An alternate source of funding for small businesses. We make small investments, for short amounts of time, in small companies. we purchase a portion of the company’s entire income stream. We can work with just about any business, with the exception of non revenue companies and Start-ups (must be in business a minimum of 1 year, 2 preferred). Specifically, we invest $50,000 to $250,000 for 6 to 12 months in companies with sales of less than $5 million per year and which have fewer than 20 employees. Our “sweet spot” client is someone who has an ongoing business with predictable income, has an expansion opportunity and needs funds, yet cannot get traditional financing for one reason or another.
We look to bridge the gap between long-term financing options, like bank loans and equity investments; and short-term options like factoring. Our model is also flexible. We seek out companies who need capital to help them “bridge” to a future event that will increase income.
Rapid Sales Growth
Expansion or Acquisition
New Product Line
Additional Headcount
New Marketing or Promotion Strategy
Inventory
Payment of One-Time or Non-Recurring Expenses
Terms:
o Monthly discount rate is 1.83%. (not a interest rate)
o Funding amounts typically range between $50k – $250k.
o Payments should not exceed 20% of monthly income
o Margins of 35% or higher
o Our typical repayment period is 12 months (6 month minimum).
o No closing cost, no PPP or upfront fees
o Monthly or weekly payments
o No Fico score required
Submission Docs:
1. 12 months bank statements
2. Most current year’s business tax return
3. YTD business financials
FAQ:
Q: Is there a certain type of industry you will NOT fund?
A: We do not fund companies with no revenue. Typically will not do fund retailers or restaurants(low margins)
Q: How long do I need to have been in business?
A: At least 1 year, 2 preferred.
Q: How long does it take to close?
A: Average is 30 days, can be less if client is responsive about getting desired paperwork back.
Q: Is there a personal credit score requirement?
A: Not necessarily. If someone has a FICO in the 400s…it makes you wonder. But many of our clients do not have perfect credit.
Q: What about tax liens and or judgments?
A: If the lien is satisfied and there is a payment plan in place, not necessarily a deal killer.
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