Your client's logic is impeccable but wrong.
All lenders ask only two questions: Has the borrower paid loans back previously and will they be able to pay them back in the future?
I would guess the client's financial statements do not indicate her cash flow is enough to pay the loan back.
Cash flow is loosely defined as net profit plus depreciation less the current portion of debt service.
You would probably do better partnering with someone who spends most of their time in that marketplace as opposed to MCA's.
The difference is knowing how to run the numbers, present them and sending the deal to a lender who has an appetite for it.
Bob Shaw
734.929.3800
rshaw@advancecredit.com