Industry: Restaurant and Bar
City: Edmonton, Alberta
Advance Amount: $50,000
The typical Merchant Cash Advance client is in the restaurant or bar industry. Not that we play favourites, but it’s been a widely known fact for years that the banks don’t lend money on food or alcohol so they’re constantly looking for an alternative.
This client came to us about in May looking to renovate the patio of their busy downtown pub, in time for summer. While some provinces might consider May to already be summer, we’re talking about Alberta which often sees snow well into the time other Canadian provinces are embracing bathing suits and cottage county – so they still had a bit of time.
They’re a busy family and between their children, school, running a household and the time demands that come along with owning your own business, they hadn’t gotten around to it. Sound familiar? With summer just around the corner, the prospect of waiting to be approved for bank financing meant they would end up missing out on some of those crucial patio season months. Instead they took a $50,000 merchant cash advance and did the renovations they needed in just enough time to nearly double their sales for the summer!
A merchant cash advance will usually be more expensive than the bank. However, the speed at which they had access to the capital they needed and the increase in profits they saw outweighed that extra cost. They would have still been in the approval stages with the bank, rather than reaping the rewards of the upgrades to their business.
Congratulations on your continued success!!