[WestCoastFunding]

1. What’s to stop a funder to place high bids for everything, knowing they are only soft offers and will require more DD?

2. What’s the process for resubmitting a file if a funder with a winning bid cuts their offer in half during DD?

3. Are the funders shown any proprietary and indentifying merchant info before/during placing bid?

4. Does an individual ISO agreement need to be established with each funder that places a winning bid?

5. Are funders who place initial winning bids, but are unable to close deals, allowed to contact the merchant after a grace period?

[fundingfloor]

1. What’s to stop a funder to place high bids for everything, knowing they are only soft offers and will require more DD?

We've got a few algorithms that look for irregularities. I.e. if it's your first day on the site and you throw bids greater than a % medium on a certain number of deals, your account will be suspended and the offers removed. Just one small example of how we fight fraud. We have a zero tolerance policy. We'd love to help Funders fund more deals but we won't allow anyone to manipulate the system or the brokers that use it.

2. What’s the process for resubmitting a file if a funder with a winning bid cuts their offer in half during DD?
.
Well, a Funders can always message a Broker saying "Hey we found X, we're going to have to change our offer." A broker can accept or cancel the bid. If a Funder cancels their bid the deal automatically reactivates, the broker sees all the previous bids and messages and can accept any of those, as well as any new deals the deal will now receive.

3. Are the funders shown any proprietary and identifying merchant info before/during placing bid?

Nope. I posted a guest link in an earlier post. This is what a Funder sees. https://www.thefundingfloor.com/guests/deals/bxkv
The functionality is removed unless you have an account. But you can still see the merchant information, bank statements, etc. with no way to identify the merchant.

4. Does an individual ISO agreement need to be established with each funder that places a winning bid?

When Funders sign up, they upload their ISO agreement. Once they win a bid, along with the contracts and stips, the funders ISO agreement is sent. Once it is signed, the system will not ask for the ISO agreement to be signed again between that Funder and broker. If there is already an ISO agreement in place, either side can click off that option and the system will store that none is required.

5. Are funders who place initial winning bids, but are unable to close deals, allowed to contact the merchant after a grace period?

We do have language around that to protect brokers but we do tend to defer to the individual ISO agreements that brokers and funders have with each other.

Again any questions feel free to email us anytime hello@thefundingfloor.com or DM me and I'd be happy to set up a call/demo

[WestCoastFunding]

We do have language around that to protect brokers but we do tend to defer to the individual ISO agreements that brokers and funders have with each other.

Again any questions feel free to email us anytime hello@thefundingfloor.com or DM me and I'd be happy to set up a call/demo

Answered my questions. So essentially this is like a Boefly for the MCA space?

[Winning]

@fundingfloor

Can a merchant use it for them self?
Sort of how other consumer based lending data aggregators worK? IE Credit Karma, but geared more towards business owners?

[fundingfloor]

@fundingfloor

Can a merchant use it for them self?
Sort of how other consumer based lending data aggregators worK? IE Credit Karma, but geared more towards business owners?

Nope. This is strictly for brokers. We'd certainly love to offer more tools to brokers for their merchants, but this is not a direct to merchant software.

[Richard Gomez]

I received a file from them yesterday & one today: I must admit it is a very clever/original way to safely get offers/files in front of you. I am submitting a couple files tomorrow to see how it goes

[abfunders]

I received a file from them yesterday & one today: I must admit it is a very clever/original way to safely get offers/files in front of you. I am submitting a couple files tomorrow to see how it goes

So Richard, did you actually just make an offer as a lender, when you're just a broker?

[Karen37a]

So Richard, did you actually just make an offer as a lender, when you're just a broker?

you do not know what Richard does or does not do ( yet you are always sticking up for fraudsters)

he has an extensive background in financial services/investments, so again...he may or may not have his money in deals ( I am not sure what he is currently doing either. I know he has the ability to do it)

[WestCoastFunding]

Gotta give fundingfloor props for answering any and all questions like a pro.

Douchebags like “Dan Coleman” should take note.

[ryan $]

This has been tried before..... just so everyone knows

Didnt last long.

Hopefully they figured out the secret

Making it worth it to broker and funder....and remaining profitable

[Michael I]

This has been tried before..... just so everyone knows

Didnt last long.

Hopefully they figured out the secret

Making it worth it to broker and funder....and remaining profitable

multiple times

[fundingfloor]

This has been tried before..... just so everyone knows

Didnt last long.

Hopefully they figured out the secret

Making it worth it to broker and funder....and remaining profitable

Yup, Couldn't agree more.

[MCNetwork]

Thomas Edison failed 1,000 times. Look how he ended up!

[WestCoastFunding]

Thomas Edison failed 1,000 times. Look how he ended up!

He ended up dead!

[WestCoastFunding]

How do you determine who is a legit funder or not? What’s to stop a broker that white labels to list as a funder?

[MCNetwork]

How do you determine who is a legit funder or not? What’s to stop a broker that white labels to list as a funder?

Pretty much nothing. A broker can pose as a funder and throw lowball factor rates to win deals. Then try to pull a bait and switch.

[Winning]

Pretty much nothing. A broker can pose as a funder and throw lowball factor rates to win deals. Then try to pull a bait and switch.

What good does that do? Wouldn't that just waist everyone's time?
Or is there a method to that madness?
Bait the merchant in, hook them on the line, pull & fight to tire them out, then reel them in easy.. (offer them another product, higher rates, but they just accept it because they have been beaten & are tired of fighting)???

[WestCoastFunding]

Pretty much nothing. A broker can pose as a funder and throw lowball factor rates to win deals. Then try to pull a bait and switch.

Better yet, This!

[Winning]

How do you determine who is a legit funder or not? What’s to stop a broker that white labels to list as a funder?

Based on my limited understanding...
I would think that "it would come out in the wash"..
Can a broker that white labels compete with a true funder?
The offers received would separate the Men from the Boys so to speak..?

[WestCoastFunding]

Based on my limited understanding...
I would think that "it would come out in the wash"..
Can a broker that white labels compete with a true funder?
The offers received would separate the Men from the Boys so to speak..?

I picture the white labelers (and even some shady funders) to give great offers to win a bid, get access to the docs, then contact merchant directly offering a deal cutting out the brokers upsell.

[fundingfloor]

How do you determine who is a legit funder or not? What’s to stop a broker that white labels to list as a funder?

If you head to the site, you can see that there is no automated sign up. When you sign up you go into a queue that alerts us. We verify some basic data (real business email and phone number, etc.) and pull some more complex data (BBB and other ratings, domain registration date, etc.) to determine if a funder is real and if they are a funder. We also get at least 2 industry references that we know, either brokers/funders already using our platform, or we request it from the Funder.

We do a couple of other things as well but if I post it all I'm sure people will use it to sneak on. Then there's always DailyFunder of course, which is how I discovered this forum in the first place.

If someone did manage to somehow trick their way through the entire system, I'm sure our community of brokers would let us know and we'd ban there account instantly.

[WestCoastFunding]

If you head to the site, you can see that there is no automated sign up. When you sign up you go into a queue that alerts us. We verify some basic data (real business email and phone number, etc.) and pull some more complex data (BBB and other ratings, domain registration date, etc.) to determine if a funder is real and if they are a funder. We also get at least 2 industry references that we know, either brokers/funders already using our platform, or we request it from the Funder.

None of those things will determine if they’re real or not. None. Determining if someone is a funder, a syndicater, or just some guy participating at 10% is hard. And while a broker pretending to be a funder may be outed eventually on DF, relying on DF at all is a mistake. All it takes is one complaint on here that a broker on your platform is pretending to be a funder to, essentially, ruin your company’s reputation. You have to make sure the funder vetting is air-tight.

[Michael I]

The issues i see more than how you see who is a legit funder is how do you control the flip . brokers that were cut off from lenders will send deals thru them . take the money and run . lenders claws back let say 100k commission and than you try getting it from xx company and they are gone leaving you losing 100k .(i was told thru a grapevine that is what happened to one of the companies that did it )
Other issue was the timing were you send it in and than someone needs to processes it and put all info for lender to than processes and give approval . it puts a delay on the deal or gives you fake approvals .
Next your whole renewal book is in someone else control like you are a rep .

[BB_Cooper]

How is this different from FUNDERS CLOUD? Anyone heard from FUNDERS CLOUD lately?

[MCNetwork]

Lendersbox.com also has a similar model