Does My Business Qualify for a Retail Cash Advance?

You’re running a successful business that engages in daily transactions with customers. But does that mean you qualify as a "retailer" and are eligible for a cash advance for retailers?

What is a Retail Business?

A retail business sells goods or services in high frequency, directly to the public. This can also include businesses that provide services to other businesses. Transactions occur in various ways, such as online, in physical stores, or through direct sales. A key criterion to be considered a retail business is that the items sold are for immediate consumption, not for resale.

How Are Retailers Paid?

Retailers receive payments from customers through cash, EFTs (electronic funds transfers), or card machines.

What Types of Retailers Are There?

Retailers fall into different categories:

• Hardlines: e.g., cars, appliances, furniture
• Consumables: e.g., apparel, fuel, toiletries
• Food: e.g., baked goods, meat
• Fineries: e.g., art, jewelry
• Services: e.g., hair services, medical services, gyms

Retailers can operate through various outlets such as department stores, warehouses, smaller shops, and online stores. These retailers may serve industries including:

• Automotive
• Bridal
• Building, Office, Hardware
• Butcheries
• Electronics
• Fast Food & Restaurants
• Florists, Gifting
• Fuel Service Stations
• Hair and Beauty
• Health and Gym
• Homeware and Outdoor
• Jewelry
• Medical
• Liquor
• Kids Retail
• Men’s and Women’s Retail
• Nurseries
• Supermarkets
• Travel and Hospitality
• Veterinary and Pet

Does My Business Qualify for a Cash Advance for Retailers?

With a Merchant Capital Cash Advance, your retail business can access up to 100% of your average monthly credit and debit card turnover upfront. The repayment is made as a fixed percentage of each future credit and debit card swipe, continuing until the full amount is paid back.

If your business meets the following criteria:

• You identify as a retailer
• You have been in business for over 12 months
• You have a monthly card turnover of at least R30,000

Then, you may be eligible for a cash advance for retailers.

How Will a Cash Advance Help My Retail Business?

At Merchant Capital, we understand that no one knows your business better than you do. Therefore, we don’t prescribe how you should use the funds. However, we encourage merchants to use the working capital for growth opportunities, such as refurbishments, marketing, or bulk purchasing, rather than merely covering short-term gaps.

‍