The Working Capital Journal

Business Finance Funding —

Working Capital Loans and Business Cash Advances

This Executive Summary will provide the following information:

• Three key commercial lending changes positively effecting the use of business cash advance programs as well as other short-term working capital programs offered by AEX Commercial Financing Group.
• Five primary reasons for obtaining business finance funding using credit card processing.
• Ten problems to avoid with credit card receivables factoring.
• Six criteria for business cash advances up to $300,000.

Recent Changes Impacting Short-Term Commercial Finance Funding and Business Cash Advances

The current volatility in obtaining working capital loans and other business financing has changed how business cash advances should be evaluated by small business owners.

Here are three of the key factors behind the rapidly-changing funding environment for small businesses:

• Unsecured lines of credit have been eliminated by many commercial lenders.
• Most banks are now requiring more collateral for business funding.
• Many regional and local banks have stopped all business lending activities.

For most businesses needing additional working capital, all of the changes noted above have significantly INCREASED the positive case for using the AEX Business Cash Advance Program.

PLEASE NOTE: AEX now provides new working capital management alternatives in addition to business cash advances based on credit card processing volume that can also successfully address the three key business funding change issues noted. FOR EXAMPLE — One AEX short-term working capital funding program which will immediately help most business owners needing short-term business financing for up to one year.

5 Reasons for Obtaining a Business Cash Advance using Credit Card Financing

• A business cash advance based on credit card factoring is one of the few viable options for reliably obtaining short-term commercial funding.
• Credit card receivables factoring is available to most businesses that accept credit cards in their business transactions.
• There is no need for collateral.
• Funds can be obtained very quickly.
• There should not be any up-front fees or closing costs.

10 Problems to Avoid with Credit Card Processing and Credit Card Factoring

As noted below, there are a number of problems to be avoided with credit card financing programs.

• Up-front fees
• Collateral required
• Closing costs
• 2-3 years or more in business required to qualify
• Financial Statements required regardless of business cash advance amount (Note: larger working capital advances can involve additional information such as financials)
• Fixed payments to pay off the business cash advance
• Fixed term to pay off the commercial funding
• Maximum business cash advance of $10,000 to $50,000
• High credit scores (frequently 680 to 700) required to qualify
• 12 to 24 months of $10,000 to $25,000 (or more) in credit card sales required

6 Criteria for Business Cash Advances up to $300,000 via AEX

• Business accepts credit cards as a form of payment
• One year in business as restaurant, bar, retail or service business
• Ability to document credit card sales of $5000 or more per month for the last six months
• Acceptable personal and business credit (minimum personal credit scores of 500)
• If leasing: in good standing with landlord and at least one year remaining on lease
• No open tax liens, judgments or bankruptcies

AEX Working Capital Funding Program

It is not necessary to accept ANY of the 10 problems listed above in order to obtain business cash advances based on future credit card sales. AEX Commercial Financing Group has eliminated ALL of these potential problems from the Working Capital Advance Program that it uses for their clients. Here is an overview of our commercial finance funding program:

• No up-front fees or closing costs
• Business cash advances from $5000 to $300,000
• No financials required for most situations (larger business cash advances will sometimes require additional information such as financial statements)
• No set term to pay off the business cash advance (although there is a minimum of 90 days)
• No collateral required
• No fixed payments (as goods and services are purchased, a small percentage of each credit card sale is collected from one of the processing banks)
• Easy 2-page application: AEX Commercial Financing Group can fax or email the application for its Working Capital Program to you. This application will be requested only AFTER a discussion with AEX. Please note our policy provided below about avoiding the use of online business financing applications.

AEX Application Policy

A commercial borrower working with AEX Commercial Financing Group will not be requested to submit any application until they have completed a thorough discussion with AEX confirming that business finance funding is feasible for their unique business situation.

By completing an online business financing application, business owners would be submitting confidential business and personal information to a lender before they should. There are numerous commercial loan and business cash advance sites that urge commercial borrowers to complete an application before a business owner even has a conversation with a potential lender.

AEX Commercial Financing Group STRONGLY advises business owners NOT to complete an online application.