Credit Card Processing and Business Cash Advances Executive Summary

by Stephen A. Bush



Commercial Loans and Working Capital

This Executive Summary will provide the following information:


  • Three business lending changes positively effecting the use of credit card processing loan programs as well as other short-term working capital financing programs offered by AEX Commercial Financing Group.
  • Five primary reasons to consider obtaining business cash advances using credit card processing advances.
  • Ten problems to avoid with credit card processing and credit card factoring.
  • Six criteria for business cash advances up to $300,000.


A Special Comment:
Recent Changes Impacting Business Cash Advances

The current volatility in working capital financing options has changed how business cash advances should be evaluated by small business owners.

Here are three of the key factors behind the rapidly-changing funding environment for small businesses:

First, unsecured lines of credit have all but disappeared for many commercial borrowers.

Second, most banks are now requiring more collateral for business financing.

Third, many regional and local banks are exiting all business lending activities.

For most businesses needing additional short-term working capital, all of the changes noted above have significantly INCREASED the positive case for using the AEX Business Cash Advance Program.

AEX also provides working capital loan options in addition to credit card processing advances that can successfully respond to the three business lending issues.


5 Reasons for Obtaining a Business Cash Advance using Credit Card Receivables


  • A business cash advance based on credit card financing is one of the few viable options for reliably obtaining short-term business financing
  • Credit card receivables factoring is available to virtually any business that accepts credit cards in their business transactions
  • There is no need for collateral
  • Funds can be obtained very quickly
  • There should not be any up-front fees or closing costs


10 Problems to Avoid with Credit Card Processing and Credit Card Factoring


As noted below, there are a number of problems to be avoided with credit card processing and credit card financing programs.

  • Up-front fees
  • Collateral required
  • Closing costs
  • 2-3 years or more in business required to qualify
  • Financial Statements required regardless of business cash advance amount (Note: larger merchant cash advances can involve additional information such as financials)
  • Fixed payments to pay off the business cash advance
  • Fixed term to pay off the commercial financing
  • Maximum business cash advance of $10,000 to $50,000
  • High credit scores (frequently 680 to 700) required to qualify
  • 12 to 24 months of $10,000 to $25,000 (or more) in credit card sales required


Our 6 Criteria for Business Cash Advances up to $300,000


  • Business accepts credit cards as a form of payment
  • One year in business as restaurant, bar, retail or service business
  • Ability to document credit card sales of $4000 or more per month for the last six months
  • Acceptable personal and business credit (minimum personal credit scores of 500)
  • If leasing: in good standing with landlord and at least one year remaining on lease
  • No open tax liens, judgments or bankruptcies


AEX Business Cash Advance and Working Capital Commercial Funding Program


It is not necessary to accept ANY of the 10 problems listed above in order to obtain business cash advances based on future credit card sales. AEX Commercial Financing Group has eliminated ALL of these potential problems from the Working Capital Program that it uses for their clients. Here is an overview of our commercial finance program:

  • No up-front fees or closing costs
  • Business cash advances from $5000 to $300,000
  • No financials required for most situations (larger business cash advances will sometimes require additional information such as financials)