The credit card act of 2009 had some unforeseen consequences since its institution February 22, 2010. Although, the act focuses only on protecting personal credit card users from arbitrary interest increases, over the limit fees, hidden charges and hidden term changes, the act had inadvertently effected the ” hike in [business card interest] rates and fees to compensate for the revenue they will lose on consumer cards as a result of the [credit card act of 2009]“, Says Emily Maltby of the Wall Street Journal, Small Business.

Another unforeseen consequence is that business owners may have a tendency to take advantage of using a personal credit card to maintain or expand their businesses. The problem “is that business owners who rely on consumer cards could wind up damaging their personal credit scores” says, Gerri Detwieler, a personal finance advisor for credit.com. The general rule of thumb for business owners, is to maintain a distinction between their personal and business credit. However, because of economic factors, many business owners may not exercise this rule.

On the other end, the act was also an attempt to increase consumer spending to pull out of the economic recession. In the next few months ahead, many can assume an increase in consumer spending.

Businesses familiar with the EZ business loans credit card based cash advance may find yet another opportunity to use an EZ business loan. With business credit card rates hiking, and consumer credit card use increasing, business owners can use a business cash advance in place of a business card or a personal card. Especially since the loaned is payed through a credit card processor, merchants can expect to pay off their loans quickly because of consumer card use increase.

Sources

Maltby, Emily. “Entrepreneurs Weight Credit Card Options”

Wsj. 11 February 2010 Web. 3 March 2010

An executive may see a bankruptcy as a speed bump. Although, an entrepreneurs may see it as a wall. This is because, not only are their business assets at risk but also their personal assets.

Small business owners, not yet incorporated, all across the country are being forced to file since the economic downturn. In this situation, the court doesn’t see the difference between the owner/owners and the business.  Sole Proprietorship’s, Partnerships, and even Limited Liability Companies are facing these risk because their loan agreements often use their personal assets as leverage.

Lesley Hoenig, attorney of Mount Pleasant, Michigan, States that In a sole Proprietorship, “you can’t say, I’m just filing bankruptcy for the business”. This is because there is “no” business, because its not incorporated.

In 2009 “Total Bankruptcy filings rose 36% to 711,550 in during the first half of [2009] compared with 522,205 cases filed over the same period in 2008″ according to WSJ.com

Many Similar business across the country are victims of losing their personal assets e.g. their homes and cars. This is because many entrepreneurs don’t foresee bankruptcy and are not prepared, this is likely due to the fact that most entrepreneurs try to remain optimistic and have faith in their business. Never the less, when operating a small business or a unincorporated business one must consider the risks in depth, despite the negative perspective. The cliche “Hope for the best, plan for the worst” is an effective mantra in this situation.

Many unincorporated businesses may only have one viable option before filing a bankruptcy, if the business does except credit cards, and that’s a business cash advance. A business cash advance, will not require personal assets, but only the future credit card sales. Many business owners may be able to use the funds to square away any kinds of debts they have or to thwart off other loan agreements by traditional banks. Another advantage is that the business owner may find the loan more affordable than a traditional bank loan because the payment is a fixed percentage of credit card sales, rather than a fixed payment. With a fixed payment, you may come closer to bankruptcy and that is because fixed payment plans are not considerate of earnings monthly, where as a business cash advance is.

If you are a sole proprietor, partnership, or limited liability company that foresee any future risk, it is more optimal use a business cash advance rather than rely on traditional bank loans. Why have your home, cars or any other assets at risk?  EZ Business loans offers a solution that can secure your assets and EZ Business loans can take the risks so you don’t have to.

Most traditional loan products out there are so complicated. They require so much paperwork and effect your credit score. EZ Business loans is just that. An “Easy Business Loan”. With minimal paperwork and a high approval rate EZ Business Loans makes it easy.

Additionally, payback is easy. In fact, since payback is done through credit card sales alone. There is no mail required. No more stamps, envelopes, or running to the post office. All that you need to do is focus on running your business and before you know it your loan is paid off.

Lets face it, running a business is not easy, so why should getting a loan be complicated?  Let EZ Business Loans release your financial burdens and take it EZ.

Because a business loan in the form of a business cash advance is the fastest way possible to get capital for your business. From the start and all the way to the finish. The process of getting funding is only 48 hours.  That is a small portion of the time it takes to get any kind of funding especially in an economic climate where people cannot get funding at all, excellent credit or not.

Also, NO Collateral, most lenders require that you use or offer some of your own personal assets as a form of collateral. Business Loans from EZ Business Loans do not require any kind of collateral. If by chance your business falls  and you cannot pay the loan, your home or other personal assets are not at risk.

When choosing a loan that fits your business needs, it is no argument that choosing EZ Business loans is the safest and fastest way.

In the past, business owners would either use a business line of credit or their equity to stop cash flow gaps in their business. However, during the credit crunch traditional bank loans are not easy to come by, if at all. Additionally, using your home equity has been so costly in the last few years. Here are a few favorable differences between a mortgage loan and a business loan in the form of a cash advance.

1. Documentation – listing the documentation required to funding a mortgage loan is a tedious and long process in its self. Business Cash Advances only require 6 months of processing statements, bank statement, proof of business ownership, photo id, and a voided check for funds to be wired to.

2. Closing Costs – many mortgage lenders and brokers are charging unrealistic prices. Most business cash advance providers require NO CLOSING COST.

3. No surprises – the mortgage crisis was primarily due to adjustable rates or teaser rates. However, with business cash advances, there are no surprises. Business cash advances have a fixed percentage of merchants credit card sales .

Why should your business cost you your home anyway?

Keep your home and your business and choose a business loan in the form of a business cash advance. Don’t go for something that’s gonna cost you an  Adjustable Rate Mortgage and a leg.

Those specializing in the merchant cash advance programs are starting to notice some interesting trends most recently. That some applying for the merchant cash advance business loan have credit scores above 700 and sometimes even in the 800’s. Apparently, the credit environment is exposing business owners to the merchant cash advance product. In the near future, we can assume once traditional banks open up. Some small businesses may use both trad loans and merchant cash advances at once to supply their business needs. For instance, traditional banks may only loan 75,000 dollars to a business owner in need of 130,00 dollars. With the addition of the  merchant cash advance, that business owner can take the additional 55,000 dollars out of a merchant cash advance provider. We assume this trend will continue until the economy is once again in full swing.