How to get Leads for MCA
Whatever your business may be, you need some marketing initiatives to let your target customers know about your product and services. Initiatives can include advertisements, events, and promotions. Additionally, your companies also turn to lead generators to secure potential leads to whom they can introduce their offers.
Leads are also very famous in the merchant cash advance (MCA) industry. With the growing demand from small businesses seeking immediate funding, many MCA lenders also increased. As the industry skyrockets in popularity, the competition to get more MCA borrowers also grows. Hence, lenders need to find ways to get more businesses to get funding from them. This is where MCA leads play a significant role.
What is an MCA
Small businesses turn to merchant cash advances when cash gets tight. Suppose a company opts to expand its operations without affecting the cash flow; they can turn to merchant cash advances. Since these types of funding do not need any collateral and are easier to qualify, new and small businesses can maximize using them. Furthermore, they can also use the fund however they want to. It could be for expansion, equipment purchases, or funding fixed expenses like payroll, rent, and electricity bills.
In general, MCAs are not loans, primarily because lenders do not usually impose a specific amount of money to be paid regularly. Additionally, borrowers only had to use a portion of the credit card sales to pay off the amount lent.
How does it work?
An MCA lender can approve your application for a certain amount of funding and provide a cash lump sum. Lenders will then implement a specific percentage from the borrower’s credit or debit card sales, serving as repayments. Quick funding from MCA also means easy application and approval within one business day. In some cases, lenders approve MCA requests in a day or two. Additionally, various MCA providers are offering online applications to lenders, making it easier and faster.
Unlike a traditional loan, borrowers do not need to have several years operating a company to qualify. While a longer business running history and good credit score can be beneficial, a shorter operating history and poor credit record will not necessarily preclude borrowers.
What is an MCA lead?
MCA leads are one of the more effective ways to reach out to merchant prospects. This claim, however, will depend on how leads are generated and how lenders approach these leads. A quality and reliable MCA lead means great conversions for lenders. Converted leads will provide better revenue and sales ratio in the long run.
Sure, lenders get good leads from lead providers. However, these leads were not extracted from anywhere; they went through a comprehensive process to collate all the most qualified prospects. Once these leads go to the business’s sales funnel, lenders can now discuss MCA options and offer and eventually turn them into paying clients.
Kinds of MCA leads
To be familiar with what leads are appropriate for lenders, one needs to know the different types of MCA leads. Since purchasing leads also means investing money, you need to ensure you get the most suitable kind for your business.
Fresh leads
When you purchase fresh MCA leads, most providers offer a list of actual merchants who recently applied for funding. They can be as recent as ten days to a month. These leads have precise information on merchants, including loan details, business names, and contact information used during the screening process. Additionally, these are real-time leads offering quick strategy development for lenders in reaching out to prospects.
Live transfer leads
Instead of getting leads in one file and reaching out to them one by one, a live transfer lead follows a much quicker process, ensuring a much higher probability of conversion. In most cases, the lead providers will contact these leads, prequalify them, and make a three-way conference call with the lender once the prospects are ready to purchase an MCA funding. The process on how to get leads for MCA with live transfer leads allows each participant real-time feedback from lenders and prospects.
Aged leads
MCA aged leads are more affordable than other lead types. Generally, these leads are several weeks or a few months old. They were either leads that declined to purchase MCA for the time being or those who have failed to get back to lenders for further MCA service discussions. Despite their limitations, aged leads are still suitable for most lenders because they can get thousands of leads. Lenders have to do the hard work of reaching out to them individually.
Web leads
From the name itself, MCA web leads are collated from merchants searching for funding online. In general, these leads filled out forms and asked lenders to contact them for MCA offers and services discussions. Most lead providers assess the quality of these leads based on loan purpose, time in business, amount requested, and revenue. MasterMCA’s web leads undergo an exclusive transmission process using more than sixty financial network portals. Additionally, MasterMCA also offers customizations of data integration, submission criteria, forms, and API into various marketing platforms and channels.
Why are MCA leads important?
MCA leads are excellent ways to boost sales and revenue of MCA lenders and companies. Besides providing higher sales for companies, here are some of the key benefits when purchasing MCA leads.
Updated leads database
Since merchants are looking for funding daily, most providers regularly update their MCA leads database. They ensure that all the information on potential merchants is recent, which will result in fresh leads for lenders. Also, companies remove unnecessary leads to prevent any confusion on the list.
Updated contact details
MCA leads are more than just business names and contact numbers. In most cases, besides name and phone numbers, leads will also contain email addresses, addresses, and business IDs.
Cost-effective and time-efficient
Managing a business can be a handful as it is. Juggling the daily operation with marketing can take its toll on business owners, eventually affecting the business’s growth. This is why most lenders turn to MCA leads providers to help find ways on how to get leads for MCA. Partnering with a lead provider will ease the burden of lenders in finding quality leads.
How to get leads for MCA?
With how big the MCA and marketing industry is, there are countless ways to get leads for MCA. Either you or your company does it or hires some lead providers for you; here are some common ways to secure quality leads.
Email marketing
You might receive emails from companies and individuals introducing their products and services. It’s one of the ways to do email marketing. This is one of the most popular approaches companies use to get leads. In most cases, you can inform merchants of your company’s new loan offers and other options. For most cases, there is already a template as to the structure of the email. Through this marketing initiative, lenders might be able to secure a reply from interested merchants.
Cold calling
The process of cold calling involves agents and specialists making outbound calls to potential merchants, asking if they need immediate funding. It is cost-effective, efficient, and straightforward for lenders to secure MCA leads. In most cases, cold calling is a telemarketing approach. However, some lenders do door-to-door and in-person visits. Lenders find this more effective with the rising competition in terms of the number of calls made.
Making a brand name
Establishing a brand name for your company can be another way on how to get leads for MCA. With this, you can be on par with the tough competition and eventually make a name for your business. Of course, there needs to be more research on how you want to brand your company. As the company’s brand reaches a more extensive market, more people will know the products and services. Consequently, it will attract potential merchants seeking immediate funding. From there, it will be easier to secure MCA leads. Also, some lenders use word of mouth, while others use social media to promote their brands and get leads.
Search Engine Optimization (SEO)
Companies use SEO to improve website performance and increase visibility every time people search for services and products. With MCAs, you can optimize your website by creating content that includes some of the most-searched words when talking about merchant cash advances. Investing in SEO is ideal today since almost everyone utilizes the internet every day.
Social media advertising
Having a social media account for your brand is not enough. You need to create an attractive profile and create engagements regularly. The social media page also has to be organized with general ideas about your products. With this, page visitors can immediately know your offers and other services. You can open pages using social media platforms like Twitter, Facebook, Linkedin, Instagram, Reddit, Pinterest, etc.
Create engaging video content
One of the leading drivers for potential customers is video content. It has made a significant difference on the internet over the past years that it has become an excellent marketing strategy. Lenders can straightforwardly create content with ideas related to the MCA business from animated videos, infographics, and just plain videos. Your company uploads video on the internet, specifically on social media platforms that allow video uploading. Also, YouTube is a very popular medium for hosting any video content.
How do providers process lead generation?
Most MCA lead providers conduct a lead generation process. This ensures that all leads will convert to cash when sent to the sales funnel. While there may be various ways generators do it, here are three Cs that summarize the process.
Collection
Almost all lead generators will need to collate all the necessary data to develop a quality lead database. They must ensure that all the required information involving business owners and merchants is recent and factual. In most cases, companies also validate background and profile through research and cross-checking. This process can guarantee an updated database where unwanted information about leads is removed.
Communication
What’s the use of MCA leads without adequately using them. There has to be a proper way of approaching each lead gathered. While there might be a qualification process from lead providers from leads to lenders, MCA companies still need to assess the lead’s qualifications. However, lenders can’t just grant businesses cash advances randomly. The approach has to be confident, persuasive, knowledgeable, and well-mannered. More importantly, lenders need to ask the right questions so they can provide funding solutions for these leads.
Conversion
Leads will remain to be leads if they are not properly marketed. In some cases, conversion happens in just one call or conversation. In other cases, lenders need to follow up on the leads if they need cash advances. Follow-ups usually happen when leads currently do not need funding but might need MCAs in the future.
FAQs
What is the cost of MCA leads?
Some MCA leads can be more expensive than others. This will largely depend on the lead provider and the type of leads you will purchase. In most cases, MCA aged leads are more affordable than other kinds.
What is the best way to get leads for MCA?
There is not one specific process to get quality leads. Social media can be an excellent channel to secure leads, especially for newer businesses. It will depend on various factors like the business’s budget and preferences. Younger and small companies might be able to afford more expensive MCA leads.
How effective are MCA leads?
MCA leads are generated by specialists and experts. These leads practically went through a series of screening and pre-qualification processes before going to the lender’s sales funnel. With this, companies can ensure that what’s in their sales funnel has a higher probability of conversion. While it may not apply to all lenders, MCA leads are proven to boost sales and revenue, mainly if they are used strategically.
