[seanedeska]

We do SBA financing only. We have a dentist client absolutely killling it. $3.9m in revenue. Two conventional term loans for 1.3m. Credit car debt. 300k in Amex credit line - 9%. 400k in a MCA from random company (1.3 6 month). Both Amex and MCA are a drag on his cash flow.

Who is the best lender to speak about this. AR financing won’t work because of bank. He needs 12 to 18 months.

He is in Texas so I can’t touch equity in his home.

[mcaguru]

Texas we go very aggressive .. if all else fails and he needs short term capital we can fund from submission to wire in lightening speed.

[brokerCompany]

We do SBA financing only. We have a dentist client absolutely killling it. $3.9m in revenue. Two conventional term loans for 1.3m. Credit car debt. 300k in Amex credit line - 9%. 400k in a MCA from random company (1.3 6 month). Both Amex and MCA are a drag on his cash flow.

Who is the best lender to speak about this. AR financing won’t work because of bank. He needs 12 to 18 months.

He is in Texas so I can’t touch equity in his home.

The dentist is killing it but being killed by debt. Hopefully he has RE to get something

[RichardGerard]

We do SBA financing only. We have a dentist client absolutely killling it. $3.9m in revenue. Two conventional term loans for 1.3m. Credit car debt. 300k in Amex credit line - 9%. 400k in a MCA from random company (1.3 6 month). Both Amex and MCA are a drag on his cash flow.

Who is the best lender to speak about this. AR financing won’t work because of bank. He needs 12 to 18 months.

He is in Texas so I can’t touch equity in his home.

Sean,

I believe I've seen this file.. The issue is that that the client has an SBA loan AND another from BHG. Only a very small portion of Dentist AR is billed to Insurance- even it wasn't encumbered.

The question that kept popping up in my mind was: if this guy is 'killing it' why does he need more debt? $1.3M in term loans PLUS MCA's, and AMEX- and now he wants more???

If I'm writing the check something doesn't add up

[abfunders]

Sounds like he took on too much debt to grow at a controlled / correct rate. Then he got stuck and took out MCAs.
Richard, any other explanation?

[RichardGerard]

If he is showing a paper profit- and still has a voracious appetite for capital, the money is likely going into another entity/venture, OR used to buy out a partner (work or personal life), or perhaps another personal vice.

Dental practices usually have large profit margins, and accordingly don't need substantial debt to grow organically. If they need equipment debt- they can borrow specifically for that.

[Nunya]

I agree with RichardGerard. He's not killing it. He's getting killed.

[seanedeska]

Thank you for the help. The amount on the MCA is now down to $250,000.

Need someone that can pay off or come behind this MCA.

[StipMeBabyOneMoreTime]

I don't see him getting 12-18 months based on what you've described.