[MCNetwork]

It's kind of like blaming the liquor store owner for continuing to sell to the alcoholic.

[JSL23]

It's kind of like blaming the liquor store owner for continuing to sell to the alcoholic.

LOL, great analogy! Very true. I agree with those that say it would be great for the Merchants and us, the ISOs/Salespeople/Lenders if there were more shops willing to consolidate multiple positions. An up and coming firm can make a name for themselves on that alone.

I'm not an Underwriter or a master at Risk Assessment so I can't honestly say how risky it would be, but wouldn't the financial gain and carving out a much needed niche make it worth it?

[Scott Williams]

LOL, great analogy! Very true. I agree with those that say it would be great for the Merchants and us, the ISOs/Salespeople/Lenders if there were more shops willing to consolidate multiple positions. An up and coming firm can make a name for themselves on that alone.

I'm not an Underwriter or a master at Risk Assessment so I can't honestly say how risky it would be, but wouldn't the financial gain and carving out a much needed niche make it worth it?

That would be the worst business model for a funder to do. Check with all the funders that have paid off merchant's with 3+ open advances. Two months later the merchant go back and stacks again. Now the consolidated funder has a huge balance outstanding with multiple payments coming out again. As soon as funders get paid off that do 3+ advances....their sales teams is calling the merchant pushing more money on them.

Paying off 2 open advances can work but paying off 3+ open advances never works.

[JSL23]

So there is no conceivable way to make it work? Has anyone ever consolidated enough triple funded deals to get enough of a sample size? I was thinking mainly 2 or 3, I realize that 4 is really pushing it and just not feasible. What if they agree and notarize something in the Funding Agreement saying that if they stack they will be fined $______ AND put on that NAAMA banned Merchant list....and the Lender enforced it without exception? Everyone is finding ways to consolidate their debt nowadays, is this really that much different?

[funding pro]

So there is no conceivable way to make it work? Has anyone ever consolidated enough triple funded deals to get enough of a sample size? I was thinking mainly 2 or 3, I realize that 4 is really pushing it and just not feasible. What if they agree and notarize something in the Funding Agreement saying that if they stack they will be fined $______ AND put on that NAAMA banned Merchant list....and the Lender enforced it without exception? Everyone is finding ways to consolidate their debt nowadays, is this really that much different?

Yes. What you are saying is the equivalent of just giving a crack head a whole lot of crack to last him a year instead of him constantly going out every day to get his crack. Either the crack head is going to finish the year's worth of crack in a month and start looking for more crack sooner than expected or he is going to OD.

And since I am talking about crack and its been a while since I posted a .gif, here ya go...

tumblr_m4v2whZrJo1rpl29so1_500.gif

[JSL23]

OK, then there will continue to be dozens of "crack-dealers" giving our clients 4th and 5th positions....... (trying hard not to laugh at that .gif-Chappelle?)

[BSCI 504]

The conversation definitely needed a tension breaker and this GIF of Chappelle was it. Hilarious!!

[Chambo]

It's kind of like blaming the liquor store owner for continuing to sell to the alcoholic.

But bars are liable if someone drinks in their bar, and then goes out and drives drunk and kills someone

We're supposed to be the professionals here with fiduciary responsibilities.