The lending company specializes in providing financial solutions for entrepreneurs unable to get loans from traditional sources like banks and credit unions. Because of its excellent turnaround and minimal requirements, it’s a great option for businesses that require immediate financial help.
Consider Forward Financing if you:
- Want same-day processing
- Need anywhere from $5,000 to $300,000 in financing
- Have explored other financing options
Forward Financing Merchant Cash Advances
Forward Financing focuses on granting merchant cash advances (MCA) to small businesses.
Unlike a typical loan in which you pay interest on top of the amount borrowed, MCAs use factor rates. That means the amount you borrow will be multiplied by the factor rate set by Forward Financing. To repay the financing, a business owner grants Forward Financing access to the company’s income. Payments have to be made daily or weekly, depending on what both parties have agreed upon.
Keep in mind that MCAs typically cost businesses more. The average small business loan from a typical lender such as a bank have an annual percentage rate of 4% to 13% depending on your qualifications.
MCAs don’t work like that. Interests run higher than other financial lending options.
If you borrow $5,000 and get a factor rate of 1.3, then you would owe Forward Financing $6,500 in total.
Forward Financing touts the following terms and financing features:
- Secure funding within hours after approval
- Terms of 4 to 12 months
- Daily or weekly repayments
- Financing from $5,000 to $300,000
- Option to repay the full amount owed in advance at a discounted rate (restrictions may apply)
- No collateral required
Forward Financing Funding Experience
Noting it has funded more than 10,000 business owners, Forward Financing promotes a fast application process.
If you have all the requirements and other necessary information with you, you’ll be able to apply in minutes. Be prepared to upload at least three of your most recent bank statements. Have your Social Security number, business name and employer identification number (EIN), also known as a tax ID, handy. Remember, your credit score isn’t an issue with your application.
After submitting your application, you can expect to hear from the company within hours. If you’ve applied after 3 p.m. Eastern Standard Time, you’ll be contacted the next business day. (Note: There is an option for wire transfer if you need the money immediately, but you must pay a fee.)
If approved, you’ll be presented with one or more lending plans. Select a plan with terms and conditions that are suited for your business. Once you’ve selected, you’ll get your funds. If you started the process early in the day, your funds can be released on the same day. If not, you’ll receive it within 24 hours.
After Receiving Financing
Once you’ve received your funds, the company will assign an account executive to you. The representative will help you with any concerns you may have. This person will also notify you when you’re eligible for renewal when you’ve repaid 60% to 80% of your current loan.
You can use the online portal to monitor your records like your outstanding balance, payment history and renewal eligibility.
(Note: An upfront processing fee will be deducted from your funds once you receive them.)
Pros of Forward Financing
- You can apply for funding online. It takes less than 10 minutes to finish the form.
- Applications are not dependent on your credit score.
- Get your funds within 24 hours once your application is approved.
Cons of Forward Financing
- High factor rates result in higher costs for your business.
- Daily or weekly payments may not be suitable for everyone.
Forward Financing Funding Requirements
- Time in Business 3+ Months
- Monthly Revenue $5,000+
Forward Financing: What You Need to Apply
You need to provide the following:
- Business owner’s name
- Business owner’s Social Security number
- The business name
- Employer Identification Number (EIN), also known as your tax ID.
- At least 3 months of your most recent bank statements
Final Say: Forward Financing LLC
Forward Financing could be a viable alternative to conventional lenders, aided by fast loan processing and same-day delivery of funding.
They have a Better Business Bureau (BBB) rating of A+ and a 4.8 TrustScore rating from Trustpilot.