Various Merchant Cash Advance Lead types, and their pros and cons.



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* UCCs
Merchants who already took a cash advance.


Value:
Statistics show that almost 50% of merchants who take a cash advance will do so again at least 3 to 5 more times. They're not shell shocked by the high rates, they're comfortable with the sticky points of the process like the bank login and confession of judgment, and they know the benefit of how fast the cash disbursement is.


Challenge:
Since everyone knows the values of UCCs, where at one point (circa 2006 -2009) they were like shooting fish in the battle, now they are heavily saturated and annoyed, and quick to use every spectrum of the rainbow to guide their language towards you.



* Generated Opt-ins: Aged


Value: Merchants recently came in through online, sms, email, live transfer, or some other lead generation campaign to inquire about or pursue funding. So, they've shown interest, and they're not hit as hard as UCCs and usually are more receptive to your pitch.



Challenge:
They're all blind dates. You have an idea that they want you, but you don't know if you want them. Unlike Uccs, which all qualified for funding, these merchants come from high and low, and that's literally. You will have low revenue and low time in business as well as
whales. You can usually filter out the smaller ones for an extra price, however.







* Generated Opt-In: Aged Pipeline

Value: Merchant took action to inquire about funding.

Challenge: They're usually just information seeking or rate shopping and not ready to take action yet. They do convert, but you need to nurture/follow up, and they have a much longer turnaround time to conversion, 2-4 months usually.

Bonus Value: These merchants are usually on their first go 'round, so if you take care of them, they tend to be more loyal, leading to a stronger renewal book.



* A Paper Declines

Value: Merchants that didn't meet credit requirements to work with top lenders, or their credit was so high, they felt they could find better and passed on the offer.

Challenge: You need to have multiple financing programs and know how to deal with more savvy and responsible merchants. You also need to know how to get a merchant off his spaceship and back to earth regarding his true financial prospects.



* Packs

Value: Merchant took the time and effort to apply and go through the initial process, so very high intent.

Challenge: Legal issues with distributing personal information without permission, saturation like Uccs, overseas scams. And applying and qualifying are not the same, as many merchants who apply will not qualify for anything.




* B2B Data

Value: Files are usually clean, and larger, and renewal book will be through the roof if this is a heavy part of your portfolio, as long as you take care of your merchants.

Challenge: The hardest data type to prospect to. Ten to twenty times less responsive than opt-in leads. Requires the most skill by your salespeople, or automation.



* UCCs Self Scraped

Value: You're getting UCCs before competitors get them, giving you a short window of minimal saturation with a very high-quality lead. The window is short because there are some doing it currently.

Challenge: Difficult and/or time-consuming process, which makes it very hard to scale.



* Referral Leads

_Bank
_Accountant
_Lawyer


Value: Most will say this is the best type of lead (outside of an exclusive UCC, or a merchant you funded yourself). Because you're leveraging the strength of a previous trusted relationship, the merchant will do almost anything you tell him to do, even if it’s bad advice.


Challenge: You have to cultivate outside relationships with key people or key organizations and have them trust you enough to send you their bread-and-butter customers. This takes time and positioning, or very strategic actions, and you won't see results overnight.
It's also very hard to scale even when you have the relationships.




* MCA Triggers (credit pull)


Value: A merchant just had their credit ran to obtain a cash advance, so they're obviously hunting for money.

Challenge: You weren't the one that ran their credit, so you have to be able to break the ice with the merchant. Having credit ran doesn't mean the merchant is okay with 38% money over a short term, so you still have to dissect, sell, and close.





* Co-Registration leads
Registered for another service and was prompted to see if they also wanted business funding.


Value: It's similar to an opt-in lead in that the merchant took action to request information.

Challenge: What and who they co-register with is very important. What they remember is very important. A merchant who signed up to take his kids to Lego Land, may have absent mindedly click that he may also be looking for funding. Sometimes they are incentivized to fill out your form, to receive something else they really want, and calling them becomes a waste of time.



* Double Opt-In data

Value: Merchant opt'd in to receive messages in regards to your industry. TCPA compliant, usually accurate data, and litigator free.

Challenge: They're not specifically looking for funding now, (or ever) so it will take nurturing and time before you see any results. But usually lead to good renewal books long-term.





www.UccRadar.com – Large sales volume merchants filling out your application.