[Zach]

I recommend to always quote all of your deals with a 10% origination fee and the maximum allotted commission, and subsequently negotiate from there.

[AndyYSCISOdept]

I recommend to always quote all of your deals with a 10% origination fee and the maximum allotted commission, and subsequently negotiate from there.

You don't think that'd be risky and setting yourself up for rejection or the merchant to consider other options? That's an honest question because I am sure it can go both ways.

[MCNetwork]

I recommend to always quote all of your deals with a 10% origination fee and the maximum allotted commission, and subsequently negotiate from there.

This tactic may have worked in 2008 but in today's competitive climate it won't get you far. You have to know your audience and tailor your pitch for each merchant. For example, you won't go in guns blazing hot with full commission and fees if you're dealing with a 780 FICO merchant with a great business. On the other hand, if your merchant has a 480 FICO and just got out of bankruptcy, that's a different story...

[BigIz]

I recommend to always quote all of your deals with a 10% origination fee and the maximum allotted commission, and subsequently negotiate from there.

Zach, just to be clear because I am new. Are you saying for me to quote a 10% broker fee for me on top of the 8% commission?

[Zach]

Zach, just to be clear because I am new. Are you saying for me to quote a 10% broker fee for me on top of the 8% commission?

If the lender allows it and you understand how to sell it, then that is indeed the best way to maximize revenue.

Of course, there is a separate, moral argument to be made, however I'd rather not discuss ethics on this board.

[BigIz]

If the lender allows it and you understand how to sell it, then that is indeed the best way to maximize revenue.

Of course, there is a separate, moral argument to be made, however I'd rather not discuss ethics on this board.

Thanks Zach. I am not necessarily against adding a "Broker" fee when the commission is low and the Lender allows it but my issue with this was twofold.

How do I set up the ACH pull and stay compliant with State statutes that may affect my "broker agreement" with the merchant.

Yeah, I know, I hire an attorney.

I had contemplated using Funding Circle on some term deals because of their rates compared to Loan Me and adding 6.5% commission on top of their 1.5% (quoting the merchant a total origination fee of 9.99% up front) but had not because of my two issues above.

[Chambo]

Zach, just to be clear because I am new. Are you saying for me to quote a 10% broker fee for me on top of the 8% commission?

Yeah, if you want to close 2-3 deals a month