Restaurants are probably the most common industry that utilize the merchant cash advance product. The amount of working capital a business can receive with a merchant cash advance is based on their sales levels of credit card / debit card sales. Since late 2008 and most of 2009, restaurants have been for the most part hard hit by the economy as consumers were eating out less at restaurants.
However, Nation's Restaurant News, a leading news provider for the foodservice industry, is reporting today that Atlanta-based RBC Capital Markets' September restaurant spending survey, indicated that consumers plan on spending 14% more in restaurants compared to September 2008.
This can only help the merchant cash advance industry as it will not only help build restaurant owner's business confidence, but will also increase the amount of working capital they will qualify for in a few months if there credit card sales increase due to an increase in consumer spending at restaurants.