Monisha Wamankar

3 Reasons Why Commission Advances Are Essential Are you a real estate agent or a mortgage broker who is looking for an easy way to finance your busiess with quick cash? Has the wait of cash from commission earned, increased your trouble? Don’t Worry! Commision Advances are here for your rescue! The volatility in Real estate agency and mortgage brokage seem to be ingrained in them as a permanent characteristic. No establishment that offers business finance and loans would entertain these agents and brokers. Commisions are the only source of money for them and it holds a lot of importance since the money which is received goes in financing the business. Now the question arises- “Why should you wait until the closing to get paid your commission?” Commission Advances have acted as a boon to people who run such agencies. A Commission Advance is a Financial Transaction, where a Real Estate agent or a mortgage broker sells a portion of their pending commission at a discount, in exchange for immediate cash. It is not a loan but a service that allows monetizing a transaction without waiting until closing. There are significant benefits of Commission Advance because of which it becomes highly essential. Given below are three reasons listed which will convey you the immense importance of Commission Advances. 1. It helps in overcoming the financial constraints Agents and brokers have no other choice but to use their own resources on facing such apathy from traditional financing resources. Some might use their credit cards and other may go for friends and relatives to get some help. These ways cannot substitute the need for structured financing. Credit card rates are too high and one has a limit of the family circle. Moreover, you cannot keep going to people, again and again, asking for money just to run your business. There are significant gaps between successive commissions and the time it takes for the commission payment to cash out. This strains the cash flow. Commision advances help you overcome these hurdles in the path of your business and assist in accelerating the pace of the growth of your business. Agents and brokers do not have to worry for completion of deals to enjoy the cash. Brokers just have to present the documents of the deal to the advance commissions company and walk away with a major part of the commission. You can make timely tax payments and improve the cash flow of business that is essential for its smooth running. 2. You do not have to worry about financing your business anymore Money spent in Marketing proves to be the agents’ and the brokers' greatest ROI. How would you finance this expenditure when the date of the commision payment to cash out is too far from now? The solution is through Commission Advances. Commision Advances allow you to convert your future receivables into cash today. An early access to your commission is a cash flow service that helps you to focus more on building your business. Alternatives such as credit card advance or loans are more time consuming or more expensive. With Commission Advance you can have commission advanced at low cost and within 24 hours! Commission Advance can benefit fund marketing and advertising efforts for other projects. It also helps in reducing other business debts. Thus you can invest and grow your business without having to wait until your sales close. 3. Commission advance is the best short-term funding option At one point or the other, a business will need a quick infusion of funding. If you have been caught in a cash crunch, or hit by an unanticipated bill, or need money for completing a deal than Commission Advances will be the right choice for you. Its prime advantage is Speed. The deal is safe and it yields results within a day. You do not have to worry about stolen details of your credit cards or exposure to your demand for money to third parties. The relationships you make with the Commission Advanced companies is confidential and private. It can help you to stay away from debt and avoid the problems associated with debt repayment plans. Commission advance is a big time saver since you can save the time that probably you would have otherwise wasted, waiting for your commissions to get mature. Coupled with all the above factors Commission Advances makes the best short-term funding option. Final Thoughts There are many companies who have come forward to help the Realtors and brokers with financing. In exchange for the services, these companies charge a small fee that seems almost negligible if we take into account the convenience that the brokers enjoy by availing ready cash. The Internet is the best way to find such companies and fetch the details about the terms of details and fees. All agents and brokers who run a legitimate business and possess a license are eligible to reap the benefits of Commission advances. Brokers who have higher selling capabilities get more advanced in comparison to those with smaller transaction volumes. Commission Advances have come as a great relaxation to owners of these agencies. It has made them more carefree and allowed them to parallelly concentrate on other stuff and not just ponder on what all will be possible after the maturity date. Commision advances have proved to be of vital importance since they have emerged as a simple, cost-effective and speedy instrument of receiving immediate cash and overcome a lot of hurdles for a smooth walk.