Results 1 to 7 of 7
-
06-23-2020, 10:17 PM #1
- Join Date
- May 2020
- Posts
- 105
Best paying non MCA- financing options for brokers
Aside from MCA, what types of financing options can brokers make a lot from? I’m referring to commercial mortgages, factoring, equipment financing, term loans and etc.
-
06-24-2020, 06:53 AM #2
- Join Date
- Mar 2015
- Location
- Boynton Beach
- Posts
- 3,472
It all depends on the size of transactions and who you are working with. I have been referred factoring and ABL deals from brokers who solely focused on MCA. They were presently surprised of the income generated from transactions vs. a smaller MCA.
-Transaction tend to be larger
-Fees: some pay up to 15% of the net spread over the life of the client.
-If you are working with the right firm the relationship tends to be sticky. Our average life of a client is 3 years. Our referral partners are paid for the life of the client.
Example: A broker from this forum approached me about 4 years ago. He had an IT staffing company seeking working capital. He was going to get them a $50K advance that would have paid him a quick $4K. We offered a $1.5Mil factoring facility that is now 4 years old and approaching $4Mil. His first yea he made 4 times what he would have made on the advance. Commissions have gone up since then since the company has more than doubled in size......partly due to our cost effective and flexible factoring facility. The company referred other companies to the broker and we helped them as well. One of them called me directly and we paid the broker on the deal.
Happy, sticky clients make you more money in the long run. They also have a tendency to refer people to you.Kevin Henry
VP-Business Development
Seacoast Business Funding, a division of Seacoast Bank
561-850-9346
Kevin.Henry@SeacoastBF.com
1880 N Congress Ave., Suite 404
Boynton Beach, FL 33426
-
06-24-2020, 10:56 AM #3
- Join Date
- Jan 2017
- Location
- New York, NY
- Posts
- 59
@kevin Henry-Seacoast is one of your best options for the products he is able to offer. @richardgerard is also a good source as well, I've done many deals with him that were not advances and made very very very good money. Two legitimate sources that you never have to worry about getting paid and getting the job done. Just follow what they tell you, Very good reputation in this industry as well.
-
06-24-2020, 11:35 AM #4
- Join Date
- Mar 2015
- Location
- Boynton Beach
- Posts
- 3,472
Roger-Thanks for the kind words.
Kevin Henry
VP-Business Development
Seacoast Business Funding, a division of Seacoast Bank
561-850-9346
Kevin.Henry@SeacoastBF.com
1880 N Congress Ave., Suite 404
Boynton Beach, FL 33426
-
06-24-2020, 03:36 PM #5
- Join Date
- Aug 2016
- Posts
- 827
-
06-24-2020, 05:53 PM #6
- Join Date
- May 2020
- Posts
- 105
Great insights, thanks for sharing!
Last edited by Iscibibi153; 06-24-2020 at 05:56 PM.
-
06-24-2020, 05:54 PM #7
- Join Date
- May 2020
- Posts
- 105
Great insights, thanks for sharing!
Similar Threads
-
Healthcare AR financing - cheaper then Alleon - any options out there?
By Zonefund in forum Business LoansReplies: 0Last Post: 05-19-2020, 10:54 PM -
Healthcare AR financing - cheaper then Alleon - any options out there?
By Zonefund in forum Merchant Cash AdvanceReplies: 0Last Post: 05-19-2020, 09:38 PM -
Truck and Fleet Financing/Financing Options Available for *YOUR CUSTOMERS* (B-F) RPOs
By AlSuede in forum Business LoansReplies: 0Last Post: 01-08-2019, 10:46 AM -
Franchise Financing - Best Options and Rates for A+
By Cambridge in forum Deal BinReplies: 5Last Post: 03-28-2017, 08:16 PM -
consumer financing options for merchants
By AMERICApital1 in forum All Other LendingReplies: 14Last Post: 09-23-2014, 11:14 AM