[John Smith]

Hello,

I am interested in learning more about the underwriting process for an MCA. After having dozens of files declined, I have realized the amount of time I am wasting with these files. Would anyone care to share a quick formula to determine if a merchant is fundable?

Thank you,
John Smith
j.smith.mca.cash@gmail.com

[Steven_O]

Two words... aim higher.

[abfunders]

John, are you submitting D paper to A-funders?
Maybe you should have a relationship with some of the higher-volume brokers over here that can help you place the files.
It's worth a shot.... 8 points is far more than 0 points.

Send me an email, I can point you in the right direction.

[Karen37a]

Hello,

I am interested in learning more about the underwriting process for an MCA. After having dozens of files declined, I have realized the amount of time I am wasting with these files. Would anyone care to share a quick formula to determine if a merchant is fundable?

Thank you,
John Smith
j.smith.mca.cash@gmail.com

There are numerous algorithms and considerations that go into Funding merchants. One of them being the broker or iso who submitted it.

If you were to give 1 million dollars for funding...who would you give it to,? To have a reasonable certainty that not only will you get it back but you will make a profit. Woulld you allow a new broker to fund 10 million dollars into your business not kowing if they are going to stab you in the back by stacking them until they default or send them off to debt relief?


Some funders will take files from people on purpose, some files were submitted and didnt make the underwriting guidelines and die..or some are funded 45 days later.


The answer to this is to join an established Iso who can help you with the files, let them mentor you...you will have a higher closeing ratios

( most will not do this because they think they can do it on their own, they were advised to do this as well by brokers who are loooongg ggone out of the industry)

Batter up....next brokers to the plate...lots of used ucc leads to go around. Get your w/2 salary savings ready

[WhoisKingsley]

There are numerous algorithms and considerations that go into Funding merchants. One of them being the broker or iso who submitted it.

If you were to give 1 million dollars for funding...who would you give it to,? To have a reasonable certainty that not only will you get it back but you will make a profit. Woulld you allow a new broker to fund 10 million dollars into your business not kowing if they are going to stab you in the back by stacking them until they default or send them off to debt relief?


Some funders will take files from people on purpose, some files were submitted and didnt make the underwriting guidelines and die..or some are funded 45 days later.


The answer to this is to join an established Iso who can help you with the files, let them mentor you...you will have a higher closeing ratios

( most will not do this because they think they can do it on their own, they were advised to do this as well by brokers who are loooongg ggone out of the industry)

Batter up....next brokers to the plate...lots of used ucc leads to go around. Get your w/2 salary savings ready

Agree. There is standard UW that you receive when you sign up and then there is personal UW that ultimately gives the Merchant an unfair advantage. Imagine the years of this happening.

[Karen37a]

Agree. There is standard UW that you receive when you sign up and then there is personal UW that ultimately gives the Merchant an unfair advantage. Imagine the years of this happening.

Well I try to get on the favourites list ( in the deplorable category) by not having defaults and not harassing them to death like my brokers do to me...trickle down insanity


Uber should be a sponsor ....ha ...biatch cha cha


( joking people do get better as time goes on...keep going)

[DonMcGrath]

Well I try to get on the favourites list ( in the deplorable category) by not having defaults and not harassing them to death like my brokers do to me...trickle down insanity


Uber should be a sponsor ....ha ...biatch cha cha


( joking people do get better as time goes on...keep going)

Ironically, some Uber investors were in cash advance, executive level.

[Karen37a]

To go deeper into the mind of Venture Capital.

If you knew someone had ucc lists that were recently sold to 1000 isos or broker or broker shops

Would you fund into that mess?

**( there are lead /data people who have uccs/aged and do not blast out burn out the leads)

Lower default ratios are not just some big mouth boiler room broker bragging.( throwing you off the trail)

It's targeted marketing

This is a game of sales AND marketing....not just someone shows up says " hi i want a loan" in send it , fund it, like the bank.

* some who had no success at marketing make a backdooring plan to hell ( it never works out)

[WestCoastFunding]

To go deeper into the mind of Venture Capital.

If you knew someone had ucc lists that were recently sold to 1000 isos or broker or broker shops

Would you fund into that mess?

**( there are lead /data people who have uccs/aged and do not blast out burn out the leads)

Lower default ratios are not just some big mouth boiler room broker bragging.( throwing you off the trail)

It's targeted marketing

This is a game of sales AND marketing....not just someone shows up says " hi i want a loan" in send it , fund it, like the bank.

* some who had no success at marketing make a backdooring plan to hell ( it never works out)

***After reading, John Smith quits the industry and goes back to shoe sales.

[Karen37a]

***After reading, John Smith quits the industry and goes back to shoe sales.

LOL or driving uber or a truck

[Karen37a]

And to put the Last Subject to Rest

Most users ever online was 9,815, 01-07-2013 at 12:55 PM....lets just say 10k to keep the number round

Active Members 551 ( that's including the shills and people with multiple names and the Funders)


5% Retention Ratio

I said this from the start Don't shoot the messager
How about the next go rounds some* do not steal from the 5% or the top 1%

[Esteban2000]

Hello,

I am interested in learning more about the underwriting process for an MCA. After having dozens of files declined, I have realized the amount of time I am wasting with these files. Would anyone care to share a quick formula to determine if a merchant is fundable?

Thank you,
John Smith
j.smith.mca.cash@gmail.com

Private message me or hit me on my website at www.HunterMCA.com. I have been Underwriting in the MCA industry for 18+ years and I can help you out with the learning curve.

Steven Hunter

[MCNetwork]

Hello,

I am interested in learning more about the underwriting process for an MCA. After having dozens of files declined, I have realized the amount of time I am wasting with these files. Would anyone care to share a quick formula to determine if a merchant is fundable?

Thank you,
John Smith
j.smith.mca.cash@gmail.com

Credit history is an important factor to consider and since you probably don't know his credit I'll give you a quick checklist of other items to go by to see if a merchant is fundable. Keep in mind that underwriting standards vary greatly from funder to funder but this is a good starting point.

1. Is the merchant's industry MCA approved (meaning it's not prohibited)? Y/N
2. Does the merchant do at least $10K per month in revenue on a consistent basis? Y/N
3. Has the merchant been in business for at least 6 months? Y/N
4. Does the merchant have less than 3 NSFs per month? Y/N
5. Is the merchant's average daily balance at least $500? Y/N
6. If the merchant declared bankruptcy in the past, then has it been discharged for at least 2 years? Y/N
7. If the merchant has open MCAs, is he making the payments consistently (not bouncing them)? Y/N

If you answered Y to all of these items and the FICO is above 540, then your merchant is most likely fundable (somewhere). If you answered N to a few of them, then you'll have a tough time getting an approval. And if you continue to use a gmail account to send in your submissions, then you might get declines just for that.

[J.Celifarco]

Hello,

I am interested in learning more about the underwriting process for an MCA. After having dozens of files declined, I have realized the amount of time I am wasting with these files. Would anyone care to share a quick formula to determine if a merchant is fundable?

Thank you,
John Smith
j.smith.mca.cash@gmail.com

Judging by the gmail address I am guessing you are just starting on your own. My first question is before going on your own did you work for any other company? If not I would suggest finding a more experienced company to work with on your files. I understand wanting to be on your own but without the requisite knowledge getting deals funded is going to be very difficult. There is only so much you can learn from coming on the forums and while you learn you probably are losing out on deals that you could fund if you knew where to send them.

[mcaguru]

We dont have a cookie cutter approach...I get a dozen calls/ emails a day saying (no names your competitors killed for xyz) I think to myself wow i don't think we can approve with that reason but as always i say """send anyway""" ONLY to receive an email 3 hours later thanking me for the 50K offer!! (happens ALL DAY LONG!)...

[danlen]

each company will have their own guidelines and algorithms they use to price deals out so there is no industry wide rules or regs that determine eligibility across the board. In fact, some aspects about a deal might be appealing toward one company and might be an auto decline for other, i.e some companies may only fund first position deals, while other places prefer to fund behind an existing position. Here at Yellowstone we don't have one internal funding algorithm, rather we have 15-20 diff underwriters that each have there own things they like and don't like which allows us to be extremely versatile and gives us a much wider range of merchants that we will fund, more so than any other single company. Feel free to reach out to discuss!

Daniel Lenefsky
Senior Finance Executive/VP ISO relations
P:646-774-3301
F: 646-398-5656
daniel@yellowstonecapllc.com

[WestCoastFunding]

You people are so damn nice

[ADiamond]

Hello,

I am interested in learning more about the underwriting process for an MCA. After having dozens of files declined, I have realized the amount of time I am wasting with these files. Would anyone care to share a quick formula to determine if a merchant is fundable?

Thank you,
John Smith
j.smith.mca.cash@gmail.com

Learn from their decline reasons - that's the best I can tell you.

I've learned that the more I tech people about UW, the less valuable I become.

Not happening!

[fundingsmbs]

Hello,

I am interested in learning more about the underwriting process for an MCA. After having dozens of files declined, I have realized the amount of time I am wasting with these files. Would anyone care to share a quick formula to determine if a merchant is fundable?

Thank you,
John Smith
j.smith.mca.cash@gmail.com

when I first started, I thought the same thing. than I realized, I was using the wrong funding companies. I also realized in talking to other broker's, everyone will have different experiences with funder's they join. Unless those deals were bottom of the barrel in credit, outstanding balances, etc, you should never go 0/12 on submissions to offers. we really go into this now with our network of every deal can get an offer, albeit the lower credit stuff and out of the box industries may get a short repayment option and low dollar offer, it's an offer. this is all part of the learning experience though. New folks today have a lot to catch up on in the business that simply can't be taught on a forum.

[Karen37a]

when I first started, I thought the same thing. than I realized, I was using the wrong funding companies. I also realized in talking to other broker's, everyone will have different experiences with funder's they join. Unless those deals were bottom of the barrel in credit, outstanding balances, etc, you should never go 0/12 on submissions to offers. we really go into this now with our network of every deal can get an offer, albeit the lower credit stuff and out of the box industries may get a short repayment option and low dollar offer, it's an offer. this is all part of the learning experience though. New folks today have a lot to catch up on in the business that simply can't be taught on a forum.

I agree and I have been independent for a long time, building teams on a shoestring budget ...until you make it

I learned one thing...the new broker better be coachable...better have a mentor ( experienced mentor /iso with results in the form of commission) of they are never going to make it. ( unless they are a sales superstar)..even then you go thru a huge learning curve that most will not survive on their own..( and why would you want to)

Lots of mistakes will be made costing $$$$$$$ and time on advertising/leads etc. Which is why the day I came to the DF I was an advocate of free to no cost uccs. and sweat equity..to see if the person can even make it.

Using the motto..." if its free its for me"

[Karen37a]

Regulation numbers on brokers /agents

25 people attempt to start
10 Join or hired
6 Left ( 4 quit scared of sales entering the witness protection program- some don't even come back from lunch)
3 Left ( 3 more quit scared to fail the licencing exam)
1or 2 pass the exam ( one in securities the test is harder..1.5 insurance 2 loans)

When you get 100 people passing...take the 80/20 rule then the 5 % rule

then take the 5 % of the 5%
Look around... whats left

(to have massive licenced brokers was a nutty project looking back it seems like a dream...thousands of people crossing your path saying the same exact thing over and over and over and over and over and over.)


Advise ...Be Trainable ...get a mentor or an iso who can help you, if they still want to..or don't

[Karen37a]

The Best Part Of This Business Is Anyone Can Do It
( to be positive, and its true )

Check your ego at the door, absorb the top producer's information ( top as in commission $$$)

Some Isos are not just jr paperwork processing units they are Training facilities...for Brokers in Sales and Marketing thru Warm calls, Cold calls, Face to Face or Seo inbound.

Big commission is on the horizon to those who listen....and there are renewals!! 1-2 Million dollar book of business or 10-20 million renewing, is more than some people at a job can imagine.

Start with one

See you at the Top because the bottoms way too crowded.

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[Nunya]

Last comment on this thread

Yeah right.

[DonMcGrath]

Yeah right.

It just means your comment will be second to last to her comments at all times, unless your current comment outlasts her previous comment, then an adjustment will be made, followed by a thought, then a muttering, then lastly keyboarding, with opinions that will last the remainder of the thread, unless you comment again, then she will de- last you, and you will remain unlasted.

[John Smith]

Thank you all.