[killerspin]

To put things in perspective here is what we are owed in total:

$7,000 Commission on Funded MCA
$4,588 in participation money for MCA's Paid In Full last month
$11,195 Right To Receive from MCA participation
$4,905.48 Commission on Funded MCA
TOTAL $27,688.48

Now the issue I also have with this situation is our Syndication numbers are as follows: Average Factor 1.52, Average Term 1.9 Months So simply the $7,000 commission being 30 days late cost us $1,820. Not to mention everything else... As this continues to drag out the loss continues to compound further. Not to mention the time wasted on the situation, the demoralization of the sales rep etc.

Just an outside perspective here but if those are the types of deals you are funding with them then it’s safe to say your money is bye bye. The defaults caught up with them. 1.50 40 day deals don’t last forever.

On a side note if they can’t pay you 27k in commissions then idk what they use to fund deals. The well is dry.

[Adam2326]

Just an outside perspective here but if those are the types of deals you are funding with them then it’s safe to say your money is bye bye. The defaults caught up with them. 1.50 40 day deals don’t last forever.

On a side note if they can’t pay you 27k in commissions then idk what they use to fund deals. The well is dry.

I appreciate the insight and I can agree with you to an extent. In all of the years I've been involved in MCA the only deals I've ever had success with have been these kinds of high risk deals. The A-B paper 9-12 month deals I've participated in had a much higher default rate due to stacking etc The shorter term deals have always outperformed the "Lower Risk" deals in my book. Of the syndication we've done with SBL only 1 deal missed any payments and negotiated a reduced payment, and has been making good on those payments. So I can appreciate that defaults take place especially in high risk deals, but when it's not my deals defaulting it's not my problem. At least it should not be.

[aak723]

it is sad that there are other brokers finding this post funny. $7K isn't a trivial sum. Neither is $29K or any of the other deals where commissions/syndicate funds are owed.
A lender is stiffing commissions yet continuing to solicit business. To mention that, no matter what the tone (and of course it's going to be in an upsetting one given that nearly a month of expenses are now gone) isn't unprofessional.

[Sachip24]

so no one else saw the email that was posted from OP from the funder saying it was requested commission get sent to a different account which is was? ...maybe i misunderstood

[Adam2326]

so no one else saw the email that was posted from OP from the funder saying it was requested commission get sent to a different account which is was? ...maybe i misunderstood

We were aware of this part of the scenario from the beginning, the "New Account" was an account we had made payments to and received payments from multiple times so this wasn't a red flag. It was a legitimate account change we were aware of. They shared the email chain with Splash from the beginning because when they requested to change the account, splash responded with the date they would be paying comp to this new account.

[fundingsmbs]

Is this company based out of Hartford CT with CEO JAMES D? And why are ISOs running deals through a broker?

[Adam2326]

Is this company based out of Hartford CT with CEO JAMES D? And why are ISOs running deals through a broker?

Yes SBL from Hartford, James Delices = CEO / We personally would co broker in situations where they were signed up with a boutique we weren't and could get a better deal via their relationships. For example, this deal in question we were able to get 50k paying 10pts as our best option, they got 55k paying 15% from Splash. They took 2% for co-brokering and we took 13%. We made more money working it through them, and we would reach out to Splash after the deal was done if we felt more business could be done with them directly. But if we're funding 1 or 2 deals a month with that funder there's no reason to sign up IMO

[mistamca]

Yes SBL from Hartford, James Delices = CEO / We personally would co broker in situations where they were signed up with a boutique we weren't and could get a better deal via their relationships. For example, this deal in question we were able to get 50k paying 10pts as our best option, they got 55k paying 15% from Splash. They took 2% for co-brokering and we took 13%. We made more money working it through them, and we would reach out to Splash after the deal was done if we felt more business could be done with them directly. But if we're funding 1 or 2 deals a month with that funder there's no reason to sign up IMO

This just doesn't seem worth it for $2,150. Don't get me wrong; I co-broker a fair bit both ways but that is because one of the parties does not focus on that product. To your point, it does not take 30 days to fix this issue. Syndication is unacceptable. The funder has entitled profit that they can pay out syndicators if the money is actually frozen. If fraud is not happening, then it is just a rookie operation that had all their eggs in one basket BUT if they are funding still, then all their money is not frozen and they have backup accounts so why can't RTR get paid out?

Bottom line: It does not take 30+ to fix a bank account especially when you are a funder.

[BR-Nightmare]

What we have here is what us Cubans call "Arroz con Mango"

[letsgetmoney]

What we have here is what us Cubans call "Arroz con Mango"

Rice w/ mango doesn't sound too good to me.

[Adam2326]

This just doesn't seem worth it for $2,150. Don't get me wrong; I co-broker a fair bit both ways but that is because one of the parties does not focus on that product. To your point, it does not take 30 days to fix this issue. Syndication is unacceptable. The funder has entitled profit that they can pay out syndicators if the money is actually frozen. If fraud is not happening, then it is just a rookie operation that had all their eggs in one basket BUT if they are funding still, then all their money is not frozen and they have backup accounts so why can't RTR get paid out?

Bottom line: It does not take 30+ to fix a bank account especially when you are a funder.

My point exactly, thank you

[Adam2326]

Just an update I have been able to speak with James and we were able to get a payment for $1,000 yesterday to go towards the outstanding balance with SBL. He did confirm that the Splash commission came into their account so there is no issue with Splash sending out comp. It is simply a matter of getting our piece of it at this point. Along with the syndication money.

[Michael I]

Just an update I have been able to speak with James and we were able to get a payment for $1,000 yesterday to go towards the outstanding balance with SBL. He did confirm that the Splash commission came into their account so there is no issue with Splash sending out comp. It is simply a matter of getting our piece of it at this point. Along with the syndication money.

sound like the merchants that are broke , stop payments for a month and than go into a payment plan

[brandon_]

They confirmed they were trying to get paid twice on the commission from Splash. Classic

[Shorebird]

I have not received anything from them yet.

[brandon_]

Squeaky wheel gets the oil

[Sachip24]

They confirmed they were trying to get paid twice on the commission from Splash. Classic

yikes

[Shorebird]

Yeah, but they spend more time bull****ting people than working.

I have been stroked since Friday for a measly $600.

It is now Wednesday and they can't even come up with $600 to pay me on a renewal of 12k-1.49-60 deal.

Not to mention another $5800 in commish from month ago.

Maybe a Debanked video on this would serve our community well going forward.

[Adam2326]

We have had to negotiate a schedule out with James at SBL to get paid on a weekly basis to cover the Splash commission and Syndication money. There is still some back and forth at this point on how much is owed in total but for the most part James has been agreeable on the total dollar amount. The problem is just how long it will take to see the money come back at this point, while the clock continues to count forward we lose more and more money based on those dollars being missing. It is a bad situation that continues to get worse and worse as time goes on.

[ryan $]

We have had to negotiate a schedule out with James at SBL to get paid on a weekly basis to cover the Splash commission and Syndication money. There is still some back and forth at this point on how much is owed in total but for the most part James has been agreeable on the total dollar amount. The problem is just how long it will take to see the money come back at this point, while the clock continues to count forward we lose more and more money based on those dollars being missing. It is a bad situation that continues to get worse and worse as time goes on.

We were not trying to get paid twice from splash.
Whatever was going on with the account at the time, being frozen, and now closed, apparently contributed to some payment delays, or lack of the ability to reconcile payments by going online and seeing what exactly is what.

James and Adam have worked out payment, In my capacity I am still trying to get Adam paid out sooner.

Having your accounts frozen, I assure you is a pain in the ass. We were limping along for what was a 10 Day period where they allowed checks to process, and the in person transfers, that was temporary, as our main accounts are frozen completely. New accounts were opened, RTR is coming into the new accounts, commission is rerouted..... But when you have money flowing in to a bank that freezes multiple accounts, and then open a new account, and if you think the RTR is going to cover everything, its not. Commission went into the accounts that were frozen. We are using RTR and newly closed deals to pay out on old stuff that was affected by the bank issues.....

It is not a pretty situation. But as I've said.... Everyone will be paid. We are doing the best we can trying to keep everyone happy. I'm doing the best I can with the limited information i'm being given on the situation....Its just not a good situation.

Money is moving, albeit slowly, we are trying to spread what is coming in around to make everyone at least comfortable knowing we are not vanishing or running off.

[patrickw]

I have worked with @ryan $ quite a few times and I never had any issue with the commissions.

[ryan $]

I have worked with @ryan $ quite a few times and I never had any issue with the commissions.

Thank you Patrick.

As I have said, Everyone will be paid. Everyone who has posted on this thread about not being paid, has been paid... at least something.

Having 5 Accounts frozen due to a bogus chargeback is not an easy situation to handle and/or deal with.

When I had my own company I had this happen (something similar) and Thankfully had it handled in 8-10 Business Days I believe. And I was just lucky..... I had multiple accounts at different banks and spread around a little more.... but it still affected me in a major way. If I had my accounts all at one bank I probably would of jumped off a bridge.

Everyone will be paid on EVERYTHING. In 15 years I've never stiffed an ISO, and I won't start now.... I know all too well how it feels. When I was 19-20 I thought I had it all figured out and went out on my own. I busted my ass hand dialing yellowpages and In person visited 3 deals and closed them. Via 2nd Source Funding. I wasn't paid on the first 3 deals I ever closed on my own. I gave up and called it quits and went and got another job. The only excuse I was given by then ISO Rep Isaac Stern was "2nd Source screwed all of us".

I would never want an ISO to feel like I did back then, utterly just defeated, no money, put everything out in an attempt to get some back and then finding out the money coming in is not coming in as expected.... It is a ****ed up feeling.

I've managed to work with ISO's through about 4-5 Different companies over the years. **** has happened in a few of them....storms have been weathered.... this one will be as well.

[Shorebird]

I know, Ryan had such a good reputation here on DF.

This is really nuts.

I am still waiting for a measly $600 since last Friday.

[fundingsmbs]

this is all HorseSH@(*%@()*$ and we know it

[Shorebird]

Ryan is starting to chip down balances.