k)- If your company in on a 401 K plan, you can receive a maximum of 50% of your vested account balance or $50,0000. This process will take as long as the administrator takes to process it.