Few Things to consider here:

  • over 1 yr in business
  • average monthly revenue: $74K
  • Avg daily bal.: over $5K
  • Avg. Ending bal: $14,810
  • Neg. days in past 3 months: 2
  • Reason for default w/ previous company: Merchant was advised by consolidation salesman to purposely default in order to obtain monthly payments. Consolidation company barely followed thru w/ their procedures.
  • Purpose of funds: To obtain 4th truck. Merchant would prefer using funding instead of depleting their own cash.
  • Avg credit score: 550



In this case, I already explained to the merchant that purposely defaulting, regardless of the "benefits" of the loan product that was being sold to them was a foolish decision. At this point, it is clear the merchant can only be considered high-risk.

Only offer that stuck was for $10K. Minimum offer that makes sense for the merchant is $30-35K; anything else, they basically might as well use their own cash... Factor rate isn't a big issue. Terms for at least 90 days repayment would be considered reasonable.

If you know where I can take this deal, or any funder able to bite @ the deal, please let me know ASAP because the equipment in question won't be available for much longer. I prefer to get them the advance instead of them using their own cash.

Thanks