[SBF]

This is an LLC and has been in biz for 5 years. Generating $150k/mo most months.. jan and feb only $80K/mo. They owe IOU $54K, Strategic $64K and Kings $26K.. for a total of $144K. Would be fine to leave IOU in place and payoff other two, she needs to net $35K for inventory. Bank statements are stellar, no nsf activity. 90% of revenue is cc's, which is not leveraged. All of the above are daily pulls. Credit is fine.. nothing real bad, just low score (550) due to inquiries and debt. Current daily pull totals $1346.

Need a direct lender that can help with this.

Thanks.

[Zach]

WBL would be a perfect fit for something like that. Do you have a moment to speak?

[SBF]

Hi Zach, she doesn't have collateral.. sadly..

[RichardGerard]

Several 3-5 year options available

[nrh1lp]

Why did the merchant not go after a split or lock box in the first place? If 90% is CC processing it will typically yield a higher approval and more flexibility with the payback.

[SBF]

Already tried that.. she has too much debt to qualify.

[SBF]

because she was funded by IOU to begin, arguably the lowest rate lender in this space. Would've been nice to find a 2nd pos lender to do a split.

[SBF]

Already tried that.. she has too much debt to qualify. We were very close with Deal Struck..

[anonymous]

QS, not sure if they would get the full $150K approval (very unlikely). But they will pay off positions, come in 2nd w/ 1st Pos terms, and require 45% net (after fees) if PG qualifies. Long shot, but the only one worth taking (that I can see). They should be more concerned with reducing monthly payments than netting capital. Once payments are down they can get another position wherever. Or you could just sell them a 4th (someone is going to).

[nrh1lp]

It sound like the merchant is already over leveraged for another MCA and with a drop in revenue like that a consolidation with another MCA is not likely, WBL would be a good route if their was collateral. It sounds like Richard has some term options up his sleeve which is going to be your best option as the merchant is essentially asking for double what their current monthly revenue is

[BW Capital Solutions]

WBL would be a perfect fit for something like that. Do you have a moment to speak?

Is this a canned response from WBL?

[SBF]

yep, unlikely she would qualify for that much.. this is wrong time of year for her, as her revenue was only $75K in Jan and on track for $90K in Feb.. normally she does $150K - $180K. Thanks for the advice..

QS, not sure if they would get the full $150K approval (very unlikely). But they will pay off positions, come in 2nd w/ 1st Pos terms, and require 45% net (after fees) if PG qualifies. Long shot, but the only one worth taking (that I can see). They should be more concerned with reducing monthly payments than netting capital. Once payments are down they can get another position wherever. Or you could just sell them a 4th (someone is going to).

[bsmith]

You could always try to get LoanMe to do it. My understanding is they offer 3x monthly gross -any outstanding balances.

[Zach]

Is this a canned response from WBL?

I have it on my copy/paste clipboard

[BW Capital Solutions]

I have it on my copy/paste clipboard

You are the best man!

[aredmond]

QS, not sure if they would get the full $150K approval (very unlikely). But they will pay off positions, come in 2nd w/ 1st Pos terms, and require 45% net (after fees) if PG qualifies. Long shot, but the only one worth taking (that I can see). They should be more concerned with reducing monthly payments than netting capital. Once payments are down they can get another position wherever. Or you could just sell them a 4th (someone is going to).

Unfortunately Quarterspot will never fund a merchant that has 3 current advances. They consider 3 advances not 2 "stacking". They will autodecline the file and also put them on their blacklist for funding. Even if the merchant came back years later with no current advances it would be declined

[AlexSMF]

This is an LLC and has been in biz for 5 years. Generating $150k/mo most months.. jan and feb only $80K/mo. They owe IOU $54K, Strategic $64K and Kings $26K.. for a total of $144K. Would be fine to leave IOU in place and payoff other two, she needs to net $35K for inventory. Bank statements are stellar, no nsf activity. 90% of revenue is cc's, which is not leveraged. All of the above are daily pulls. Credit is fine.. nothing real bad, just low score (550) due to inquiries and debt. Current daily pull totals $1346.

Need a direct lender that can help with this.

Thanks.

My suggestion is submit this to On Deck and put that she owes 120,000. If they give her an approval for 250,000 then have her pay down one of the advances by 20k out of pocket and then have On Deck fund it for the 250,000. Only questionable item here would possibly be the credit score. I know On Deck typically does not like to fund with below 600 score if they are buying out multiple positions. Other than that, you can try Quarterspot and see if they would buy out Strategic and Kings and go into 2nd position. If you want to take her out of the MCA products all together then see if you can possibly obtain a term monthly payment loan for her through a guy like Richard Gerard. I personally would not take this to WBL as the last thing you want is to pretty much give your merchant a 45% daily payment mortgage.

[RichardGerard]

Thanks Alex agreed... There are assets in Boutiques (inventory) and the revenue is substantial enough to support a larger facility- perhaps 250-300k. While the credit will be a consideration- it will be less significant than the Balance Sheet, P and L, and historical Financials.

Banks that do monthly payments want to see a track record and something to attach to... Sounds like there might be something there..

[jtkamp19]

We can get this funded.

[SBF]

We can get this funded.

A partial consolidation or 4th position?

[SBF]

My suggestion is submit this to On Deck and put that she owes 120,000. If they give her an approval for 250,000 then have her pay down one of the advances by 20k out of pocket and then have On Deck fund it for the 250,000. Only questionable item here would possibly be the credit score. I know On Deck typically does not like to fund with below 600 score if they are buying out multiple positions. Other than that, you can try Quarterspot and see if they would buy out Strategic and Kings and go into 2nd position. If you want to take her out of the MCA products all together then see if you can possibly obtain a term monthly payment loan for her through a guy like Richard Gerard. I personally would not take this to WBL as the last thing you want is to pretty much give your merchant a 45% daily payment mortgage.

Interesting idea with OD.. I'll give it go.. thank you.