[Pbs]

I find it a total disrespect when a funder expects you to renew a deal like for $100,000
Carrying a $75,000 balance and then make double profit but want to pay only on the $25,000 Net.

So i'm suppose to make you $40,000 in profit while you lend only $25k and i'm suppose to take a $10k lost and receive only $2k. Im a ISO not an employee.

If funders are like this they don't deserve business no matter how good the deal is. I Would only send from now if it's a good bank 10 months or less deals. Greedy and shady people do that on top of that the funders want to contact your merchant to renew and pretty much rob you out of making a good amount. It's truly a joke.

If you cant pay whats right don't be in the MCA industry period.

[Akanner]

I find it a total disrespect when a funder expects you to renew a deal like for $100,000
Carrying a $75,000 balance and then make double interest but want to pay only on the $25,000 Net.

So i'm suppose to make you $40,000 in interest while you lend only $25k and i'm suppose to take a $10k lost and receive only $2k. Im a ISO not an employee.

If banks are like this they don't deserve business no matter how good the deal is. I Would only send from now if it's a good bank 10 months or less deals. Greedy and shady people do that on top of that the banks want to contact your merchant to renew and pretty much rob you out of making a good amount. It's truly a joke.

If you cant pay whats right don't be in the MCA industry period.

Are you saying a funder is paying you commission on the net amount on a renewal, not the funding amount?

[Pbs]

Yes I know its common in some lenders but thats why you dont renew

[Akanner]

Yes I know its common in some lenders but thats why you dont renew

easy way for a funder to not build a renewal book; which is key to have!

[Oxforddan]

The ONLY way i have ever been able to get behind a funder paying net on renewal is if they waive remaining interest on the refinanced amount. In that case it would be a loan not an advance, which already locks out 90% of the "funders".

[Mcadefender]

I find it a total disrespect when a funder expects you to renew a deal like for $100,000
Carrying a $75,000 balance and then make double interest but want to pay only on the $25,000 Net.

So i'm suppose to make you $40,000 in interest while you lend only $25k and i'm suppose to take a $10k lost and receive only $2k. Im a ISO not an employee.

If banks are like this they don't deserve business no matter how good the deal is. I Would only send from now if it's a good bank 10 months or less deals. Greedy and shady people do that on top of that the banks want to contact your merchant to renew and pretty much rob you out of making a good amount. It's truly a joke.

If you cant pay whats right don't be in the MCA industry period.

lol your not making the funder anything its a renewal the deal is 30-60 days in which at this time the funder prob has a better relationship
with the client then you hes the one risking his funds to fund the deal NOT YOU so take what you can and move on

[Oxforddan]

Too many of my partners made changes during covid that made it clear they were not our partner. Understandably they probably took it on the chin with most of their book, however it forced me to reevaluate where I place my volume. I have systematically over the last 18 months moved 95% of my business to more boutique shops that seem to have the partnerships best interest and more importantly the merchants best interest as a priority. My book has rebuilt almost to precovid levels as a result of that. I would suggest anyone with the ability to seek out smaller shops that you can build real relationships with do that. It will pay dividends in the long run.

[Oxforddan]

lol your not making the funder anything its a renewal the deal is 30-60 days in which at this time the funder prob has a better relationship
with the client then you hes the one risking his funds to fund the deal NOT YOU so take what you can and move on

That is exactly the problem. You think because the funder put out the funds its now YOUR client? What about the money spent on leads, overhead, and payroll to aquire the client in the first place? Too many people in this industry are greedy and blind to the fact that there is more than enough money in these deals for both broker and funder to make a pretty penny. Why screw over the guy who brought you the deal? Seems very short sighted. In all my time the only place I have seen do that well was Kabbage and they have deeper pockets than most of this industry combined. Bite the hand that feeds you and eventually you will stop getting fed.

[mca2150]

There are enough funders (not lenders) that it shouldn't be a problem to take your business elsewhere. There are only a couple of companies that operate this way.

Many companies made short-term decisions during covid to survive. I don't know if this is a covid-related decision, but there should be deal flow pressure from other companies to eventually pay full commission unless they're offering unique terms.

[abfunders]

The ONLY way i have ever been able to get behind a funder paying net on renewal is if they waive remaining interest on the refinanced amount. In that case it would be a loan not an advance, which already locks out 90% of the "funders".

Why does that make it automatically a loan? We just had a discussion about this here https://dailyfunder.com/showthread.p...l=1#post154029
Select is giving full prepayment benefits, just make sure not to call it "loan" or "principle" or "interest" and you're good to go.

[Oxforddan]

Why does that make it automatically a loan? We just had a discussion about this here https://dailyfunder.com/showthread.p...l=1#post154029
Select is giving full prepayment benefits, just make sure not to call it "loan" or "principle" or "interest" and you're good to go.

you are correct. I just didnt want to get into explaining it.

[abfunders]

@Pbs Stinks to have the goalposts moved on you. But don't call them "banks" they're just "MCA funders". Banks are licensed.

[alexd12345]

[QUOTE=Mcadefender;154946]lol your not making the funder anything its a renewal the deal is 30-60 days in which at this time the funder prob has a better relationship
with the client then you hes the one risking his funds to fund the deal NOT YOU so take what you can and move on

LOL! would never send you a file. What a terrible way to view your isos. Who brought you the file? WHo spent hours on the phone convincing the merchant to submit? Very short-sighted approach. Dont bite the hand that feeds you.

[Max Upsell]

lol your not making the funder anything its a renewal the deal is 30-60 days in which at this time the funder prob has a better relationship
with the client then you hes the one risking his funds to fund the deal NOT YOU so take what you can and move on

This guy definitely backdoors his ISOs deals

[Max Upsell]

lol your not making the funder anything its a renewal the deal is 30-60 days in which at this time the funder prob has a better relationship
with the client then you hes the one risking his funds to fund the deal NOT YOU so take what you can and move on

This the kinda guy who was a ****ty sales rep at an ISO and convinced someone with money to open a shop, then leverages the investor out with ****ty deals, then moves on to open another ****ty lender with another braindead investor

Lather rinse repeat

Def from Queens

[Yankeeman07]

I find it a total disrespect when a funder expects you to renew a deal like for $100,000
Carrying a $75,000 balance and then make double interest but want to pay only on the $25,000 Net.

So i'm suppose to make you $40,000 in interest while you lend only $25k and i'm suppose to take a $10k lost and receive only $2k. Im a ISO not an employee.

If banks are like this they don't deserve business no matter how good the deal is. I Would only send from now if it's a good bank 10 months or less deals. Greedy and shady people do that on top of that the banks want to contact your merchant to renew and pretty much rob you out of making a good amount. It's truly a joke.

If you cant pay whats right don't be in the MCA industry period.

Curious - The actual new money is $25K ?

[Magicmike18]

Some of you guys should really watch what you’re saying. These are merchant cash advances you’re buying receiveables at discount, therefore not a loan and you can get in trouble for using the word interest. Just saying lol.

[Pbs]

lol You make a good point MIke

[fundingsmbs]

unless it was an add on of $25K, that is a bad deal for the merchant to net $25K but pay RTR on $100K.

[ryan $]

Rapid used to do this.
That's why 9 times out of 10, we would flip them away from Rapid instead of Renewing

Thankfully they changed it.

I don't know anyone still doing it.

[alexd12345]

Breakout capital still does it. But They also have a 5-month clawback and take almost 6 weeks to pay commissions. They are nice people and give good offers however they clearly don't value their isos and I'm sure they lose out big time because of it. I did fund a few deals with them ( none were clawed back) but it's impossible to run a shop when you have a 5-month clawback and don't pay commissions for 6 weeks so I no longer submit to them. I submit to the many other A- paper lenders who give the same offers but treat their isos like they need them as opposed to the other way around. They are the only company that I know of that still only pays net on renewals. Could be why I very rarely see them in deals. Who would submit there?

[Chambo]

Breakout capital still does it. But They also have a 5-month clawback and take almost 6 weeks to pay commissions. They are nice people and give good offers however they clearly don't value their isos and I'm sure they lose out big time because of it. I did fund a few deals with them ( none were clawed back) but it's impossible to run a shop when you have a 5-month clawback and don't pay commissions for 6 weeks so I no longer submit to them. I submit to the many other A- paper lenders who give the same offers but treat their isos like they need them as opposed to the other way around. They are the only company that I know of that still only pays net on renewals. Could be why I very rarely see them in deals. Who would submit there?

They do this, as do others, because they look at reps as pawns. A means to an end. In their eyes, you are easily replaceable and another ISO shop will come around soon enough. That's the whole reason to employ ISO reps. It's not right, even a lil troubling....but it is the way several funds think.

[mrmrg]

Breakout capital still does it. But They also have a 5-month clawback and take almost 6 weeks to pay commissions. They are nice people and give good offers however they clearly don't value their isos and I'm sure they lose out big time because of it. I did fund a few deals with them ( none were clawed back) but it's impossible to run a shop when you have a 5-month clawback and don't pay commissions for 6 weeks so I no longer submit to them. I submit to the many other A- paper lenders who give the same offers but treat their isos like they need them as opposed to the other way around. They are the only company that I know of that still only pays net on renewals. Could be why I very rarely see them in deals. Who would submit there?

Surprised people are still submitting deals to Breakout. When Carl got bought out, I figured working with them would only get harder..

[VitalBrian]

We'll treat you better! briano@vitalcapfund.com

[fundingsmbs]

Breakout I never thought was a good ISO driven funder. More direct sales