Monday, May 10, 2010

Merchant Cash Advance Featured In American Express Business Card Holder Article

American Express publishes a series of articles for its business card holders. One recent article entitled, Alternative financing: Where to turn when the bank says ‘No’ by Elizabeth Wasserman lists the merchant cash advance as alternative financing solution when the banks say "no" to a business.

The article quotes AmeriMerchant and myself as follows:

A handful of independent finance companies will give merchants a lump sum upfront in exchange for a share of their future credit-card sales. Different than a loan or lease arrangement, a merchant cash advance is based on a business’ monthly credit-card sales history, says David Goldin, CEO of AmeriMerchant and a founding member of the North American Merchant Advance Association. "It's a buy-and-sell transaction," Goldin says. "We buy $10,000 in future credit card sales today for $8,000 and we get a specified percentage of future sales from customers."

Editor's Note: David Goldin is the President & CEO of AmeriMerchant and the author of the merchant cash advance blog.

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