Columbus Merchant Cash Advance Attorney: Your Guide to MCA Debt Help
Hey there! If you run a small biz in Columbus and have gotten a merchant cash advance (MCA), you might be struggling with payments. I feel you – I’ve been there myself. MCAs can be super tempting with how fast you get the money, but whew those payments add up quick.Let me break it down for you real quick:
- MCAs are not small biz loans. Nope, they’re an advance on your future credit card sales.
- To get one, just apply online or over the phone. Approval is way faster than a bank loan.
- You get a lump sum upfront, anywhere from $5K to $500K. Nice!
- But (and this is a big but) you pay it back at a fixed percent of your daily credit card revenue. Usually around 10-20%.
- There’s no set repayment period. You pay until the advance + fees are paid off.
So at first, MCAs seem great – you get money fast with no collateral. But if sales drop, those payments can crush your biz. Not so great.I’ve seen a lot of Columbus small biz owners get in over their heads with MCA debt. If this sounds familiar, keep reading! Here’s my guide to dealing with MCAs in Columbus, including whether to hire an attorney.
-Do You Need a Columbus MCA Attorney?
If you’re behind on payments or just struggling in general, hiring an attorney can help big time. Here’s what a good MCA lawyer can do:
- Negotiate with the MCA company to reduce payments
- Get unfair or illegal contract terms thrown out
- Defend against lawsuits and judgments
- File countersuits if you were misled or defrauded
- Deal with UCC liens on your assets
- Explore bankruptcy if needed (a last resort)
Basically, they even the playing field and give you leverage vs the MCA company.
UCC Liens
One thing an attorney can help with is UCC liens. Ever heard of these? Many MCA contracts let the company put a lien on your:
- Equipment
- Inventory
- Accounts receivable
- Future revenue
Not cool. This lets them grab your assets if you default. An attorney can get the lien removed or prevent assets from being seized.
-Lawsuits and Judgments
If you default, the MCA company can sue for the remaining balance. And many contracts have something called a confession of judgment.This lets them get a judgment against you without even going to court. Scary, I know! They can then freeze your bank accounts and take assets.But a good lawyer can fight the judgment or even get it reversed. New York used to allow confessions of judgment, but not anymore for out-of-state defendants.
Beware MCA Debt Relief Companies
You might see ads for MCA debt relief that sound great – “We’ll slash your payments by 50%!” But be careful with these folks. Ask:
- Are they lawyers? If not, they can’t provide legal help.
- Do they charge upfront fees? Big red flag.
- Can they get judgments reversed or liens removed? Unlikely.
Stick with a law firm for the best protection. Debt relief companies can’t do much if legal action starts.
Finding the Right Columbus MCA Attorney
Picking the right lawyer is key. Look for:
- Attorneys with extensive MCA debt experience. It’s a niche area!
- Lawyers familiar with Ohio laws and courts. Home field advantage is huge.
- Someone who offers a FREE case review. Avoid firms that charge for this.
- Flat fee billing, not hourly. Much more predictable for you.
And make sure you vibe with them! This is your partner in the fight.
-Alternatives to Hiring an Attorney
Not ready to hire a lawyer? Here are some other options:
- Negotiate yourself. You can try calling the MCA company and asking for reduced payments yourself. But they hold all the cards without legal backup.
- Debt counseling. Non-profit credit counselors can help make a budget and negotiate debts. But no legal help.
- Debt settlement. These companies negotiate lump sum settlements for less than you owe. But results vary widely.
- Bankruptcy. If all else fails, Chapter 7 or 13 bankruptcy discharges debts. But lawyers are still needed, so why not start there?
So those are some ways to deal with MCA debt in Columbus. My advice? Be proactive. Sitting back and hoping it goes away won’t cut it. Call an experienced attorney for a free case review and get a game plan together.You’ve got this! With the right help, you can get your payments under control and focus on your biz again.