Do you or any funders you have seen enforce a no stacking clause from their MCA agreement?
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Enforcing a no stacking addendum?
Enforcing a no stacking addendum?
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I see many funders use the ”no stacking” addendum to refuse refinancing A client.
I also see some funders use the addendum to sell their refinance or risk paying the stacking fee. I’ve seen texts from merchants where lenders say- “If you dont refinance with us, we will enforce the $5k fee”
And as a broker seeing how some shady brokers operate, I’ve also seen people threaten Merchants to take their deal or else they will notify the lenders in your account that you stacked them resulting in $5k + $5k + $5k fees.
Not advocating for this… just wondering how funders feel about having their stacking fee used against them as a selling point to then stack their deal.
overall I find it counterintuitive to tell a merchant “you can only sell your future receivables to us at 1.499 or else $5k fee”.