Merchant Cash Advance The Cost Of Convenience
Author: Valerie Mellema
Date posted: 02.05.23

A convenience store on the East Coast had always been a staple of the community. The owners were part of a family that had owned the place for decades and the residents of the town knew it was a place with good prices and all the items they might need from gas to food and beyond. However, things change. This applies even to a staple of the community like a convenience store. New competitors come in, prices change, and amenities become expected.

The Need for Something New

 

With revenue going down compared to past years, the owners of the convenience store started to consider what was going wrong. There was no clear reason that they weren’t seeing the same profits. However, after talking with people in the community, it was clear that they wanted the store to offer something more.

 

These conversations brought up many ways to make the convenience store a bit more modern. However, one amenity that repeatedly came up was the need for a car wash. After all, it’s common for gas stations to have one. This led the owners to start considering whether adding one would be possible.

 

The Cost of Innovation

 

After deciding to think about adding the car wash, the next step was to look into whether it would be possible. The first stage of that was looking into options and considering the costs it would take to make the store more modern and capable of delivering better value.

 

There were several options for installing a car wash but when it came down to it, they chose one that had a reasonable cost. After looking into the options, they came to terms with the fact that it would cost about $350,000 to do things right.

 

Selecting the Right Kind of Financing

 

The owners didn’t have the money set aside for this expansion so it was clear that financing would be needed. The main question was what kind of financing to choose. The first thing the owners considered was a traditional bank loan, but they decided to look into other avenues as well.

 

As they ruled out various types of financing, it was a matter of comparing the pros and cons of the few remaining choices. Once that was done, the owners chose to move forward to attempt to secure a merchant cash advance.

 

The Perks of a Merchant Cash Advance

 

There were numerous reasons the owners went with a merchant cash advance. For one, it’s extremely easy to be approved for compared to other financing options. On top of that, payments can be made frequently, whether daily, weekly, or semi-monthly. It would be an easy way to pay things back while making use of the new car wash.

 

Beyond that, a merchant cash advance can be used for any business purpose. It’s a great way to secure financing for those who might not qualify for other financial products.

The End Result After the Cash Advance

 

Once the merchant cash advance was available, the owners started the process of having a car wash put in. This new amenity was indeed what the town wanted and the revenue issues have been handled for now. The owners are doing well and are happy with the choice they made.

 

There’s no way to know where things will go in the future but the business is doing well and everyone is positive about the recent changes. The owners know that if they need to make additional changes to the business, a merchant cash advance could be the right choice again.

 

About The Author | Valerie Mellema

Valerie has over 16 years of experience as a professional writer of blogs, eBooks, articles and press releases, with a focus on finance and alternative lending. Valerie resides with her family in Texas and is passionate about her horses.

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