[KanjorskiPartners]

Was having a discussion via email with another member of this forum. Internally we have found in our experience that most of our referrals from our referral partners to refinance MCAs (that come from SBA loan rejections) are rejected by the SBA based upon having MCAs. We know this is not always the case but we see this scenario a lot. Who here has a lot of experience commencing a transaction where MCA stacks are refinanced by SBA loans? (again we see a lot of rejections from the SBA based on debt load and existing MCAs). Would like to hear everyone's experience with this. Thank you.

[sigmundpannu]

Was having a discussion via email with another member of this forum. Internally we have found in our experience that most of our referrals from our referral partners to refinance MCAs (that come from SBA loan rejections) are rejected by the SBA based upon having MCAs. We know this is not always the case but we see this scenario a lot. Who here has a lot of experience commencing a transaction where MCA stacks are refinanced by SBA loans? (again we see a lot of rejections from the SBA based on debt load and existing MCAs). Would like to hear everyone's experience with this. Thank you.

Most of the loans we do in my shop are SBA, and almost all have MCA debt, some with several advances. The key is to make sure that you explain exactly what the use of funds were, because of the SBA lender believes that the cash advances were used as a lifeline to keep the business going then they will most definitely deny a loan. Use of funds is the most i integral part of refinancing cash advance that into an SBA loan

[Steven_O]

Was having a discussion via email with another member of this forum. Internally we have found in our experience that most of our referrals from our referral partners to refinance MCAs (that come from SBA loan rejections) are rejected by the SBA based upon having MCAs. We know this is not always the case but we see this scenario a lot. Who here has a lot of experience commencing a transaction where MCA stacks are refinanced by SBA loans? (again we see a lot of rejections from the SBA based on debt load and existing MCAs). Would like to hear everyone's experience with this. Thank you.

So... could be an opportunity to sell the SBA a portfolio of "targeted" businesses? To come back and stack them later? possible evil, G'nius...

[KanjorskiPartners]

I imagine that the reject based upon too high debt levels of MCAs as well or do you find it is a use of proceeds only issue?

[KanjorskiPartners]

LOL Steven_O I was more thinking that we can help the businesses that get rejected from the SBA for having MCAs. Your plan may very well work for you.

[Steven_O]

LOL Steven_O I was more thinking that we can help the businesses that get rejected from the SBA for having MCAs. Your plan may very well work for you.

Nah... I don't have the power some of you guys have.