[Concord_]

Off the wall question... Is there anyone out there that would consolidate a Funding circle position with a similar deal?

Merchant was funded $500k Dec 2019, Balance is $300k, Maturity date 12/24/2024.

I know Fundation used to be an option, any input is helpful.

Thank you!

[Ourmerchants]

The only option I could think of here to compete with FC's rate and term would be to try getting your client into 7a SBA loan since 350k max loan amount would cover the 300K client has outstanding and
with a 10 year term and better rates . Just make sure client qualifies for the loan before wasting more time on the file.

[abfunders]

If there's AR, try to use the AR to consolidate into a factoring facility. But there has to be enough AR to make it worthwhile obviously.

[Yankeeman07]

Ditto - regarding the SBA Advice

[WestCoastFunding]

SBA 7(a) goes up to $5M.

But good luck getting an SBA lender to consolidate this debt without taking additional working capital.

Micah is right: it’s gonna come down to A/R. Or even real estate.

[Olderguy]

Yes I can do it and not SBA but a term loan 5 years around 20%. No origination fee.

I stopped using Finding Circle few years back but then it was 13% plus 5% origination 5 year term.

Have you looked into a SBA Express up to $350,000? Problem is benefit.

I'd rather see a $500K term loan justify the use of funds....debt consolidation and W/C.

(Assuming they qualify)

[Concord_]

I thought this maybe an option, just found out he has Fora as well. Balance 380k. I don't this 7(a) will work now

[Concord_]

Thank you everyone for your input here! I really appreciate the feedback here.
I was thinking SBA as well, but after diving deeper into the file we found he has a 380k balance with Fora as well. I think this merchant is a little overleveraged for what he is looking for.

All and all thank you everyone for the information!!