Credit Card Factoring

Credit card factoring is simply another way of saying "merchant cash advance". As a merchant cash advance company, First Merchants provides cash upfront in return for a small percentage of your credit card sales over the next 6-12 months. One of the best features of this form of credit card factoring is that we make iteasy for you to pay us. You don’t have to write a check (who uses checks these days, anyway?) and you don’t have to pay us with a credit card. Instead, payments to us are automated from your business’ credit card sales. There are two ways that we can get payment from you and they require no effort on your part at all: ACH retrieval or split funding.   

ACH retrieval is where First Merchants receives daily notifications from your processor telling us how much you processed in net credit card sales each day.  Let’s say that on Monday you have processed $1,000 in credit cards. We will receive a report the next day from your processor, and we’ll process an ACH debit to your bank account for the appropriate percentage of that $1,000 batch.    
Split funding is an option in cases where First Merchants has a relationship with your credit card processor. In these cases, your processor splits our percentage out of each daily credit card processing batch and sends that directly to us.   

As you can see, paying off your cash advance is simple and happens "behind the scenes". Your time is better spent on growing your business, not having to keep track of payments.  And if your sales are lower one month, your payments to us are too.  It’s the best gift you can give yourself - worry-free financing for your business! 

Click here to learn more about how business cash advances work.