[Advance Smart]

I had to come to the good ole DF forum to see what you guys think of this. Is this shady or not?

We submit a deal on January 8th to a funder I won't name right now. They send us a decline January 9th. Yesterday the 18th the same merchant sends us a copy of a contract he just received with a 40K approval on it from the same funder that declined it for us. I know, it gets better. Let's call them funder X for now. I call my rep at funder X and ask him why on God's green earth does my client have a contract from you days after you declined it for us. "Let me check into it" he says.

So my rep calls me back saying I'm sorry man I didn't know this existed but look at the bottom of the contract. It's structured as a reverse consolidation. Funder X says we declined it for a 4th position but an ISO brought it to us a week later and said they will syndicate 50% so we are now going to do the deal. Now mind you we were never even given an option to syndicate on this deal and my rep at Funder X "never even heard of the program until now".

Is this shady? How does syndicating make the deal someone else's when you never gave the option to syndicate and declined it? Why would you even go half on a deal you just declined? Why would you not give the original ISO that submitted it first an option to syndicate if you were willing to actually fund half of it when you just declined it?

So I'm just curious what you guys think of a situation like this one? Is it ok for syndication to buy another ISO rights to previous declines a week later? Is it ok to justify funding a deal you just declined because a different ISO says they will syndicate on it?

[JMB]

Well if your rep didnt know about it thats just strange or hes new and hasnt seen it, but if someone is going to throw 50% of the money it should be their deal IMO. But if they could have given you the same opportunity then they should have

[ryan $]

Hey what's up Tony, Hope your doing well, It's Pasco.

Yea that is kind of Shady. Although I somewhat Understand it - It is still Shady.

And I have experienced something very similar not that long ago with Cash Village.

[Advance Smart]

There he is. How are things Ryan it's always good to hear from you man. I always hope all is good with you guys. Yeah this particular situation stinks no matter what perfume they try and throw on it. I get that syndication lessens their exposure but it's like you just declined it days ago and today it's ok to throw 20K of the 40K at it for another ISO? This is why I have only taken on a handful of new funders over the past 6 years. Word to the wise you don't have to backdoor deals to be successful. Trust me. Trust Ryan too lol.

[WestCoastFunding]

No excuse for this. It’s shady. You have to wonder if another ISO even brought it to them, or if the funder took it upon themselves. Would love to know who they are so that I know who to avoid.

[DiamondBL]

I had a similar experience with BFS with their internal sales.

[Karen37a]

This happens on a regular basis. The reason you caught it is because you "had control of the merchant" ...he brought the contract back to you.

Unfortunately, many a merchant would have just funded, no regard for the original Broker.Refer to my "first to close routine" posts. How do you know it was submitted from another Iso? You have to take their word on it.

Your merchant didn't seem to know about the other "iso" ...ask him about it, I am sure you will be surprised.

he will say "I only spoke to you" or I assumed when the company called me they were calling on your behalf.

Don't call them yelling and screaming, cursing ...they do not seem to like it.Then strangers start harrassing you.

[ryan $]

I just had an experience where we submitted a deal.

They declined it right away for business type. We resubmitted it because they were wrong about business type, we showed website.

Then they said it was already submitted by another ISO. But we submitted it first it was just kicked back for business type. If they processed it then based on the business type it really was we would of had it in first.

It made me so pissed.

[Karen37a]

No excuse for this. It’s shady. You have to wonder if another ISO even brought it to them, or if the funder took it upon themselves. Would love to know who they are so that I know who to avoid.

Come on West coast...you expect me to believe that you do not know who is who? If thats true...smh


I guess some of us have had some bad experiences fleeing in the dark of night away from stockbroker boiler rooms, mortgage etc etc etc....have sneakers, will travel....zooooom...outtta there

[WestCoastFunding]

Come on West coast...you expect me to believe that you do not know who is who? If thats true...smh


I guess some of us have had some bad experiences fleeing in the dark of night away from stockbroker boiler rooms, mortgage etc etc etc....have sneakers, will travel....zooooom...outtta there

If you know which funder Advance Smart is referring to, please share.

[MCNetwork]

A submission for 4th position is very different from doing a reverse consolidation of all the advances. Doesn't look shady to me. Now if the contract was for a 4th position, then THAT would be shady!

[Karen37a]

If you know which funder Advance Smart is referring to, please share.

I had enough bitcoin hits after me only for them to step up and meet vito...have fun

[Advance Smart]

Check your inbox West. Yeah I did a little recon Karen and it's still up in the air because this syndicating ISO is a "big" ISO for this funder. The ISO definitely called the merchant not the funder but who is to say funder X didn't tip the ISO off to call him you know what I mean? They could have easily done that having that kind of relationship. The situation just reeks of shady. The timing of it all and them not notifying us or asking us if we want to syndicate first. Way too weird we all know what happened. Crazy.

[Karen37a]

Its best to get with a few funders and make them $$$ so they care about you. Dont spread out too thin...hold the default to low to nil and renew renew renew so everyone makes money

If someone defaults go into pitbull mode get the money back

Tough business but huge commission $$

[Advance Smart]

A submission for 4th position is very different from doing a reverse consolidation of all the advances. Doesn't look shady to me. Now if the contract was for a 4th position, then THAT would be shady!

We were never offered an option to do a reverse consolidation. I just don't think it's ok to decline a deal for a 4th then 10 days later it's now ok to throw 20K at it for some other ISO with no notification or options given to us. Leaves way to much room for "interpretation" in my opinion I wouldn't do that to a submitting ISO.

Its best to get with a few funders and make them $$$ so they care about you. Dont spread out too thin...hold the default to low to nil and renew renew renew so everyone makes money

If someone defaults go into pitbull mode get the money back

Tough business but huge commission $$

I hear you Karen in August this will be my 15th year in the MCA space. I have a super tight group of funders. I thought these guys would be ok I needed to add another 3rd and 4ths funder and haven't heard shady things about them but here we are. Last deal I ever send them, back to the tried and true.

[Karen37a]

We were never offered an option to do a reverse consolidation. I just don't think it's ok to decline a deal for a 4th then 10 days later it's now ok to throw 20K at it for some other ISO with no notification or options given to us. Leaves way to much room for "interpretation" in my opinion I wouldn't do that to a submitting ISO.



I hear you Karen in August this will be my 15th year in the MCA space. I have a super tight group of funders. I thought these guys would be ok I needed to add another 3rd and 4ths funder and haven't heard shady things about them but here we are. Last deal I ever send them, back to the tried and true.

There you go....15 years ...wowsa. I got my first battle wound...2 days in

[WestCoastFunding]

Aren’t the same documents submitted for a 4th position as would be with a reverse? I’m not sure what else you can do to protect yourself in this position.

[Karen37a]

Aren’t the same documents submitted for a 4th position as would be with a reverse? I’m not sure what else you can do to protect yourself in this position.

You have to be good in sales. Likeable and a closer so when someone tries to take the deal from you, they do not go with them. Or you must be well versed in financial services so they feel better in your hands than someone else...Or you have to turn the sale over to a tough tough closer/Iso/brokers broker...or inside ethical direct funder rep who will step in if the sale gets lost and pulls it back

Thats sales. People normally do not walk on wall st or open an Financial office 2 days out of college or right from Micky dees. You have to learn...hopefully not the hard way with lost $$.

It isnt just about knowing rates. You have to have sales ability.

[WestCoastFunding]

Stop being difficult, Karen.

[ryan $]

We were never offered an option to do a reverse consolidation. I just don't think it's ok to decline a deal for a 4th then 10 days later it's now ok to throw 20K at it for some other ISO with no notification or options given to us. Leaves way to much room for "interpretation" in my opinion I wouldn't do that to a submitting ISO.



I hear you Karen in August this will be my 15th year in the MCA space. I have a super tight group of funders. I thought these guys would be ok I needed to add another 3rd and 4ths funder and haven't heard shady things about them but here we are. Last deal I ever send them, back to the tried and true.

Tony is the Man. Def a Veteran.
We all Started at MCC's Biggest ISO Back in the Day.
Good ol Cynergy Cash and Capital

[Karen37a]

Stop being difficult, Karen.

lol Difficult = 10%...thats why we all hang in there....no other industry can you make this kind of money and get renewals

[Karen37a]

One thing is 150% different than other financial services industries that are regulated.

never in our wildest imaginations did we think we were going to walk on a sales floor and tell the guy who was making 1 million a month or 100k a month how to do things better. (Or funding 50 million a month, or 10)
It's a simple premise...

Some of us thought..( if that million dollar idiot can do it so can I ) so we followed a pattern...didn't reinvent the wheel.

Worked at getting better. Improved.When you get good enough the tables turn. Your old manager becomes your paperwork processor or admin assistant. ( volume) . And the Venture Capital Money man is key.

Somehow this concept is lost in an unregulated environment

[Advance Smart]

Thank you Ryan. Karen you're the best as always. Best part about this is I just got a better consolidation offer than the one Funder X sent my merchant and I'm going to fund this deal because it's 6:30pm and I'm putting in the work and have that relationship with this merchant baby. Hard work pays a lot more than shady practices. I should call my rep there after it's funded. Nah we'll let them wonder what happened. Don't mess with genuinely good people in the space it's just not worth it. We can all do this right, make our money and have happy clients.

[Karen37a]

Thank you Ryan. Karen you're the best as always. Best part about this is I just got a better consolidation offer than the one Funder X sent my merchant and I'm going to fund this deal because it's 6:30pm and I'm putting in the work and have that relationship with this merchant baby. Hard work pays a lot more than shady practices. I should call my rep there after it's funded. Nah we'll let them wonder what happened. Don't mess with genuinely good people in the space it's just not worth it. We can all do this right, make our money and have happy clients.

No more work for me tonight..glad you got it done