08-21-2026IMPACT COUNCIL

Fast cash isn’t always smart cash

As alternative lenders promise same-day funding, small business owners—especially women entrepreneurs—must weigh speed against long-term cost and support.

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BY Marianne Markowitz

For a long time, the biggest hurdle for a small business was simply finding capital. Today, the challenge is choosing the right kind.

Tech vendors, payment processors, and e-commerce platforms have stepped up to meet the demand for rapid funding. By offering direct financing or partnering with nonbank lenders, these platforms can deliver funding decisions in hours and deposit cash by the next day.

Having more options is a net positive for the small business economy. But at First Women’s Bank, we see how the appeal of immediate funding requires entrepreneurs to carefully weigh speed against long-term costs and support. This dynamic is especially relevant for women-owned businesses, who have historically navigated steeper barriers in traditional lending and may prioritize immediate access over optimal terms out of necessity.

THE TRADE-OFF BETWEEN ACCESS AND COST

Fast-financing tools, like merchant cash advances (MCAs), which give lenders a lump sum of cash in........

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