If you are running a retail business whether on the high street or online you will undoubtedly have a need for new stock.

Buying new stock often has an impact on cashflow, especially as it can take a number of months for the new stock to sell and profits to be realised.

That was exactly the position our new client found themselves in. Having been introduced to the team at Oxygen Business Finance by a local professional, we spoke to the client and it soon became clear they needed a short term funding solution.

As an online retailer all of their payments were taken by card, so it made sense to explore a Merchant Cash Advance ( MCA ) for them.

An MCA allows a business to raise funds based on the level of card takings, with repayments taken from future card payments. The amount you repay fluctuates depending on how much you take via card, which is always useful if you have a quiet week or month or run a seasonal business.

On this occasion we were able to obtain funding of £36k for the business, which they used to buy stock. They expect the stock to sell over the next 3 months and the facility is likely to be fully repaid over the next 9 months.

If you are a business that takes a lot of card payments and you want to explore the option of a Merchant Cash Advance, do get in touch