Nonprofit Credit Card Processing and a Line of Credit Go Hand in Hand
In nonprofits, smart planning and good leadership go hand in hand. When leading your nonprofit organization, you should know that nonprofit credit card processing and a line of credit also go hand in hand.
The Basics of Nonprofit Credit Card Processing
There is a general misconception that nonprofit organizations have it easy. You print up a fancy brochure and the checks start rolling in.
The truth is that nonprofits must work hard to engage donors, manage government loans and grants and keep up with the times. More and more, you may be finding nonprofit credit card processing to be an essential part of your business.
With the popularity of online giving and trying to make it as easy as possible for donors to give, nonprofit credit card processing is necessary. Some companies offer these services specifically for nonprofits. The downside is that they mostly work with large nonprofits receiving millions of dollars per year, leaving smaller nonprofits lost in the shuffle.
You can sign up for a merchant account with many banks or credit card companies. This will help you get the funds into your account quicker.
However, you will still face the same mountain of paperwork and credit checks as any other business. Unfortunately, most banks have strict criteria that a majority of not for profits just can’t meet. There is also typically a complicated fee structure. You could also be dealing with a lender who is not accustomed to the unique circumstances of working with a nonprofit.
Where Can You Turn for a Nonprofit Line of Credit?
Many nonprofits today are looking for faster ways to bring in funds. Accepting credit cards is a good first step. Another good idea is setting up a line of credit which allows your nonprofit to even out its cash flow even when funding is delayed. In this way, you will have the cash you need to start programs on time, make payroll and handle emergencies.
The best place to go for a nonprofit line of credit is a business cash advance company, like Financing Solutions (www.financingsolutionsnow.com). This is like having a drawer full of cash that you can withdraw from when necessary.
Financing Solutions is a leader in providing nonprofit funding. They work with nonprofits all the time, they know what you need and they work to make things easy for you. For example, their line of credit product costs you nothing until you actually use the money. There is no fee to put it in place and it stays available for up to 12 months.
What Every Nonprofit Should Keep on Hand
Good records — this is how you demonstrate that you are following IRS rules governing nonprofit fundraising and makes it easier to complete your 990 forms. Records also help you monitor what’s working and what’s not.
A tech savvy employee — technology mishaps and malfunctions occur all the time but you don’t want this to disrupt your programming and fundraising activities. Always have someone who can address these issues so you don’t have to find outside help.
Cash reserves — nonprofit working capital is vital to help your organization thrive. A line of credit from Financing Solutions could be the lifeline you need for improved success.
If your nonprofit would like a line of credit that you can use when cash flow is down please visit www.fscreditline.com/np to learn more, to apply and to receive a written offer. A Line of Credit for your nonprofit costs zero to set up and zero until you use it, making it an excellent backup plan.