Also known as credit-card-receivable funding, this program gives you access to working capital without the headaches of a bank loan.

The program works by you selling us a fixed dollar amount of your future sales at a discount. Through an automated process, a fixed amount from each sale is collected, and automatically routed by the credit-card-processing company to the advancer, until the amount under the agreement is paid off.

Franchises need to be in business at least 4 months, and amounts can vary from $2,500 to $150,000 per location (up to a total of $1 million).

The benefits include:

The upside for franchisees who sell mostly through credit cards, is that you receive your money quickly (generally in less than 14 days), don't have to put up collateral and don't have to pay late or application fees.

The downside is that it's very expensive money (+20%). This type of financing is often the last resort for businesses that can't get access to a bank loan.