“We’re calling about your car’s extended warranty”
If so, then findings from a new RoboKiller report may come as no surprise.
According to the mobile app that blocks millions of telemarketers and robocalls every year, more than 40 billion spam calls were made in the first six months of 2021.
This number is projected to hit 70 billion by 2022.
Well, what does this have to do with business financing?
As a business owner, you might be receiving double the number of calls than usual.
And what might seem like a harmless call can also take a hit to your wallet.
The same report also found Americans lost around $325 million to spam calls and $45.5 million to spam texts.
This was the case for Daniel, a Wallace Capital Funding LLC client, who took a less favorable loan from one of these types of calls.
Looking for immediate assistance, Daniel was left with two payday loans valued at $250,000. He was paying $25,000 a month between the two loans and had money coming out of his account every single day.
It was under a merchant cash advance (MCA), which is an alternative means of financing for small business owners. MCAs provide an upfront sum of cash in little time with no physical collateral needed.
However, they can be very risky as many MCAs are repaid either daily or weekly until those advances are paid back in full.
If not managed correctly, a daily repayment plan can put financial strain and can force you to refinancing another MCA or filing for bankruptcy.
Daniel had no way of effectively managing his cash flow and felt trapped in an endless cycle of payments that impacted both his personal and business finances.
With the help of Wallace Capital Funding LLC, Daniel’s loans were refinanced.
Wallace Capital Funding LLC is a member of the Small Business Financial Exchange (SBFE), a trade association of business lenders and merchant acquirers that advocates “for the safe and secure growth of small businesses.”
SBFE has a group of certified lenders that help small businesses get an accurate look at their credit history.
After this credit check, Daniel’s new business loan term became $3,000 a month instead of the original $25,000.
A $22,000 difference! This helped him avoid defaulting and kept his business afloat.
With spam calls and texts on the rise, it is important to put your best foot forward to protect yourself and your business. This includes avoiding restrictive financing options like MCAs.
If you find yourself in a similar situation, Wallace Capital Funding LLC’s Business Credit Builder Program is a great option to help ease any financial concerns.
The program will help solidify your business’ short and long-term goals while establishing its credit profile — all to improve cash flow and lower interest rates just like Daniel!
The Wallace Capital Funding LLC provides custom financing for all types of businesses in need. Whether it is for insurance or office equipment, our experts will work with you to find the best solution.
Join the Wallace Capital Funding LLC mailing list, which can be found on our website or give us a call at 1-800-809-5629 to learn more.