MERCHANT CASH ADVANCE ATTORNEY LOS ANGELES
Delancey Street offers a MONEY BACK GUARANTEE for our debt relief services.
We are Delancey Street, a top-tier business debt relief company that focuses on helping Los Angeles business owners handle their merchant cash advance issues nationwide. Regardless of which state the lender is in – we can help you.
REGARDLESS OF WHERE YOU ARE, REGARDLESS of the lender you’re dealing with, and REGARDLESS of how complicated your debt is – we can help you. We have experience dealing with merchant cash advance debt nationwide. We understand all types of business debt, ranging from SBA loans, to MCA’s, lines of credits, and more.
AS SEEN ON FORBES.
AS SEEN ON ENTREPRENEUR.
AS SEEN ON AMERICAN EXPRESS.
Why does this matter? Because you want to know you’re working with a trusted team. We understand the challenges you’re facing, and we have an immense track record of success.
WHAT IS A MERCHANT CASH ADVANCE?
A merchant cash advance (MCA) is technically not a traditional loan. Instead, it’s an advance on your future credit card sales. When you sign an MCA agreement, you promise a portion of your daily or weekly sales, which can spawn an overwhelming repayment schedule. Often, business owners turn to an MCA in hopes of bridging a short-term cash flow gap. Instead, it can spark serious legal and financial problems.
WHY MIGHT YOU NEED A MERCHANT CASH ADVANCE ATTORNEY?
Daily or weekly MCA repayments can cripple your business. When you miss payments or see your balance skyrocket, you risk personal liability if you signed a personal guarantee. You also risk default notices, lawsuits, or the dreaded “confession of judgment” (COJ) if you agreed to such terms. In California, once a lender obtains a judgment (see California Courts website for more info), it can garnish your accounts. There are ways out of this, but you need to hire expert legal help to be able to push forward a defense strategy.
No lender wants you to file bankruptcy. They want their money, period. They will work with anyone, who can help them get their money back. But many unscrupulous MCA providers might pressure you with predatory practices. If you’re facing this scenario, having a Los Angeles Merchant Cash Advance Attorney can be critical.
POTENTIAL PENALTIES AND LEGAL IMPLICATIONS
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Default Judgments:
If there’s a COJ involved (confession of judgment), your creditor can potentially get a judgment without the traditional due process. Once they have a judgment, they can pursue garnishment or even attach liens against business assets (see California Secretary of State for details on liens). -
Personal Guarantees:
Many MCA agreements require personal guarantees. This can create personal liability, meaning your personal bank accounts and property could be seized if the business can’t repay. Many MCA lenders hold this over your head in order to get you to repay the debt you took -
Violation of California Finance Laws:
Some MCA providers will try to play games with the line of legality. California’s Financial Code Sections 22000–22780 regulate certain lending practices, that all lenders who give MCA’s in the state of California must abide by. If a MCA lender crosses the threshold into lending, without proper licensure or transparent disclosures, you may have a defense strategy that can be upheld in courts of California. Visit the California Attorney General website for more information on consumer protection. -
Potential FTC Violations:
The Federal Trade Commission (FTC.gov) is always looking at deceptive and unfair business practices. If your MCA lender engaged in misleading tactics, you might have legal way to get out of repaying the MCA completely..
DEFENSE STRATEGIES WE MIGHT USE TO HELP YOU
We can help you.
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Debt Restructuring or Settlement:
We negotiate with the MCA provider, explaining your business cash flow challenges. Our goal is to restructure or settle the debt for less. We have handled 10’s of millions of dollars, and we have experience that shows that lenders often prefer compromise instead of drawn-out legal battles. -
Review of MCA Agreement’s Legality:
We analyze the contract to see if it violates California Financial Code or other regulations. If the agreement is unenforceable, we push back aggressively and make sure to use our team of attorneys to enforce your rights. -
Challenging COJ Enforcement:
Confession of judgment clauses create concerns about due process. When a lender tries to convert a COJ into a judgment in California, we examine the procedure to see if we can undo it. The goal is to protect you from COJ’s. -
Defense Against Litigation:
If you’ve already been sued, we appear in court on your behalf. We respond to claims, file counterclaims if needed, and protect your rights at every stage. Our sister-law firm can handle even the toughest lawsuits. We have a network of attorneys nationwide, so we can help regardless of the situation. -
Negotiating Lump Sum Payments or Extended Terms:
Sometimes, offering a lump sum in exchange for a reduced principal can resolve the matter immediately. Other times, pushing for a longer repayment schedule helps salvage your cash flow.
A STREAM OF CONSCIOUSNESS ON DISMANTLING MCAS
Look, MCA debts can feel impossible – the amount of interest that you get charged is hard to understand. Most businesses DO NOT have the margins, to afford an MCA and its interest. Anyway, here’s the bottom line:
- Aggressive daily repayment terms can spark immediate stress.
- If you’re missing payments, the provider might threaten a lawsuit.
- Once a lawsuit is filed, your business is at risk.
- In many cases, we can unravel the entire MCA process, turning an apparent “final blow” into a chance for negotiation.
- With our help, you can keep your business afloat, avoid a potential default judgment, and possibly reduce the principal owed.
“DELANCEY STREET SAVES A BUSINESS OWNER OVER $400,000!”
We’ve helped real clients. We’ve helped them fight unscrupulous lenders. We’ve helped them reduce overall balances. We can help you.
HOW OUR DEFENSE MIGHT WORK IN PRACTICE
- Step One: We gather your MCA agreements, business bank statements, and any notices of default.
- Step Two: We contact the MCA provider immediately. We explain your financial situation, present a plan, and demonstrate how a forced judgment might hinder everyone.
- Step Three: Our lawyers negotiate relentlessly, leaning on laws and your data. It’s that simple.
- Step Four: We create a settlement or defense strategy in writing.
- Step Five: We stay by your side until the matter is settled, ensuring you don’t get stuck with extra fees.
MCA RAMIFICATIONS AND GOVERNMENT LINKS
Sometimes, you might wonder if you’re about to break a law by not paying. You’re not alone. The reality is that an MCA default is typically a civil matter – not criminal. It can, however, lead to severe financial consequences. For more guidance about business debts and potential disputes, check out the SBA’s official website.
ALTERNATIVE OPTIONS
Sometimes, you want to avoid the complexity of a lawsuit altogether.
- Business Debt Settlement: We frequently help with unsecured business debt, like MCA’s.
- Invoice Factoring: If you have outstanding invoices, factoring can free up immediate cash.
- Business Debt Consolidation: Rolling multiple MCA debts into one new instrument can reduce interest and daily burdens.
We can help you with each. Our approach is straightforward: we focus on legal solutions which actually help your business, because no lender wants you to file bankruptcy. They want to get repaid, and we can help ensure that you get into a settlement offer that works for you.
REGARDLESS OF THE STAGE, WE CAN HELP YOU.
CONTACT US
We’re Delancey Street, a top-tier business debt relief company. We focus on merchant cash advance issues, and we offer a MONEY BACK GUARANTEE for our debt relief services. Regardless of where you are in the country, our team can help you escape the predatory MCA debt you’re stuck dealing with.