Applying for a line of credit through traditional banks and lenders can be disappointing with unrealistic approval requirements. Razorpay Cash Advance is designed to make it easier for businesses to get quick access to funds in times of urgent needs.
With Cash Advance, you can get the convenience of an unsecured line of credit to manage urgent cash requirements, and repay in a few days or weeks when your customer payments start coming in.
Here’s how Razorpay Cash Advance can help your business:
1. Advance customer payments
With Razorpay Cash Advance, you can withdraw expected revenue before actual payments for urgent needs and pay from future settlements on the Razorpay Payment Gateway; virtually getting you your payment in advance. Furthermore, the money that you withdraw will be settled directly into your bank account, which can be used for ATM withdrawals or any debit card/net banking payments.
2. Improve your business credit score
Small businesses without a strong credit score can benefit from starting with Razorpay Cash Advance. Just ensure that you continue to utilise the credit line on a regular basis and make your payments on time, and you will likely see your credit score improve. Also, you have the advantage of boosting your businesses’ creditworthiness in the eyes of lenders, which will help you get a higher line of credit and working capital in future.
3. Pay for regular supply of inventory or materials
Some businesses have to invest in their business long before they get paid. For example, if you’re a manufacturer, you have to buy raw materials to make your products and pay your employees to make them. However, the entire process from making your products, selling them, shipping them and then getting paid could take months. Razorpay Cash Advance can provide quick funds so you can purchase what you need when you need it.
4. Tackle slow customer payments
Let’s face it: Some customers can be slow to pay. If you have clients who regularly take more than 30 days to pay you, Razorpay Cash Advance can be a godsend when that cheque that’s “in the mail” doesn’t show up… again.
5. Get financial flexibility
Once Razorpay Cash Advance is enabled, you don’t need to apply for approval every time your borrow funds. Just request the money, and you will have it within seconds.
6. Get the security of a financial cushion
Sometimes, cash flow problems arise when we least expect it. If that happens to you, having access to a line of credit can make all the difference. Also, if you never use your line of credit, no worries. Having access to Razorpay Cash Advance doesn’t include any account maintenance charges. If you need it, you’ve got it. Essentially, there’s nothing to lose.
7. Say no to collateral
Unlike secured business loans provided by banks and other financial institutions, Razorpay Cash Advance doesn’t require you to put up any collateral to access funds. So, even if you don’t like the idea of putting your possessions on the line, Razorpay Cash Advance, an unsecured line of credit, could be the solution you’re looking for.
8. Pay on your use
With Razorpay Cash Advance, you only pay interest on the amount you withdraw and when you withdraw. There are no hidden charges. For example, if your credit limit is INR 1,00,000 and you withdraw INR 10,000, you pay interest only on the amount withdrawn.
Key takeaway
There you have it. Our 8-step guide to using Razorpay Cash Advance to grow your business.
If you wish to apply for this line-of-credit facility, Razorpay will approve your application in under 3 days so that you can borrow money instantly in future whenever you need it at a nominal fee. Once Cash Advance is enabled for you based on your past customer transactions, you can withdraw money, repay and borrow again from the approved credit limit.
Don’t run out of cash and don’t stop growing! Access Razorpay Cash Advance and enjoy uninterrupted growth.
