MCA lender reaches out to me to do a cash out refi on a primary residence in Virginia.
Appraisal comes in at $1.435MM
Merchant has a LOT of debt.
IRS: $762K
B B & T Bank $37K
F & M Bank: $210K
VA Dept of Taxation: $46K
(We had to negotiate to pay all these off as they put liens on the property)
This was a bank statement program using 12 months business and personal bank statements.Need a 660 or better Fico.
Tried to get SBA 7A but business score still too low.
The IRS debt was one issue keeping merchant from getting a SBA loan
If we can get the business score up higher, then the SBA 7A is viable
The SBA 7A can then be used to pay off the MCA lender. May have to use a bridge here to do this.
Reach out if you have any questions about asset based loan options for your merchants.
Steve Benjamin
Professional Business Loans
522 Contessa
Irvine, CA 92620
Broker, Underwriter, general business loan expert
949.228.1050
