Lending & Finance


12 07 2016

12 07 2016

How is the Minimum Wage Affecting your Business?

The minimum wage fight is in full swing around the U.S.

Most recently, Maine, Colorado, Arizona and Washington voters approved minimum wage increases in November that will bring their states’ minimum wages to $12 or higher by 2020. But they are far from the first states to take action on this controversial issue.

States and and cities across the country have passed minimum wage laws for several years now. Right now, 29 states and Washington D.C. have minimum wages higher than the federal level of $7.25, according to the National Conference of State Legislators. Five states have not adopted state minimum wages, which means they rely on the federal level, the source noted. Additionally, many cities – including San Francisco, Seattle, New York City and Chicago – have passed minimum wages higher than their state’s level.

Proponents of minimum wage increases say raises will benefit workers, and businesses will see a bump in sales as people begin to earn more money. A national “Fight for $15” movement – which calls for a federal minimum wage of $15 an hour – coordinated protests in 340 cities across the country Nov. 29 to fight against low wages, according to The Guardian. But not everyone is sold on the idea of a higher minimum wage.

Many business advocates decry efforts to raise the minimum wage because they say small businesses will suffer from the increased cost of labor. Some opposed to minimum wage increases point out that employers must take on more than higher wages when the minimum wage is increased. Business owners also have to pay a higher share of payroll taxes and 401k match plans in some instances, Forbes reported.

How can businesses adapt?

For business owners who operate in a city or state where the minimum wage is increasing, they need to carefully consider how they are going to handle the raise. One of the most common solutions is for entrepreneurs to cut jobs or reduce hours for part-time employees. Business owners can also consider raising their prices to cover the increase in expenses. Lastly, they can examine their budgets to see if they can cut back in other areas to compensate for the increase in labor costs.

Small business financing from an alternative lender is an easy solution for business owners who need more time to figure out how to deal with the minimum wage. Small business owners don’t need to worry about having a perfect credit score, and they can receive the money they need to run their businesses in as little as one day. Having more cash on hand will alleviate some of the pressure of adjusting to the wage hike until entrepreneurs can come up with a long-term plan.

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Any applications submitted electronically shall have the same force and effect as if the application bore an inked original signature(s). The above information, together with any accompanying financial statements, schedules, or other materials, is submitted for the purpose of obtaining credit and is warranted to be true, correct, and complete.


US Patriot Act:

To help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each person and business that seeks a business loan. What this means for you: When you apply for a loan, we will ask for your business name, address, and Tax Identification Number. We will also ask for your name, address, date of birth, and other information that will allow us to identify you. We may also ask to see your driver’s license or other identifying documents.


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The Merchant and Owner(s)/Officer(s) identified in the application (individually, an “Applicant”) each represents, acknowledges and agrees that (1) all information and documents provided to National Funding, Inc. (“NF”) including credit card processor statements are true, accurate and complete, (2) Applicant will immediately notify NF of any change in such information or financial condition, (3) Applicant authorizes NF to disclose all information and documents that NF may obtain including credit reports to other persons or entities (collectively, “Assignees”) that may be involved with or acquire commercial loans having daily repayment features and/or Merchant Cash Advance transactions, including without limitation the application therefor (collectively, “Transactions”) and each Assignee is authorized to use such information and documents, and share such information and documents with other Assignees, in connection with potential Transactions, (4) each Assignee will rely upon the accuracy and completeness of such information and documents, (5) NF, Assignees, and each of their representatives, successors, assigns and designees (collectively, “Recipients”) are authorized to request and receive any investigative reports, credit reports, statements from creditors or financial institutions, verification of information, or any other information that a Recipient deems necessary, (6) Applicant waives and releases any claims against Recipients and any information-providers arising from any act or omission relating to the requesting, receiving or release of information, and (7) each Owner/Officer represents that he or she is authorized to sign this form on behalf of Merchant.(8) I consent to receive direct mail, faxes, text-messages, and e-mails sent by National Funding and its affiliates for the purposes of transmitting account updates, requests for information and notices, and (9) this request is for business and not for consumer purposes.


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I hereby certify: (1) the information provided is true and correct, (2) you are hereby authorized to investigate all bank, credit, and trade references, and said references are hereby authorized to release any requested information to you or your nominee, (3) such authorization shall extend to obtaining personal credit profile in considering this application and subsequently for the purposes of update, renewal or extension of such credit or additional credit and for reviewing or collecting the resulting account, (4) this information may be transmitted by us to you and by you to underwriter(s) for the purpose of granting me credit, either electronically or manually, and that by submitting this application, I take full responsibility for transmission thereof, (5) I am over 18 years of age, (6) I acknowledge my rights under the Fair Credit Reporting Act, (7) I consent to receive direct mail, faxes, text-messages, and e-mails sent by National Funding and its affiliates for the purposes of transmitting account updates, requests for information and notices, and (8) this request is for business and not for consumer purposes.


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The Federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status or age (provided the applicant has the capacity to enter into the binding contract); because all or part of the applicant’s income derives from any public assistance program; or because the applicant has in good faith exercised any right under the Consumer Credit Protection Act. If for any reason your application for business credit is denied, you have the right to a written statement of the specific reasons for the denial. To obtain the statement, please write to National Funding Inc., 9820 Towne Centre Drive, San Diego, California 92121. Funding amount and credit approval is subject to a full credit profile review.