[GoodCustomerService]

Are you only offering your clients MCA because it's all they qualify for?

Why do they only qualify for MCA?

When you fund your client MCA, do they ever progress into something better? Cheaper? Longer term? More sustainable?

We have a solution and want to help!

PM me for details. I'd love to chat with some industry vets that care for the well being of their merchants.

Thanks,

Dave Korchak
Primary Capital

[ryan $]

When you fund your client MCA, do they ever progress into something better? Cheaper? Longer term? More sustainable?

Let's Be Honest for a minute.
I Fund MCA's Because they pay the most commission.

Bluevine LOC Products have a spot because it pays out on each and every draw.

Aside from that Larger Term Loans are worth it because yes it is small points, but the dollar amount is bigger so it works out.

I tend to stick inside the MCA realm, because it pays more.

Cheaper and Long Term, tend to equal Less Money.

It's a Math Equation, Factor in My Time against overall Payout, and MCA's just make sense. In most cases these longer term programs require MORE work and pay LESS. That seems backwards to me.

[GoodCustomerService]

Thanks, Ryan. Totally agree. But there has to be an end at some point. Most merchants that stay in MCA long term, don't ever make it out.

[abfunders]

I'm a sucker for hard work I guess, and I'll gladly do these harder deals because I know there are so many diamonds in the rough that make that long-term payout eventually worthwhile. Perhaps just because I prefer not competing with the other brokers. So much drama!

That being said, Ryan doesn't HAVE to provide cheaper options. He's a broker, not the client's personal financial advisor.

[GoodCustomerService]

I'm also a big fan of harder deals to work. Really taking a merchant from the **** to better quality financing is more entertaining and rewarding. But if you don't create another outlet for financing (personal or business), they don't last very long. Yes, the "diamond in the rough" merchants that somehow manage to stay afloat, or even increase revenue while only having MCA as a funding option, are the exception. But even those Merchants eventually want more and better. If you've done nothing, or they've done nothing, to better themselves and their business, making themselves a more valuable borrower, they'll continue to get MCA and that means you will always be competing harder for the life of your deals.

[Atlas Financial]

I'm always curious about the white lies told to sell an MCA. What are some of your favorites? Maybe I'm not creative enough or confident enough to say that in 30 days it will be refinanced or that there's something better down the road..

Not specifically saying anyone does that, but just curious. I guess it comes down to the merchants experience in finding money. I feel like you can't really work backwards sometimes, as in, if they factored invoices, that's better than an MCA. Or if they somehow got a line of credit or loan from their bank.

[GoodCustomerService]

The one most consistently used is "Take this $50k deal now for 6 months and we will get you an SBA/LOC/Bank Loan in 30 days to pay it off". It could be possible with some merchants, but still highly unlikely. If a merchant is taking cash advance, they have way more **** to fix and it can't be done in 30 days. 90 days is more likely.