The busy-season trap
The pattern is common in places where sales swing with visitors. An owner takes an advance in a strong stretch, with deposits high and the daily pull looking small by comparison. Then the season turns and deposits fall while the pull stays put. San Diego is known for its mild Mediterranean climate, extensive beaches and parks, and its economy is led by defense and military activity, tourism, international trade, research and manufacturing. Tourism-facing businesses, such as cafes, tour operators, rental shops and small hotels, know the swing well.
This page is for owners who already hold one or more advances. For a first advance see San Diego merchant cash advance.
Run the season through the payment
| Period | Weekly deposits | Weekly advance payments | Share taken |
|---|---|---|---|
| Busy weeks | $18,000 | $3,000 | 17% |
| Shoulder weeks | $11,000 | $3,000 | 27% |
| Slow weeks | $6,500 | $3,000 | 46% |
These figures are invented for illustration and are not our terms. The point is that the same payment is nearly three times heavier in a slow week. If the owner adds a second advance to cover the slow weeks, the share in those weeks can pass half of deposits.
What relief means
MCA relief is aimed at easing the payment burden of advances you already hold, so the business can run at a normal pace. What it looks like for you depends on your statements and your list of advances, so we do not quote an outcome. It is not a promise of a particular reduction. It does not fix a business that is no longer viable, but when the business is healthy and the payment shape is wrong, it is worth exploring. Do not stop any payment on your own.
Signs it is time to look at your advances
- You compare daily balances before deciding whether to order stock.
- You took one advance to make the payments on another.
- A slow week now means a missed bill, where it used to mean only a quiet week.
Any one of these is a prompt to lay your statements and your advance list side by side. The earlier you do that, the more options you have, and the less likely a third advance will look like the only choice.
What to prepare
- About three months of business bank statements.
- A list of each advance, the payment schedule and the approximate balance.
- Your weekly deposits for the slowest and busiest weeks in the last year, if you have them.
We consider FICO scores of 500 and above, do not require tax returns and use a soft credit pull on a five-minute application. Funding runs from $25,000 to $5,000,000 and sole proprietors can apply. You can also compare working capital and revenue-based financing, or apply.