Results 26 to 43 of 43
-
06-26-2018, 12:20 PM #26
- Join Date
- Dec 2016
- Location
- Brooklyn N.Y.
- Posts
- 428
-
06-26-2018, 12:29 PM #27
- Join Date
- Aug 2017
- Location
- New York City
- Posts
- 199
I dont see why there would be complaints about Midnight fitting into a niche noone else will touch lol 5% of something is better then 0 of nothin , theres a place for every file lol
-
06-26-2018, 12:34 PM #28
- Join Date
- Jun 2015
- Posts
- 3,325
i never understood why people in this industry take it so personal when he defaults .
Merchant 1 pays all his bills always got hit by hurrican harvey and lower payments on his loan or stopped for a month or two . no one touches him
merchant 2 never paid anything in his life , is 25 years old and already has 520 credit - can get a bunch of offers
now if someone took the money and ran 100% never fund the guy again but i do not see how it is higher risk than someone who never pays anything to fund someone that had some sort of story of what happened .
-
06-26-2018, 12:45 PM #29
- Join Date
- Dec 2016
- Location
- Brooklyn N.Y.
- Posts
- 428
Last edited by MidnightAdvance; 06-26-2018 at 12:47 PM.
High risk paper
-
06-26-2018, 12:52 PM #30
hey everyone looks at things differently, I have made it this far doing things a certain way and Im going to continue to. The Relationships a company has with the different funders can make or break them. I don't think risking a relationship where I fund a ton of business is worth funding the occasional defaulted merchant. Also it comes down to the leads you are calling and the deals you are getting in. If you are pounding only ucc's all day and that is your only lead source, you are going to come across a lot of default merchants and may think the risk is worth it. For me I only see a small amount of these types of files so to me its not worth it. Like I said everyone looks at things differently based on their individual situation, this is how I see it
John Celifarco
Managing Partner
Horizon Funding Group
3423 Ave S
Brooklyn, NY 11234
T: (347) 773-3990 | F: (718) 795-1990
Linkedin: Profile
Email: john@horizonfundinggroup.com
-
06-28-2018, 11:30 PM #31
- Join Date
- Dec 2016
- Location
- Brooklyn N.Y.
- Posts
- 428
Interesting stat: about 10% of the deals that were funded through “second chance funding” on the default program, are now getting offers by other funding shops after rebuilding their payment history.
High risk paper
-
06-29-2018, 12:28 PM #32
- Join Date
- Jun 2017
- Posts
- 2,049
To Play Devils Advocate...
When the Hurricaine hit and ruined businesses.... it caused defaults.
Should these merchants never be funded again?
YS files defaults on slow pay merchants, if business slows.... should they never get funded again?
Your talking about ruining relationships by funding a merchant that defaulted in the past and i just dont get that.
-
06-29-2018, 12:41 PM #33
- Join Date
- Oct 2016
- Posts
- 4,318
I guess it all comes down to the circumstances. It’s one thing if a merchant defaults straight out the gate, including blocked payments. But it is another if the merchant got hit by some unforeseen circumstance, and the merchant stayed in communication with the funder without stacking, but still couldn’t meet his/her obligations, but eventually made good. I think the main thing for me is, did they eventually payoff the advance or not?
-
06-29-2018, 12:49 PM #34
- Join Date
- Mar 2015
- Location
- Boynton Beach
- Posts
- 3,499
My two cents..... Everyone has their own personal preference on who they will do business with....we are a free market society and there is a buyer and seller for everything....it all comes down to situation and price. Bad things happen to good businesses large and small. It is up to the capital source to determine what they are willing to do for the business owner. Personally, I will finance a company that defaulted with another institution if I have a clear understanding of why and know that it will likely not happen on my watch. If someone personally defaulted on an obligation because it benefited them without good business reasons or was advised to do so by someone who benefited economically, I would not to do business with that person.
You don't make money by signing ISO agreements, signing NDSa, getting terms sheets, getting signed proposals, or closing deals. You make money when the capital you deployed comes back ....period.Kevin Henry
VP-Business Development
Seacoast Business Funding, a division of Seacoast Bank
561-850-9346
Kevin.Henry@SeacoastBF.com
1880 N Congress Ave., Suite 404
Boynton Beach, FL 33426
-
06-29-2018, 02:14 PM #35
True and fair point
I agree with this completely but the guy you are describing here is not someone I consider a default. To me a default is stopped or block payments, did not stay in communication with the bank and did not make good on the advance.John Celifarco
Managing Partner
Horizon Funding Group
3423 Ave S
Brooklyn, NY 11234
T: (347) 773-3990 | F: (718) 795-1990
Linkedin: Profile
Email: john@horizonfundinggroup.com
-
06-29-2018, 02:26 PM #36
- Join Date
- Jun 2017
- Posts
- 2,049
-
06-29-2018, 02:26 PM #37
- Join Date
- Jun 2017
- Posts
- 2,049
-
06-29-2018, 02:27 PM #38
- Join Date
- Mar 2016
- Posts
- 657
Merchant's get approved all the time. Do the funding shops actually Fund after finding out about the default? Also, are you in touch with these funding shops and actually fighting to push those deals through for funding?
Not arguing your stats, just curious to know what makes you think it's a result of your default program as opposed to simply bad underwriting on the funding shops part?
-
06-29-2018, 04:28 PM #39Karen37aGuest
lol
I think the main thing for me is, did they eventually payoff the advance or not?
( I can promise you when you say no 90% say..." I was going to default on you too" or " I am closing the business down anyway" etc )
-
06-29-2018, 04:39 PM #40
- Join Date
- Dec 2016
- Location
- Brooklyn N.Y.
- Posts
- 428
I was once told by a smart underwriter, every C and D paper file is a default (meaning they defaulted / lowered payments on someone in the past) you just don't see it..
The point is, a lot of our merchants come around, pay off, slow pay, pay off, and need more funds, all the time.
Once a merchant is paying us, others will also fund after us.Last edited by MidnightAdvance; 06-29-2018 at 04:45 PM.
High risk paper
-
06-29-2018, 04:42 PM #41Karen37aGuest
I can see it...and judge people based on what happened on the credit
Medical Collections is not the same as closing down 10 credit cards and skipping off with the money...
I can tell they are one step away from debt relief and bankruptcy
So to each their own...everyone learns and does business the way they want to
-
06-29-2018, 04:45 PM #42Karen37aGuest
I can also see the yacht they purchased and the 3 Mercedes...one for him one for the wife one for the mistress
again to each their own
-
06-29-2018, 04:53 PM #43Karen37aGuest
Similar Threads
-
NSFs and/or Defaults
By capitalkey in forum Merchant Cash AdvanceReplies: 13Last Post: 06-14-2017, 01:07 PM -
Recovering Defaults
By Collection Specialist in forum PromotionsReplies: 3Last Post: 03-07-2017, 04:40 AM -
Defaults
By Collection Specialist in forum PromotionsReplies: 0Last Post: 11-10-2016, 02:58 PM -
Two Defaults
By sufficientfunds in forum Deal BinReplies: 12Last Post: 08-29-2016, 05:03 PM -
Help me understand defaults please
By wally in forum Merchant Cash AdvanceReplies: 16Last Post: 07-27-2015, 09:36 PM