The problem with cash advances

Cash advances can be a lifesaver to a business owner who needs money fast, but they also can turn into a vicious downward spiral of debt if an entrepreneur isn’t careful. Many entrepreneurs find that their companies become dependent on these advances in order to make ends meet.

The allure of fast cash, and the need for working capital often brings them to take out bigger and bigger advances. Before you know it, cash advance payments can quickly eat up most, if not all, of a business’s profit. Sadly, many businesses fall into this trap and shutter their doors because of it.