Merchant Cash Advance is a known term for businesses in need of cash flow, and day by day it’s becoming a popular solution. Back when it was introduced following the 2008 financial crisis in the US, it was merely a developing solution to funding necessities. Today it has become the preferred option and gradually turning into the ultimate answer for business funding issues.
Merchant Cash Advance | What to expect in 2020?
As we close curtains in 2019 and draw our attention to 2020, we could take a look at the previous year for businesses and how Merchant Cash Advance has played a role. It all started in 2007-08 when the US was affected by the global financial crisis caused primarily by deregulations in the financial industry. Also called the Great Recession, this crisis reduced the eligibility to get a loan for most of the small business owners and merchants. Credit scores went way down and traditional bank loans are not in favor of them anymore. Merchant Cash Advance came in as a probable business loan solution for merchants with easier and quicker funding.
As years passed and now we’re talking about Merchant Cash Advance in 2020, it is clear that MCA has made a difference in business funding. With a simple process that requires no collateral, MCA has become the ideal funding solution for small businesses and startups. The whole industry consists of three major sections:
- MCA providers, lenders and ISO’s.
- Business owners and merchants.
- MCA lead generation services.
The number of organizations in all three sections has been increasing over the years and in 2020, we don’t expect it to stop. None of this works if business owners and merchants weren’t interested in alternative loan systems. Merchant cash advance lenders wouldn’t have businesses to fund and thus, lead generators wouldn’t generate leads simply because there aren’t any. But as it turns out, small business owners and startup organizations are rather interested in cash advances and the ratio is still growing. It’s obvious because after the recession, a lot of them lost their eligibility to get loans from traditional banks and lending organizations. Banks require a credit score of 700 or more, and almost none of them possess such scores. On the other hand, traditional loans’ approval rate is low and has a tiresome process with a bulk of paperwork.
This leaves no option but to opt for alternative loan systems like the Merchant Cash Advance. Especially for small to medium enterprises (SME), a quick fund is very useful in any event of the business and they frequently need it. It could be the necessity of capital, buying equipment, inventory purchase, or a short term business opportunity. Alongside, a lot of startup businesses are coming into the market and most of them don’t necessarily have large capitals or high credit scores. MCA is likely the answer to their needs and businesses are leaning towards it more and more. So the Merchant Cash Advance in 2020 has strong potentials to contribute to business lending, help small business owners and merchants to successfully operate organizational activities. We expect more businesses to follow the trend of Merchant Cash Advance in 2020, as lenders will have more to fund and lead generators will provide with potential prospects with the interest in cash advances.
How to Thrive at Merchant Cash Advance in 2020
As we have discussed about the impacts and possibilities of Merchant Cash Advance in 2020, you must be thinking of ways to succeed in MCA and increase sales. Using our 10+ years of experience, market insight, and industry experts; we have laid out a few suggestions in the following section. Strategic implication of these techniques will help you have a consistent lead flow and let you fund businesses in MCA more.
- Have a professionally organized Website
If you are willing to go for it and looking to do well at Merchant Cash Advance in 2020, the first thing you need is a complete website. Investing in marketing, advertising or lead generation is important, but investing for a pleasant looking website with enough information in an organized manner should be the forefront of preferences. Just ask yourself that if you were a business owner, would you go to a poorly designed website looking for services?
- Focus on Content Marketing
Content marketing is getting popular more than ever and in the new year of 2020, and we expect it to gain the highest attention from the businesses. With preparing the website, focus on creating quality content regarding your services and offers. It could be articles, videos, infographics, illustrations and such. Load up your website with contents and give efforts in SEO, your site will boost your MCA business like you never imagined.
- Social Media Advertising
We’re at a time where almost anyone with an internet connection has a social account. Most of them have multiple accounts like on Facebook, Twitter, LinkedIn, and others. So it clearly makes sense that you should concentrate your marketing on social sites. Have a valid profile on each of the effective platforms and regularly share posts. Engage as much as you can. Paid marketing is a great choice for social sites because the number of audiences you can reach is simply overwhelming. Important social sites to cover are Facebook, LinkedIn, Twitter, Instagram, etc.
- Google AdWords
The competition is thickening and for Merchant Cash Advance in 2020, it’s going to be different. Since the number of lenders, business owners, merchants is increasing; people are searching more for business solutions and funding needs. And where to search other than Google? It has the most search volume globally and Google AdWords can help in bringing clients to your website.
- Email Marketing
Sure it’s not entirely new but Email marketing is still a very effective way to generate leads and increase MCA sales in 2020. Create a template of email and send it to potential prospects weekly 1-2 times. You’ll get great results once you have a list of possibly interested merchants looking for loans.
Telemarketing is the most used method of generating leads and increase sales. Although it is being practiced by a lot of lead generators and becoming an older method; it’s not obsolete. Contact directly with potential business owners and merchants who might be looking for cash advances and approach smartly. There’s a good chance of conversion for cold calls in business hours, so make sure to try them.
- Get Help from a Reliable Lead Generator
Following the strategies and generating MCA leads can lead your business to prosper, but it’s a meticoulus process. Getting help from lead generation services will half your workload and let you focus on business activities more. Eventually, it does let you fund more businesses in MCA.
Business Loan Leads is one of the most reliable sources for lead generation with years of experience. We’ve been in this market for a long time and in the new year of 2020, we have the means and determination to develop more in the business. There are unlimited possibilities for the Merchant Cash Advance in 2020 and a lot of methods to thrive in the market. And thus, Merchant Cash Advance can become the ultimate funding solution in the upcoming year for small businesses and enterprises.
Contact us to learn more and we’ll help you succeed in MCA 2020. Wishing a very happy new year.