Small Business Loan Bad Credit
                     FREQUENTLY ASKED QUESTIONS
 
WHAT KINDS OF MERCHANTS AND BUSINESS OWNERS CAN YOUR LAW 
FIRM HELP?
We represent small business owners from all over the country. Some for example are truckers, 
contractors, roofers, doctors, restaurants, gym owners, retailers, manufacturers and professionals. There 
is no “typical” client, since debt and high interest loans can effect any business and merchant owner.
DOES GRANT PHILLIPS LAW SETTLE MERCHANT CASH ADVANCE LOANS 
AND BUSINESS DEBT WITH ALL FUNDERS?
Yes, our law firm settles Merchant Cash Advance Loans with all Lenders including: Yellowstone, Everest 
(Ebf), Funding Circle, Can Capital, Kabbage, On Deck Financing, Lendini, Snap, Platinum, EIN Cap, 
Mantis, Pearl Beta, Green Capital, Capital Advanced Services, GTR Source, American Express, PayPal, 
Knight, Itria, 1st Global Systems, Bitty, Swift, Lendr, Wellen, Gibraltar, SRS, SPG Advance, Second 
Chance Funding, Forward Financing, National Capital, Landmark, Richmond, Alpha, Accel, ACH, Ace, 
Regal, Bluevine, One Park, Fundbox, Lending Club, Credibility, Lendio, Quarterspot, Fundation, Balboa, 
Credibly, Payability, National Funding, ML Factors, New Logic, Accord, Americas, BFS , CFG, Elevate, 
Fora, Fox, Fundworks, Fundzio, In Advance, GRP, Infinity, Jet, Kalamata, Lendfi, Max Advance, MFS 
Global, Merchant Cash Group, NextWave, Pledgecap and more!
ARE THERE ANY LAWS THAT GOVERN MERCHANT CASH ADVANCE LOANS?
There is currently no law that limits how much interest a merchant cash advance company can charge. 
Since merchant cash advances are not considered loans in the traditional legal sense, but rather a 
purchase of future credit card receivable revenues, legally they are considered purchases and thus there 
is no regulation associated with them, both on a State and Federal level. This means Merchant Cash 
Advance Funders don’t need to follow state usury laws, which are set by each State to limit how much 
interest companies can charge on traditional loans or credit cards, making this industry ripe for abuses 
and like the wild west. The one type of regulation these companies fall under is the Uniform Commercial 
Code “UCC.” However, this code was written to keep business transactions uniform, but it does not 
regulate interest rates or cap interest rates in anyway.
HOW CAN THE INTEREST RATES ON THESE MERCHANT CASH ADVANCE 
LOANS BE LEGAL?
Merchant Cash Advance funders charge excessively high fees that can be calculated as an interest rate. 
While most State Laws prevent the charging of interest in excess of 25% to 30%, a Merchant Cash 
Advance is well in excess of this. In fact, we have encountered funders that charge in excess of 500%! 
How can this be legal? Unfortunately, current State Usury Laws do not apply to Merchant Cash Lenders. 
They are not subject to state usury caps, arguing that the transaction with the borrowing merchant is not a
loan, but rather a “cash advance against future revenues.” More specifically, the funders claim they are 
merely buying future credit card receivables from the small business owner. Why does this matter? There 
is a very small but significant difference between a purchase of future credit card revenues and a so 
called loan. Only a loan is subject to usuary laws. Thus, a Merchant Cash Advance interest rate is usually
legal.
https://grantphillipslaw.com/merchant-cash-advance-faq/