[fundingsmbs]

Well, this business went 18 years or so without regulation. Once any industry reaches a certain scale, the government gets involved. Co's going IPO and partnering with banks didn't help keep things under the radar either....Im curious if the first position funder's will redo their schedule A's in certain states that require full disclosure now to keep APRs lower.

[Karen37a]

Well, this business went 18 years or so without regulation. Once any industry reaches a certain scale, the government gets involved. Co's going IPO and partnering with banks didn't help keep things under the radar either....Im curious if the first position funder's will redo their schedule A's in certain states that require full disclosure now to keep APRs lower.

The real problem is the 1st positions who give 1.25 (as an example) on the first mca ...lets just say 100k to pay back 125k

50k Renewal ...plus 50k = 100k = 125k

Thats means you paid 25k to get 50k which = 1.50 50%... not 20%

Which is what Carl was saying needs to be disclosed in the other posts to me

[Kevin Henry-Seacoast]

I gave this a quick read. Correct me if I am incorrect, but the disclosure being discussed is for business LOANS less than $100,000.

[Karen37a]

I gave this a quick read. Correct me if I am incorrect, but the disclosure being discussed is for business LOANS less than $100,000.

I didnt read it yet

What they also will start doing is mandating brick and mortar office locations ( a physical office)...like they did in Mortgages/Loans

or direct supervison by a brick and mortar

Which I do not think is a bad idea at this point

[jdlaw]

I didnt read it yet

What they also will start doing is mandating brick and mortar office locations ( a physical office)...like they did in Mortgages/Loans

or direct supervison by a brick and mortar

Which I do not think is a bad idea at this point

agreed

[Sean Cash]

I gave this a quick read. Correct me if I am incorrect, but the disclosure being discussed is for business LOANS less than $100,000.

NJ legislature is now proposing to amend the bill to define a merchant cash advance as a loan.

[Karen37a]

NJ legislature is now proposing to amend the bill to define a merchant cash advance as a loan.

yes...so I do not know how this helps most

[J.Celifarco]

yes...so I do not know how this helps most

it doesnt help it means that our products would fall under this law and be required to meet the standards set forth in it.. Since an MCA by definition cant have an APR this bill would do what the original California bill would have essentially making MCA's illegal in the state of NJ

[Kevin Henry-Seacoast]

NJ legislature is now proposing to amend the bill to define a merchant cash advance as a loan.

Thanks Sean. So the disclosures on the table are similar to CA.