[JMKFunding]

What are the fees associated with doing a funding deal. I AM A BROKER AND WANT TO KNOW WHAT I SHOULD CHARGE. Specifically I want to know the amounts - lets say for example on a 20k merchant advance deal. I am investigating our competitiveness and need examples of competitive hard numbers. I appreciate anyone who can provide me perspective as I am relatively new to the industry.

Also, who are the best underwriters for riskier deals as I am very unhappy with the funding companies that we are working with. They may as well be a bank for their declines and funding amounts.

[cashguy]

I would say 500-700 dollars to UW a 20k deal.
Personal Credit
Reuters background
Ucc filing
Tax guard
Decision logic
Data entry underwriter
Support
Etc..

[JMKFunding]

I need to understand ALL the costs to customer. That includes fees and factor rate going back to broker.

What are the typical mark ups of a broker for all?

[MCNetwork]

Depends on your selling philosophy. Broker closing costs are pure gravy for the salesman. Some brokers like to rape and pillage the merchant on the first advance and hammer him with 10% closing costs and risk losing the future business. Others don't charge closing costs or very minimal costs and try to build a solid book of renewal business. If you're the former, you charge 6-10% of funded amount as a closing cost. If you're the latter, you charge $0-$500. Remember, the funding company pays you a commission already and you have control over which factor rate you charge so you shouldn't be too greedy. Also, some funders don't allow a broker to charge an additional fee so make sure you don't do anything that jeopardizes your relationship with your funding company. Not only that, some funders (like On Deck) already charge a hefty "origination fee" so there's really no room to tack on broker closing costs without hurting the merchant.

[MaxAdvance]

We recently revised our underwriting guidelines to allow for more aggressive funding. Give Max Advance a shot and you will definitely be impressed with our speedy and thorough approval process. We are a direct funder with competitive commission rates and would love to start a long lasting relationship with your firm. The only fee associated with our deals is a $200 UCC filing fee, which is deducted from the funding amount at funding. Do not hesitate to call if you have any questions or if you are interested in signing up with us.

Sincerely,


Steven Hauptman
Director of Business Development
Tel: 866-629-4464 ext. 214
Cell: 516-458-4462
Fax: 917-368-6943

Maxadvance Banner 2.jpg

[BB_Cooper]

What type of special risk deals are you having trouble placing? Tax Lien or BKs, or what's tripping you up?


sigblock2.png

[Barbara_F]

Hello,

WE do high risk and hard decline deals. You can call me at 347-604-2145. I would more than happy to discuss what we can do to help with fee's etc.

Thank you

Barbara Franquie
ISO Development
EZ Capital Inc.

[Chambo]

We recently revised our underwriting guidelines to allow for more aggressive funding. Give Max Advance a shot and you will definitely be impressed with our speedy and thorough approval process. We are a direct funder with competitive commission rates and would love to start a long lasting relationship with your firm. The only fee associated with our deals is a $200 UCC filing fee, which is deducted from the funding amount at funding. Do not hesitate to call if you have any questions or if you are interested in signing up with us.

Sincerely,


Steven Hauptman
Director of Business Development
Tel: 866-629-4464 ext. 214
Cell: 516-458-4462
Fax: 917-368-6943

Maxadvance Banner 2.jpg

you pay commission out every Tuesday for the previous week, correct?