[freeprocessing]

If a merchant upfront says they do not want a personal guarantee they usually have intent to default. Most funders guarantee's are as long as the business is open and operating they need to pay the money back. Even with out one we can still try to go after the merchant for our money but if the business is shut down and has no money we cannot collect. The best we will be able to do is put a judgement on the merchant and hopefully get paid at one point in the future.

Thank you for your opinion. I agree in some cases and some cases I disagree. Some merchants who have never taken a cash advance before are weary to have a personal guarantee and has nothing to do with planning on defaulting.

With that being said I am still looking for anyone who does not require a PG.

[ridextreme]

Thank you for your opinion. I agree in some cases and some cases I disagree. Some merchants who have never taken a cash advance before are weary to have a personal guarantee and has nothing to do with planning on defaulting.

How would you even know that he's not planning on defaulting? Just because he didn't tell you?

If it's his first time taking out an advance just set him straight right off the bat and tell him "if I tell the underwriter you don't wanna sign a PG, he's gonna think you're not planning on paying back the money and it will kill the deal. You have 550 credit, there's no way around not signing personally for the money" instead of saying "yes, sir, I'll find a lender that doesn't require you to sign a PG".

[freeprocessing]

How would you even know that he's not planning on defaulting? Just because he didn't tell you?

If it's his first time taking out an advance just set him straight right off the bat and tell him "if I tell the underwriter you don't wanna sign a PG, he's gonna think you're not planning on paying back the money and it will kill the deal. You have 550 credit, there's no way around not signing personally for the money" instead of saying "yes, sir, I'll find a lender that doesn't require you to sign a PG".

Thank you so much for all your help.

Still looking for advice on anyone that does not require a PG or will make a certain exception.

[ridextreme]

Thank you so much for all your help.

Still looking for advice on anyone that does not require a PG or will make a certain exception.

It's no problem, let me close him on signing a PG and I'll split it with you is that cool? (chances of you getting him through without a PG is almost non existent).

[NotALoan]

Thank you for your opinion. I agree in some cases and some cases I disagree. Some merchants who have never taken a cash advance before are weary to have a personal guarantee and has nothing to do with planning on defaulting.

With that being said I am still looking for anyone who does not require a PG.

If a merchant is "wary" of a funder including a PG as a way to protect themselves, since the funder takes on 100% of the risk, MCA may not be the right product for this merchant. Have you explained to him why PG is the norm on MCA contracts? Does the merchant understand what a PG is and why funders use it?

[abfunders]

If a merchant is "wary" of a funder including a PG as a way to protect themselves, since the funder takes on 100% of the risk, MCA may not be the right product for this merchant. Have you explained to him why PG is the norm on MCA contracts? Does the merchant understand what a PG is and why funders use it?

If MCA isn't the right product for him, what is? There are VERY little no-PG products out there. Factoring in many cases has a validity guarantee (which is basically only a PG in the case of fraud). Because an MCA isn't a loan, the PG on an MCA is structured differently than the standard PG.

[NotALoan]

If MCA isn't the right product for him, what is? There are VERY little no-PG products out there. Factoring in many cases has a validity guarantee (which is basically only a PG in the case of fraud). Because an MCA isn't a loan, the PG on an MCA is structured differently than the standard PG.

A government backed loan, certain factoring, certain credit cards and LOC, etc. It's difficult to find one, but I imagine it's even harder to find an MCA with NO PG whatsoever

[freeprocessing]

If MCA isn't the right product for him, what is? There are VERY little no-PG products out there. Factoring in many cases has a validity guarantee (which is basically only a PG in the case of fraud). Because an MCA isn't a loan, the PG on an MCA is structured differently than the standard PG.

Can you elaborate?

[freeprocessing]

If a merchant is "wary" of a funder including a PG as a way to protect themselves, since the funder takes on 100% of the risk, MCA may not be the right product for this merchant. Have you explained to him why PG is the norm on MCA contracts? Does the merchant understand what a PG is and why funders use it?

MCA is not the right product for them. They have never taken one. We are working on some other stuff but they needed money quick.