Merchant Cash Advance

Need quick funds to manage daily operations or seize a new business opportunity? A Merchant Cash Advance (MCA) could be the ideal solution. Unlike traditional loans, an MCA offers fast access to capital based on your future sales, eliminating long approval processes and fixed repayment schedules. This guide explains how MCAs work, why they suit growing businesses, and how you can apply effortlessly with Bajaj Finserv. Whether you need working capital or wish to stabilise cash flow, this flexible funding option helps keep your business running smoothly without the constraints of conventional borrowing.

What is a merchant cash advance?

A Merchant Cash Advance (MCA) offers quick access to funds to help businesses cover short-term expenses or manage cash flow gaps.

Unlike a traditional loan, an MCA provides a lump sum of capital upfront, which is then repaid along with a fixed fee, known as a factor rate, through a percentage of your future credit card sales or total revenue.

Since repayments are linked directly to your business sales, the risk is lower for lenders. This makes MCAs a suitable option for business owners who may not qualify for conventional loans due to limited credit history or lack of collateral.

Documents required to avail a merchant cash advance

To apply for a Merchant Cash Advance with Bajaj Finserv, you need to provide a few basic documents to verify your identity, business, and financial stability.

• Applicant’s KYC documents: PAN Card, Passport, Aadhaar Card, Voter’s ID Card, Electricity Bill, Water Bill, or Driving License.
• Business address proof: Ownership or rent agreement of the business premises, GST registration certificate, or business licence.
• Turnover proof: GST returns for the last 1 year and bank statements of the current account or POS machine transactions for the same period.
• Additional requirement: Details of any existing loans along with their repayment status.
• Business financial documents: Balance sheet, profit and loss account, and income tax returns for the last 2 years.

Submitting these documents ensures a smooth verification process and faster approval of your Merchant Cash Advance application.

Interest rate and charges of merchant cash advance

Merchant Cash Advances are designed to offer affordable funding options with nominal interest rates and complete transparency. There are no hidden fees or unexpected charges, ensuring that business owners can plan their finances confidently.

For a detailed breakdown of applicable fees and charges, you can refer to the business loan interest rate page. It provides comprehensive information on current rates, processing fees, and other applicable costs to help you make an informed borrowing decision.

How to apply for a merchant cash advance?

You can easily apply for a Merchant Cash Advance by following these simple steps:

Step 1: Visit the official website to explore and compare different business loan options offered by Bajaj Finserv and other leading financial institutions.

Step 2: Select the offer that best matches your business needs and fill in basic details such as your name, mobile number, residence, loan amount, annual turnover, and profit.

Step 3: Once your details are submitted, a customer care representative will contact you to verify the information and guide you through the next steps.

Step 4: Your application will then be forwarded for verification, and a bank representative will reach out to assist with completing the formalities.

Step 5: After approval, the sanctioned loan amount will be credited directly to your registered bank account within a few working days.

This quick and straightforward process ensures that you can access funds conveniently and focus on growing your business without unnecessary delays.

Helpful resources and tips for business loan borrowers