[golf2014]

what is the average factor rate and the usual range lenders give for a loan??

[CO1]

That's to broad of a question, there's many factors that come into play while pricing a deal.

[Eddie.deangelis]

Depends on term and company score. Term plays a huge factor in price

[Eddie.deangelis]

6 month best buy rates approx 1.12-1.15. 12 month 1.25-1.30 and so on. If you are just looking for an average industry rate overall I would say around 1.35 is a very good estimate

[AndyYSCISOdept]

AGREED. Although, a lot of times the factor rate is more of a afterthought to how the deal is structured. (example: if the merchant wants a lof money for 2 months I can afford a HIGH Daily Payment/Low Factor...and vice versa)

In that case a 1.45FR isn't exactly indicative of a POORLY QUALIFIED MERCHANT, it is more likely indicative of the other parts of the deal Dollar Amount, Term Length, and Payment

[ADiamond]

what is the average factor rate and the usual range lenders give for a loan??

Shorter term deals tend to have a mid to high 1.40's and the average I see is 1.419

[Finance1]

From everything I've seen the buy rate breakdown is pretty standard for the different tiers:

Premium: 1.15/6 : 1.23-1.30/12 : 1.31-1.45/12 to 18

Standard: 1.28 - 1.40/ 6-12

Starter/stack/banged up: 1.35 -1.50/ 3-5

[golf2014]

thanks all

[bk627]

From everything I've seen the buy rate breakdown is pretty standard for the different tiers:

Premium: 1.15/6 : 1.23-1.30/12 : 1.31-1.45/12 to 18

Standard: 1.28 - 1.40/ 6-12

Starter/stack/banged up: 1.35 -1.50/ 3-5

Which lenders out there give the best rates? from premium to starter/stack?

[Finance1]

Which lenders out there give the best rates? from premium to starter/stack?

It's a very long answer because it's not always about rates. Business type and amounts vary greatly across the board from lender to lender.

For premium, take a look at OnDeck, NewLogic, ARF, MCC, TBB.

For standard you'll need to find a few companies that you feel comfortable with and get a good relationship going. There are tons of them out there that all look the same on the outside but the inside makes the difference. Retail Capital is one of my favorites but that doesn't mean much coming from one person.

I'll never recommend a stack company.

[bk627]

thanks for the reply, who is afr and tbb? can you tell me there full name. Also is newlogic and can capital the same company?

[MCNetwork]

ARF - ARF Financial
TBB - The Business Backer

Advance Me and New Logic are now CAN Capital

[Sean Cash]

Don't forget ForwardLine. They've been doing premium rates since before there even was an OnDeck.

[Chambo]

Nobody mentioned IOU Central? American Microloan? GBR?

[Finance1]

Nobody mentioned IOU Central? American Microloan? GBR?

All 3 of those are good. IOU one of the best 6-12 month options but they will lose the loan size battle against the competition almost every time.

Sean, Forwardline's processing switch requirement isn't worth it 9 times out of 10. That's their profit center I think. I think their advances are more of a loss leader of sorts. In the years I've been doing this I've never lost a deal to Forwardline that I can remember. I'm sure it's happened to others but few and far between.

[MCAVeteran]

I believe forwardline changes their policies on forcing the processor switch to ach and lockbox- check back as that's what a few reps reported. Commissions aren't high and they don't have buy rates as they want to preserve branding as lower rate provider. If the processor switch is still required than it becomes a barrier to close deals-

[MCAVeteran]

Also, as you explore ISo agreements and calls to funders, make sure you ask if your deal is turned down, does the funder reserve the right to send that deal to another funder to monetize on it and you still get paid. You would be surprised how much passing of turn downs occurs to other funders. Read the ISo agreements, ask the questions, and read the renewal policies closely.

[Eddie.deangelis]

I recently heard about arf here in the funder and they offer weekly payment option. Are they a top dawg lender like can ?

[Eddie.deangelis]

How are SRF and TBB when it comes to industry ?? Also has anyone noticed how aggressive CAN has recently become ? They have been approving deals that my 2nd tier lenders have turned down and funding them too !

[MCAVeteran]

Can and ODC are in their own league when it comes to volume. arf you asked if they are a top dog- if you are going on market share, and comparing, there is a wide difference in the three companies for market share. Arf has a direct sales model with w2 reps across the country selling loans for them

Amex is another big box name that has opened their funding program to processors and referrals now.

[Ryan Shiroky]

Nobody mentioned IOU Central? American Microloan? GBR?

what ever happened to American Microloan? I haven't heard that name in, like, 4 years...