MCA – Consolidation

MONTHLY PAYMENT LENDING PROGRAM For MCA Consolidations

Many reasons why thousands of small businesses have accepted expensive, short-term funds like Merchant Cash Advanced loans (MCA) to address working capital needs. If you have a strong cash flow they can be of value (like a restaurant), if your cash flow is sporadic not so good. So you get another MCA loan to cover (stacking) next thing is you have 3 or 4 loans and the strain of paying back these funds on daily or weekly sweeps can leave the business more cash-strapped than they were before. Optimistic that earnings will outperform the cost of the short-term debt.

The program was formed to help small businesses save up 75% on debt payments while preparing them for Bank or other Lender eligibility and long-term success. We know we can’t approve everyone, but we try, and we do have another program for more difficult MCA loans.

Our consolidation difference: If the Business owner is creditworthy and the entity would be profitable without the anchor of their debt load, we provide monthly payment credit, at lower interest rates, extending terms- so businesses can thrive. It is not unusual for clients to save tens of thousand dollars per month from our system.

The Program is not based on monthly deposits and cash-flow like MCA loans.

It is based on earnings (net the cost of capital from MCA’s), existing debt on a balance sheet, credit, and the realistic path to Bank lending. These tailored credit facilities have monthly payments with 18-month-24-month amortizations (payback terms), with anticipated exit payments. Accordingly, the due diligence documentation requests are exactly like those banks insist upon plus the original MCA contracts, with current amounts owed. Mindful of the strain small businesses are under when faced with multiple ‘positions,’ Lendingcapital will offer pre-approvals or declines within three business days of full submissions.

Monthly Payment Consolidation Guidelines

• Entities must be 2+ years in Business.
• From $50k-$1M ++
• No cash-out requirement
• Businesses must demonstrate profitability without MCA debt.
• Guarantor FICO score 600+
• Files are fully underwritten with following documents needed for consideration:

Documentation needed:

• 2 years corporate and personal tax returns
• YTD profit and loss (within 30 days of submission)
• Balance Sheet
• MCA Payment Debt Schedule
• Contracts from existing MCA positions
• Copy of Drivers License (front & back)
• Personal Financial Statement of guarantors
• 12 months of Corporate Bank Statements (all accounts)

Preliminary approvals or declines within 2 business days and closing (when applicable) typically within 20 business days. If Pre-Qualified a video interview will be set up and any further documentation will be requested. Once all is approved generally 15 days to funding.

Quite simply, this program exists to help otherwise profitable small business owners, their families, their employees, and those associated with them

Lendingcapital.net