[Collection Specialist]

Hello all! I'm new to this site but have been involved within the MCA/factoring/private loan industry for over 10 years. I'm looking to inquire if anyone out there has any need for someone to handle your collection accounts. I am sure you have some type of in house team but I am speaking more towards files that are either noncollectable by your team or have already been written off.

I currently work with Canada's largest MCA provider and one of the largest within the US. I deal specifically on their MCA collection portfolio as well as the charge backs received on returned Credit Card processing.

I took my background in law and used it to my advantage. Simply put, I edify every merchant I speak with on the potential legal nightmare they can face if a security lien or personal guarantee must be enforced. Unlike a typical "bill collector", I do not berate by any means but simply explain the laws and their liability which in mostly every case forces them to search for a resolution where otherwise they would not care to.

I have saved millions for my clients over the last 10 years and could do the same for any of you as well. I am happy to offer references from past and present clients.

Let me know if you have an interest in talking further.

[JayBallentine]

It's great to have another expert here on the forum! I have a question...

You remember when Bill Clinton transformed the IRS to be more "softer and gentler?" I assume it's still working because they haven't gone back, although I wish there were data on this. Anyway, what about that type of an approach in MCA?

In other words, if someone is flat broke - how can they pay the money back? What if you were able to help them boost their sales? Check out the following excerpt from a letter I've got going out to solicit regular MCA deals...

If you were dropped off in the middle of nowhere and had to start a successful business from scratch quickly, ...I’ll show you how.

If you had $0 in your business bank account and had to take a your business to the next level of success quickly, ...I’ll show you how.

If ever the question arises “How can I grow my business without much money to spend?” ...I’ll show you how.

***This qualifies for MOST but not all business types.***

I meant every single word I said. Every bit of it is true. The thing is, everything I'll show them is so simple that one's natural reaction is always; DAMMIT! WHY DIDN'T I THINK OF THAT!!???

So, with that being said, do you think there's room for this type of an approach? One where you call the merchant and have them level with you; "hey, I am getting hammered, that's why I am not paying back on time..." Again, this would only apply to folks who are not paying back, because their business is failing and not because they're being shady.

If you see a guy dipping... why not move in and correct it? At that point you can upsell the cash advance for having corrected the problem... "You owe us $10k, we see you are on pace for sales jump of $20k, we're just going to keep the $10k as our cut."

Call me crazy... but what are your thoughts on this?

[Collection Specialist]

That's a valid point but that does not speak to what I do. In my case, I am dealing with cases where the business is closed/pending close and no underwriter in this hemisphere would fund more money to. I go in for my clients when their internal efforts have failed and they can then make the choice to write off the debt altogether or allow my office to collect upon it.

The merchants I deal with are not paying because they are splitting sales, or changed bank accounts, or used overt actions to deceive my clients in order to obtain the funds. Rarely is the case, in fact almost never where they do not pay because sales are low. Even in the case where they simply cannot sustain the business through no fault of their own, a personal guarantee is in place and should most certainly be enforced.