What is a micro business by Cresthill Capital

1. What Is a Micro Business?

2. These days micro businesses are everywhere. They employ hundreds of thousands of people across the country and are considered essential to the health of the economy. Micro businesses typically have one owner and no more than five employees. They frequently concentrate on doing one thing - performing a specific service or selling a specific product. This is how they become known and why they are successful. They concentrate on something that they know well and do well.

3. Micro businesses also typically need very little start up cash depending on what business they are engaged in. But as with any business, even micro businesses go through periods of time where the cash flow isn’t steady or a cost of their business unexpectedly rises. It could be as simple as the discontinuation of a particular software that they use or a supplier that decides to retire and close their business. It’s times like these where micro businesses may need a small merchant cash advance.

4. How Do They Get More Money?

5. If a micro business needs a cash advance, they could try a bank, but a good micro business owner will only get what they need and the amount they need may be too small for a bank to deal with. In cases like these, a company like Cresthill Capital can help.

6. These companies loan small amounts of money to businesses who basically need bridges to cover unexpected shortfalls or needs related to expansion. These companies also will loan funds to companies that have only been in business for short periods of time. This is one reason it is important for micro businesses to keep meticulous records of where their revenue comes from and where the revenue goes.

7. When a micro business owner’s revenue goes directly back into the business the better risk the business is for a capital funding company. For example, Cresthill Capital reviews the revenue streams since the business started, if it’s new. They look to see if the income is fairly steady, if it has increased since the business's inception or during the review period, and they look at the expenses the business has and how the revenue has been used to address that. All of this goes into a funding company’s funding decision.

8. How Does It Get Paid Back?

9. Another advantage of getting loans through a capital funding company is that they offer flexible ways to pay back the loan. For a business that takes credit or debit cards they could offer that a certain percentage of the daily receipts be paid to the funding company through an agreement with the POS company that handles the transactions. It could also just agree to a payment of a percentage of monthly receipts directly from the business owner.

10. Naturally, there is also interest added to the original loan, but with the flexible repayment terms, it can be minimized by the payment plan that is agreed upon. The best reason for going through a capital funding company is because the funds you need can be in your bank account within hours of signing the contracts. Just make sure you check out any funding company you go with and look for any problems they may have. For example, look up any Cresthill Capitalcomplaints first, so you know you have picked the best company around!