[MCNetwork]

You guys consolidated over $1M of MCAs over 8 positions for one merchant?? You got balls of steel. The risk to reward ratio probably looked horrible. I'll bet before the month is through he'll have 5 new stacks...

[dpFund]

You guys consolidated over $1M of MCAs over 8 positions for one merchant?? You got balls of steel. The risk to reward ratio probably looked horrible...

Ha! Nope. It was great. Client was doing $18M annually and generating $400k per month in net profit...ALL of which was going to his daily MCA payments. I was able to convert him to monthly payments and get him down to $120k monthly so we immediately dropped $280k of net profit onto his bottom line which he is using to expand his business. They have been a great client, with on-time payments. These deals are doable for the right clients.

Of course, not consolidations fit this well. So many of them I see are so upside down they cannot be saved. But this fellow had a strong, profitable business and I was able to pull him back from the ledge. :-)

[MCNetwork]

Ha! Nope. It was great. Client was doing $18M annually and generating $400k per month in net profit...ALL of which was going to his daily MCA payments. I was able to convert him to monthly payments and get him down to $120k monthly so we immediately dropped $280k of net profit onto his bottom line which he is using to expand his business. They have been a great client, with on-time payments. These deals are doable for the right clients.

Of course, not consolidations fit this well. So many of them I see are so upside down they cannot be saved. But this fellow had a strong, profitable business and I was able to pull him back from the ledge. :-)

If you got his payments down to 120K per month, he must have not been able to net much after paying off the other balances, unless you got him $2 million plus over a 24 month term. I just don't see how the numbers can work in your favor. This is a guy addicted to cash advances and he'll pile up positions very soon and leave you guys exposed.

[dpFund]

If you got his payments down to 120K per month, he must have not been able to net much after paying off the other balances, unless you got him $2 million plus over a 24 month term. I just don't see how the numbers can work in your favor. This is a guy addicted to cash advances and he'll pile up positions very soon and leave you guys exposed.

Again, I am sensitive about hijacking this thread and did not mean to do so. In this client's case, all he needed was $100k which I was able to qualify him for. He was instantly profitable after the consolidation and did not need any additional funds since now he was $280k in the black on a monthly basis. It does not work for all clients but it worked for him. Any additional questions please email me at dan@fundingstrategypartners.com. Thanks - Dan Page

[AndyYSCISOdept]

You guys consolidated over $1M of MCAs over 8 positions for one merchant?? You got balls of steel. The risk to reward ratio probably looked horrible. I'll bet before the month is through he'll have 5 new stacks...

What recourse do those that "Consolidate" have to prevent people from stacking on top of their deal? I assume none, but I was hoping someone might drop some knowledge on me.

[dpFund]

What recourse do those that "Consolidate" have to prevent people from stacking on top of their deal? I assume none, but I was hoping someone might drop some knowledge on me.

I'm sure there will be lots of opinions on this, but we have a binding agreement with consolidation clients that they are not allowed to have any additional loans while they are repaying us. We have a process in place wherein we do monthly lien searches, monitor bank accounts, etc. to ensure compliance. If they violate the terms they are in default and we take immediate action to come and take all of our money. Too many specifics for this thread, and I do not want to hijack the thread talking about my business model. But suffice to say, we protect our asset and the consolidation can be life changing for the right clients. This plays into other threads that have been started here about clients being forced out of business by greedy lenders and brokers. I can bring some of them back into the land of the living, but it needs to be the right fit.

[AndyYSCISOdept]

dpFund - thanks for the response that was what I needed to know.

PS don't worry about the hijacking, Im the DB Cooper of DFer.