[Eric S]

We bought the lead from Lendio. CAN declined the deal. The merchant informed us that CAN funded the deal. I brought this up with our rep at CAN who came back and informed us it was a participation deal with Lendio.

[Chambo]

did they first offer you syndication opportunity?

[Eric S]

did they first offer you syndication opportunity?

Nope. It's worth noting, Lendio is not at fault. This is 100% CAN. They confirmed the deal was declined and funded it the next day.

[Andy]

Nope. It's worth noting, Lendio is not at fault. This is 100% CAN. They confirmed the deal was declined and funded it the next day.

We previously had similar problems with advance me/can years ago. which is why we still do not work with them. once we sent them a deal, big deal doing over 1mill a month, they declined it to us, another iso submitted and they approved for them. How did we know? Because can issued us the decline, and the next day the merchant sent us copy of the contracts from CAN . Luckily we funded the file with another lender, but lesson learned. Never sent them another file.

[Chambo]

Nope. It's worth noting, Lendio is not at fault. This is 100% CAN. They confirmed the deal was declined and funded it the next day.

Sounds like On Deck isn't the only one pushing ISO's off to the side. Also worth note, CAN is filing for an IPO too. Coincidence?

[Sean Cash]

Sounds like On Deck isn't the only one pushing ISO's off to the side. Also worth note, CAN is filing for an IPO too. Coincidence?

wait, where did you hear CAN was working to go public too?

[JayBallentine]

wait, where did you hear CAN was working to go public too?

I guess it's a perceived pattern. Dip toe, then IPO.

[LendioCEO]

Nope. It's worth noting, Lendio is not at fault. This is 100% CAN. They confirmed the deal was declined and funded it the next day.

Eric,

Can you please DM or email me? Super interested to learn about this deal (merchant's name, circumstances, how it happened, etc). I appreciate the comment backing up Lendio, but I'm very sensitive to this and want to make sure that there is transparency and it is prevented in the future. Thanks!

[Chambo]

wait, where did you hear CAN was working to go public too?

CAN has been talking about it longer than On Deck...On Deck seems to be more aggressive about it. Guess they need that investor money to stay afloat.

[Eric S]

We previously had similar problems with advance me/can years ago. which is why we still do not work with them. once we sent them a deal, big deal doing over 1mill a month, they declined it to us, another iso submitted and they approved for them. How did we know? Because can issued us the decline, and the next day the merchant sent us copy of the contracts from CAN . Luckily we funded the file with another lender, but lesson learned. Never sent them another file.

I'm glad you still funded the deal. Good job.

[Eric S]

Eric,

Can you please DM or email me? Super interested to learn about this deal (merchant's name, circumstances, how it happened, etc). I appreciate the comment backing up Lendio, but I'm very sensitive to this and want to make sure that there is transparency and it is prevented in the future. Thanks!

No problem. I know it was them because the merchant was super honest with us and insisted she worked directly with them then backed it up with the emails.

[Eric S]

One more thing. You folks might like to know it was funded at factor rate that's below the buy rate and we get tier 2.

[LendioCEO]

Quick update on this thread after we have looked into it. This deal was a lead that came through Lendio. As you know, our lead may be matched up to 4 lenders. It appears that this lead was matched to both Eric's Co and CAN Capital (at the same time). This was not funded through any special 'co-funded' program -- it was a normal lead just like any other lead that comes through our platform.

[Eric S]

Quick update on this thread after we have looked into it. This deal was a lead that came through Lendio. As you know, our lead may be matched up to 4 lenders. It appears that this lead was matched to both Eric's Co and CAN Capital (at the same time). This was not funded through any special 'co-funded' program -- it was a normal lead just like any other lead that comes through our platform.

We knew that it wasn't you. Their sales rep worked directly with the customer, even did all her follow up's via email. I knew they were lying about it.

[MCNetwork]

Eric, I would ask Lendio not to sell you leads that also go to CAN Capital, otherwise that puts you at a big disadvantage. You can't compete with the inside team's pricing. Just submit these deals to other funders instead.

[Eric S]

Eric, I would ask Lendio not to sell you leads that also go to CAN Capital, otherwise that puts you at a big disadvantage. You can't compete with the inside team's pricing. Just submit these deals to other funders instead.

That's what we're working out with them.

[MCAVeteran]

If lendio is selling leads or referring leads for revenue to can, on deck or other popular funding companies brokers already work with and the leads aren't exclusive, what's the point of buying the leads? The internal sales of these funders can take those leads and undercut your buy rates all day long-

[Eric S]

If lendio is selling leads or referring leads for revenue to can, on deck or other popular funding companies brokers already work with and the leads aren't exclusive, what's the point of buying the leads? The internal sales of these funders can take those leads and undercut your buy rates all day long-

I THINK it was a referral for revenue. The leads were fine until this last spring which is when I suspect CAN and/or ODC started doing business with Lendio or really cranked it up. I don't mind competition at all, but they are selling 1.15 - 1.18 8-12 month deals. They are literally forcing the brokers out as much as possible. CAN even had the nuts to lie to me by saying it was submitted by a broker who received the approval because it was through the auto system and that they reviewed it and changed it to a decline. They literally funded the deal next day. And there was no broker involved, it was a CAN sales rep and my customer proved it. I bet the rep thinks she is so good at sales, crushing it with their 1.18 8 month terms. LOL.

[Eric S]

If lendio is selling leads or referring leads for revenue to can, on deck or other popular funding companies brokers already work with and the leads aren't exclusive, what's the point of buying the leads? The internal sales of these funders can take those leads and undercut your buy rates all day long-

Well, you have to figure out a way to avoid them. We did. And it's important to know where these lenders stand as far as ISO relationship and how much they value the revenue streaming from them. Most manufacturers of a product who sell direct and via distribution channels ensure the end customer doesn't see a difference or the distributor will find another source. This is no different. If they are willing to do this here they are clearly willing to lose the revenue.