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5 Ways To Market Your Small Business On A Budget

5 Ways To Market Your Small Business On A Budget

19
Aug 2021
12
May 2026

Marketing is one of the aspects of your business that takes a lot of your revenue. Business owners are sort of blackmailed into spending too much cash just because they have to outweigh their competitors and sort of 'steal' customers away from them. That's how the world of business works. However, a small business is already short on funds, and they can't pour that much money into marketing without affecting operational costs. If you find yourself in a situation where you need to up your marketing game but don't have the funds to do so, you're at just the right place. Here are five things you need to know about marketing small businesses on a budget.

1.   Stay Active on Social Media

Social media is one of the best forms of marketing that you have, and it's totally free. A lot of businesses look at social media as a tool just for outreach. It's a lot more than a way just to communicate with your audience. Social media provides your business with access to millions of people all over the world. The best part is that it doesn't matter what kind of business you have. You'll find tons of customers through social media.

2.   Focus on Loyal Customers

Finding new customers is something that every business has to do to survive. You have to scale your business to grow substantially, and that can only happen when you have new customers. However, in an effort to obtain them, companies often overlook their current loyal customers. We consider that a huge opportunity being missed. You can offer rewards, dedicated customer support, and discounts to ensure that these people stay interested.

3.   Think of Local Communities

Many businesses can take advantage of their local communities for growth and brand recognition. The best part is that you can advertise your business at some charity events, major gatherings, fairs, etc.

4.   Reward Programs

Your current customers can be a gateway to obtaining brand-new clients as well. Reward programs are an amazing incentive that encourages people to recommend your company or service to their friends and family. Word of mouth drives an average of $6 trillion in revenue for businesses globally. That's more than enough incentive you need to start a rewards program.

5.   Merchant Cash Advance

If you're planning to ramp up your marketing efforts but don't necessarily have the budget on-hand to make it happen, there are many financial organizations in the market that provide merchant cash advances. These MCAs are a lot different as compared to standard business loans. Instead of having to pay the money back in a lump sum, you’ll be returning the money through a percentage of your profits.

Closing Thoughts

Marketing does work, especially when it's carried out effectively and with consistency. Many will argue that it's one of the most profitable and, if you can’t seem to get your marketing done on a budget, 2M7 financial solutions is here to help you. We offer merchant cash advance to businesses in Canada. So, if you need some extra cash to fund your marketing campaigns, give us a call today to learn more.

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Understanding Small Business Loans

What is a small business loan?

Generally speaking, a business loan is borrowed by a business owner or a company in order to finance and manage its operations including, but not limited to, purchasing equipment or inventory, investing in expansion, hiring new employees, and more. A business loan has terms and conditions directing how and where the money can be used, what the interest rate is, and what would be the repayment schedule. Every financial institution has its own criteria and requirements for lending and offering the best business cash advance loans; each will assess your credit rating differently in order to estimate how risky it is to lend you money and will offer you several lending options.  A small business loan is fundamentally the same, where the money borrowed for small business needs to be used to purchase equipment or hire employees. For entrepreneurs who are looking to get their venture off the ground, the small business start-up loans are a great alternative. New business owners say that the biggest challenge in starting a business is to get financing. In this case, private lenders and government programs offer financing options to help out new businesses.  At the federal and provincial levels, Canada offers startups various financial aid programs within specific sectors and regions. For instance, the Business Development Bank of Canada (BDC) offers loans to entrepreneurs to set up a new business, build or renovate facilities, buy equipment, develop new products, expand into new markets, improve IT infrastructure, and even sell the business.

Getting approved for your business loan

In order to get approval for small business loans in Canada, the owner has to provide a business plan as well as have all their documents in order. Firstly, you should ask yourself the following questions which will help you with your loan application:

  • Why does your business need the money?
  • What is the right type of loan for you?
  • What type of lender should you approach?
  • Do you think you qualify? If unsure, how can you improve your situation?
  • Do you have all the documents required by the bank?

Financial institutions are reluctant to provide business loans unless there is sufficient security or collateral to guarantee the loan. Numbers show that less than 25% of small startup business loan applications are approved by major lenders. That is why private lenders have become such a practical financing option in the last decade. Unlike venture capital or angel investors, they do not require you to put up a percentage of your business. Moreover, it is easier to obtain a business loan from private lenders as they are more flexible with the loan terms. The paperwork is not as difficult and loans approvals happen faster than in major financial institutions.  Below are a few types of small business loans and financing options:

  1. Lines of credit
  2. Peer to peer (P2P) loans
  3. Merchant advances
  4. Investor loans
  5. Term loans
  6. Commercial Bank Loans
  7. Equipment Loans for Startup Businesses
  8. Online Invoice Financing
  9. Traditional Equity Financing
  10. Personal Loans

Types of startup business loans

Startup needs differ from established and even small business needs. Moreover, the startup most likely generates zero or negative revenue in the beginning. Entrepreneurs who are looking to borrow money for their business are usually asked for personal guarantees and collateral. This means that the business owner may put up his house or any other assets as collateral for the loan. That said, start-up business loans may not be the best option – especially if there are not enough assets available. As mentioned above, small business start-up loans from private lenders are better alternatives. Whether obtained through crowd-funding, private lenders, or the government, small loans can help a business owner pave the way for his business. Currently, equipment loans for startups are very popular. These are relatively small loan amounts, so the equipment that is purchased can be put up as security. Merchant cash advances and peer to peer funding can help small businesses with their cash flow and managing operations. Business lines of credit (LOC), sometimes called corporate credit loans, are like credit cards but for businesses. It is a revolving credit system, where the business owner can withdraw the amount of money they need, up to the credit limit allowed by the lender. The borrower only pays interest on the amount that is borrowed. A business LOC can help a small business owner meet its cash flow requirements and manage their debt effectively.

A merchant cash advance for start-up businesses

Known as a “business cash advance”, merchant cash advances work on different terms compared to traditional loans. Unlike bank loans, a merchant cash advance does not evaluate credit score. Small business owners can typically receive up to $300,000 startup business Cash advance, without having to offer security for the loan!Under a merchant cash advance, the business receives a lump sum of advanced cash with the condition that the lender will receive a percentage of your future sales. Therefore, the merchant cash advance is a simple and fast way of getting capital right away. A merchant cash advance for startup businesses is a great financing option, allowing flexibility in repayment. For instance, if your sales in one month are lower, then the repayment amount will be lower; similarly, if your business performs very well the next month, your loan repayment will be higher. The private lender also takes care of repayments, ensuring there are no delays in payments from your end. Most of them have agreements with major payment processors, so private lenders can set up repayments based on your daily sales received by credit cards, which eliminates any headache of repayments on your end.   For business borrowers who need the money as soon as possible, merchant cash advances are one of the fastest ways of getting cash flow. Once the business loan is approved the cash advance is directly deposited into your account within one or two days. If you think it might be a good solution for you, do not hesitate to get in touch with us.

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What Is a Merchant Cash Advance?

A Smarter Way for Canadian Small Businesses to Manage Cash Flow

Running a small business in Canada is one of the most rewarding things a person can do. It is also one of the most financially demanding. You have likely experienced the particular tension of knowing your business is performing well on paper while watching your bank account tell a different story. A major client is 60 days past due. A seasonal lull has arrived ahead of schedule. A supplier is offering a bulk discount that expires before your next revenue cycle closes.

This is the cash gap, and it has nothing to do with how well you run your business. It is simply the reality of operating in an economy built on delayed payments, unpredictable demand, and tight margins. For restaurant owners managing weekend rushes and mid-week lulls, for contractors waiting on draws from general contractors, for retailers carrying seasonal inventory before sales materialize, this gap is not a sign of failure. It is a structural challenge that every business owner eventually confronts.

The question is not whether the gap will appear. The question is what tool you reach for when it does.

Proactive Capital vs. Reactive Borrowing

There is a meaningful difference between borrowing out of desperation and borrowing as a deliberate business strategy. Most business owners have experienced the former: scrambling to cover payroll, negotiating with suppliers, or dipping into personal savings to keep operations moving. That kind of reactive borrowing is stressful, often expensive, and tends to happen at the worst possible time.

Proactive capital is different. It means having access to funds before the emergency arrives, using financing to take advantage of opportunities rather than to avoid collapse. It might look like purchasing inventory at a bulk discount, hiring a key employee ahead of a growth period, or bridging a gap between two large contracts so your team stays intact and your momentum stays strong.

This is where fast working capital becomes a genuine asset. When a business owner understands their financing options before they need them, they can move quickly and with confidence. They become the kind of operator who says yes to opportunity rather than the kind who watches it pass.

How a Merchant Cash Advance Actually Works

Most introductions to merchant cash advances cover the basics: a lender provides a lump sum of capital, and repayment comes through a percentage of your daily credit and debit card sales. That structure is accurate, but it undersells one of the most important features of this product.

An MCA functions as a fluctuating safety net. Because repayments are tied directly to your daily sales volume, your payment obligations contract automatically when business slows down. During a quiet January, a restaurant remits less. During a slow construction season, a contractor's burden eases. When volume picks back up, repayments adjust accordingly. There is no fixed monthly payment sitting on your books demanding the same amount whether you had a record week or a difficult one.

This is fundamentally different from a term loan, where a fixed payment comes out regardless of how business is going. For industries with natural revenue cycles, that rigidity can be genuinely dangerous. The flexible structure of merchant cash advances removes that rigidity, replacing it with a repayment rhythm that breathes alongside your business.

The approval process is also designed with the realities of small business in mind. Where a traditional bank will scrutinize years of financial statements, credit scores, and collateral, an MCA provider focuses on your actual sales history. Your revenue tells the story that matters.

Strategic Use Cases: When an MCA Makes the Most Sense

There are specific situations where a merchant cash advance is clearly the better tool compared to a conventional bank loan. Here are the scenarios where business owners consistently find it valuable:

  • Seasonal inventory purchasing, where a retailer needs capital in October to stock for December but won't see revenue for six to eight weeks.
  • Emergency equipment repair, when a piece of critical machinery fails and a multi-week bank approval process would mean lost contracts and idle staff.
  • Bridging large contract gaps, particularly in construction and trades, where work is completed in one period but payment arrives weeks or months later.
  • Capitalizing on a time-sensitive supplier discount that requires immediate payment and delivers significant long-term savings.
  • Hiring and onboarding ahead of a known busy season, so the business is staffed and ready rather than scrambling mid-rush.

In each of these cases, speed and flexibility matter more than the cost comparison to a conventional loan. The opportunity cost of waiting is higher than the cost of the capital itself.

How Industry-Specific Businesses Use This Tool

In construction, the cash flow problem is almost universal. Materials need to be purchased, subcontractors need to be paid, and equipment needs to be maintained long before a draw schedule releases the next tranche of project funding. A merchant cash advance bridges that gap without requiring the collateral or credit profile that banks demand. Especially for construction companies, this kind of flexible capital is often the difference between taking on the next contract and turning it down.

In retail and food service, the challenges are different but equally real. Inventory decisions get made months in advance. Staffing ramps up before revenue does. A single slow season can destabilize months of careful planning. Having a capital partner who understands these cycles, and whose product is structured to accommodate them, changes how a business owner approaches their planning.

A Partnership Built for Resilience

2M7 is not simply a transaction. The goal is to function as a genuine partner in the financial health of your business, providing tools that help you maintain stability when the market becomes unpredictable and capture growth when the window opens.

Canadian small businesses deserve access to capital that was actually designed for the way they operate, not the way a spreadsheet imagines they operate. A merchant cash advance, used strategically and with clear intent, can be that tool.

Ready to Close Your Cash Gap?

If you are navigating a cash flow challenge or preparing for a growth opportunity and want to understand what funding might look like for your specific situation, the 2M7 team is ready to have that conversation. Reach out directly and speak with someone who understands the pressures you are managing.

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Merchant Cash Advance vs. Cheques Factoring

Managing a small business is challenging. One of the common challenges for business owners is financing. Your company might not have a lengthy credit history or collateral to apply for a bank loan. Whether you want to grow your business or cover unforeseen expenses, you have come across other financing options. Merchant cash advance and cheques factoring are some of the available options for small businesses.

What Is Merchant Cash Advance?

A merchant cash advance is an alternative financing option for small businesses. You can take the funds upfront and pay them off with a percentage of future sales. The MCA is an ideal solution for businesses that need fast funding and might not be eligible to take a bank loan. The availability of funds is another excellent advantage. If your business needs the funds fast to proceed with the operations, the cash advance will be approved within a day or two.

PROS

Fast access to funds

When timing is crucial and you can't go through the lengthy bank approval process, the MCA is your solution. Small businesses can get funds within a day or two from submission. Unlike the traditional bank process, the financial institutions that issue MCAs don't do rigorous checks. They will check the business's past sales to determine whether they qualify for a cash advance.

Ideal for businesses that work with cash and credit cards

Retail and restaurant businesses rely on a high volume of credit card sales, making them ideal for obtaining MCA. If your business depends on cash or credit cards, a cash advance is the ideal financing method. This opportunity is perfect for the ones that don't rely on invoices. Instead, they take a percentage of the credit card sales to repay the loan.

CONS

High-interest rates

Merchant cash advance comes with higher interest rates than traditional bank loans. The convenience of having the funds fast will cost more. However, the price is worth paying when you need urgent funds to proceed with the business operations.

What Is Cheques Factoring?

A post-dated cheque is a cheque that can be cashed on the indicated date on the document's face. It is a form of advance payment and can be cashed on a specific date. According to Canadian laws, a cheque can't be cleared before this date. If you still need cash to keep your business's liquidity, you can sell the cheque to a factoring company.

PROS

Fast approval

Depending on the date indicated on the check face, you might have to wait long to receive the payment. If you need to meet your business needs urgently, factoring your cheques will provide you with funds quickly. They will pay off a particular value of the face value while keeping a specific percentage as a fee.

No credit score checks

When applying for a traditional bank loan, they will do a rigorous check on your financial history. When your small business is relatively new and doesn't have a credit history, you might be restricted from obtaining such loans. Your ability for cheque factoring isn't assessed with credit history, and you aren't required to disclose collateral. This is very important, as you don't need to put your property or equipment at risk. The factoring company will check the check for authenticity.

Not deal with cheques

Having to deal with cheques is a tedious job. Passing this responsibility to a third party means less time spent sorting out cheques so that you can focus on the more important aspects of your business.

CONS

Higher cost

The factoring company will charge fees to provide you with the cash in advance. They will usually pay 80% of the amount indicated on the face. However, the high cost might pay off if you need money urgently.  

Requirements

Cheques factoring companies might have specific requirements for cashing out your document. For example, the check drawer should be a reputable entity. Also, the factoring company might have particular requirements on the cheque's active time.

Merchant Cash Advance vs. Cheques Factoring

For cheques factoring, you will pay a fee to the factoring company expressed as a percentage of the total amount. On the other hand, you will pay off your MCA as a percentage of your future sales. When choosing the suitable financing method for your company, select the one that is a better fit for your needs. We at 2M7 are dedicated to providing the needed funds to enhance your business's liquidity without restrictions on how to use them. Get in touch with us, and we will answer your specific needs!

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