What is Cash Discounting?

The Cash Discount Program is a way for the merchant to offset some or all of their current merchant service fees.
It is a method of implementing a service fee to all customers (typically between 3.5% and 4%), while giving a discount to those who pay with cash.

Therefore their posted rates now become the “Cash Price” rate for those who pay with cash. Those customers who pay with cash avoid the service fee.

It is our proprietary technology that allows this to happen and keeps the merchant within the guidelines of Visa, Mastercard, and processor regulations.

Customer Financing Basics

The Problem:

When the merchant’s customer wants to buy an item in a store that they can not afford with cash, they will pay using the credit card or simply leave without making a purchase. In addition to a lack of disposable income, there are other bills to pay and contingencies to consider.

Lenders also will not accept all businesses; depending on what you sell, your sales volume, and ticket size. Some lenders will even pull the merchant’s personal credit in making a decision. Certain lenders will not accept all consumers, from the standpoint of credit. Most are very specific on the type of borrower they are interested in.

What we do:

We offer the most competitive consumer financing program to your merchants, so they can capture ALL of their sales without turning away any new customers and increase profits.

What is Customer Financing?

Customer financing is an arrangement where a financing provider either loans a customer the amount they need to cover their purchase or pays for it on their behalf. The customer then makes payments over time to that provider until their debt has been paid in full or the terms of their agreement have been satisfied.

What makes us different:

We have a platform with 25 different lenders ready to finance the merchant’s customers. We provide the Merchant with a customized loan page and loan application link as well as a custom branded customer portal, where clients can apply for financing. We also provide a back end for merchants to track all of their activities.

Customer Financing Sales

With smpl’s Buy Now, Pay Later program, your merchants will be able to increase their sales AND profits without having to change their business model. The customer can fill a quick application, and literally within seconds, we send the application to all 25 lenders, and get them pre-approvals immediately.

The merchant gets paid up front, and the client gets to choose to pay back in 3 months, 12 months or up to 60 months.

All your merchant has to do is submit their application, and within 24-48 hours they will be able to offer financing using a branded custom portal.

How you get paid:

Help merchants make more sales. Get paid. Whenever your merchant loses a client, that is a sale that would have made you income. Now you can help your merchants maximize their profits, while you earn.

For every sale, you’ll be rewarded:

Closing bonus (If merchant qualifies) Residual income For every sale that is financed, you receive a portion of the total funded amount.

Customer Financing Rebuttals

Why do Merchants need financing?

Consumers are used to buying on credit and expect a financing option for large-ticket items. Having a convenient financing plan in place allows you to be in control of the financial end of the sale. You don’t have to wait for a customer to “shop their bank” or “get their tax refund”. Making financing a seamless part of the sales process allows Merchants to close more sales more quickly.

My Merchants aren’t getting requests to finance.

Perhaps they aren’t… in many cases, consumers are pre-screening for businesses that offer financing if they know they lack the funds or simply want to use other people’s money. So unfortunately, if you’re not offering financing you’re missing out. Also, often people won’t tell you that the reason they can’t buy is that they don’t have the money. It could be embarrassing. Financing gives you another chance to make the sale.

The Merchant’s profit margin is too small

That’s not a problem… we will teach you how to build the small cost of the financing into your sale. Financing a customer doesn’t have to mean the Merchants make less money

My Merchant won’t pay the signup fee

I wish we didn’t have to charge any fee at all. Keep in mind that a great deal went into building this platform and maintaining it. We have more lenders than any other platform that I'm aware of. We also service every application that comes in to give you the best chance for success. You won’t find another platform as robust as ours, and we provide ourselves on having the best customer support in the industry .

PRICE IS IMPORTANT AND THAT IS WHY WE NEED TO LOOK AT THIS AS AN INVESTMENT INSTEAD OF A COST. YOUR R.O.I. (RETURN ON INVESTMENT) ON THIS PURCHASE IS VERY ATTRACTIVE. IF WE ONLY APPROVE ONE DEAL THE WHOLE YEAR IT WILL MORE THAN JUSTIFY THE COST OF THE PROGRAM.

Customer Financing FAQ

How does the Merchant get approvals/credit decisions?

If you are with your customer, you will find out instantly. If not, you will be notified through our back office CRM. Each application is posted as well as the result of the application.

When will my Merchants get their money?

Depending on the diligence of the applicant, loans generally fund in one to three days. keep in mind that our approvals are preapprovals and could be subject to other nominal documentation. We will work with the customers to assure that is done as quickly as possible. Once the loan is funded to the applicant, they will pay the Merchant. We suggest that the Merchant collect a deposit at time of approval which will lock in your customer and they pay the balance upon funding.

What is a Discount or “Buy Down”?

We charge the Merchant 0% to 3.9 % (depending on financing plan) of the funding amount or the invoice amount, whichever is less. We only charge Merchants AFTER funding occurs and they get paid. We have an invoicing system to help them close the sale and finalize your numbers. It proves to be an excellent tool.

Is there any recourse to the Merchant?

There is no recourse to you what-so-ever. If loans go bad after they have been approved, they are completely the responsibility of the finance company, with no “charge-backs” to the Merchant.

What is the advantage of your program?

Our program is the most aggressive in the industry. There are lenders out there that can help your customers, but we have many lenders that will approve all kinds of customers. Our process is quick and easy and very comprehensive. Our clients that use it tend to love it. We will do everything in our power to help you succeed with it. after all, that’s how we make our real money.

Is it complicated?

No, we have made this really easy to use. Once your Merchant signs up with us,they will get access to our client resources. That will contain more than they will need to get going. In addition, they will have an orientation with our support team. They will go over the program in details. really, there is no reason that your Merchant couldn’t start using the program the same day they are set up.

Are they locked in?

No, we have no long-term commitments or cancellation fees. The Merchant can cancel any time if the program is not a good fit. We’ll do everything we can to assure it doesn’t come to that.

Does it hurt the customer to submit an application? No it doesn’t. All of our lenders do soft credit pulls. That means there is no inquiries on their credit report.

Merchant Cash Advance FAQs

What is the interest rate on the money?

We are not a bank and this is not a loan. We offer up-front capital in exchange for the right to purchase your future credit card receivables. The cost is typically 10-30 cents for every dollar you sell to us.

What is the term of the money?

There is no fixed payback schedule. We take a percentage of your future credit card sales until we are paid back. If your sales slow down, our payback slows down.
Note: The payback flexibility a big selling point especially in a challenging economy

What percentage is usually taken?

The percentage varies based on how much you want to be advanced compared to your monthly sales. It's typically between 10-20%. Our goal is to help you grow your business and to not interrupt or hurt your overall cash-flow.

How much do I qualify for?

You will typically qualify for up to one month's worth of your credit card sales volume or 100% of your monthly volume. Perhaps a little more or less depending on your overall gross sales and cashflow.

What if I have bad credit?

Personal credit is just one factor we take into consideration. We have helped many business owners with poor credit. We are an alternate source of financing than a bank.

What if I want to pay it off early?

There is no prepayment penalty.

How long does it take to receive funds?

As part of our underwriting process, we need to perform a verification, a decision can be made within 1-2 business days.

Are there any application fees?

There are no fees to apply for the program. There is no fee in having underwriting review your file and provide you with options.

What are the requirements?

You must process at least $5,000/month in credit card sales for at least 60 days, be current with your landlord, you cannot have any open bankruptcies in the last 12 months and no tax liens.

What happens if I want more money after the original advance?

We actually can review your account for another round of financing once you pay-back 50-60% of your advance.

*Note: The renewal opportunity should always be used as a selling point, especially if the merchant is looking for more money than they qualify for. Remind them about the ability to get more capital after they pay back 50-60% of their Original Advance!

Business Funding Basics

The Problem:

Merchants have had an incredibly difficult 2019-2022. Most have had to use their savings and rely on government programs to stay afloat during the pandemic. Due to being closed, low sales, and difficulties most merchants can’t get traditional loans from their banks to cover costs.

What we do:

At smpl we connect the merchants with the most competitive lenders who will fund them with operating capital in 1-3 days based on their custom needs.

What makes us different:

Our office allows the merchant to receive a loan without physical collateral. The merchant repays their loan using a portion of their credit card sales.

What is a Cash Advance?
(and how does it differ from a Bank Loan)

Cash Advances are like a loan, in the sense that the Lender agrees to give a Merchant a certain amount of money up front with the promise of repayment at a future date.

That much remains the same between the two.

The difference lies in how the repayment is made.

In a Cash Advance, a company pays back a percentage of their credit card sales to cover the forwarded sum –– usually after a day or week of business.

This means that a business is only charged when they earn money.

Because business revenue can vary day-by-day, week-by-week, this means that payments on a Cash Advance will vary also.

Lean times will yield smaller payments, while successful months will in turn produce a higher payment.

Therefore, with a Cash Advance merchants never have to pay more than they can afford.

Rather than requiring a fixed payment amount at the end of the month, a Cash Advance will instead take an agreed upon portion of credit card sales.

Thereby affording unmatched flexibility to a merchant's payment schedule.