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Sean Murray: Today's episode is
about whether or not the

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contract in your hands is a
merchant cash advance. The most

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challenging part about merchant
cash advance agreements is that

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the term itself is more of a
colloquial term, not really a

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legal one. So it's very possible
what you have in your hands is a

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merchant cash advance even
though that word does not appear

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anywhere on it. The underlying
nature of a merchant cash

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advance is something called the
purchase of future receivables.

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If you're very lucky, the title
at the top of the agreement will

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actually say merchant cash
advance agreement. But if it

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doesn't, here's the list of
other terms that might appear at

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the top.

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The title of the agreement
itself is almost besides the

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point. You wouldn't sign for a
mortgage just because it said

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mortgage at the top right? So
what you need to do in any case,

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no matter what it says, is read
the fine print and even the bold

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print. Read through the
contract. One thing to note is

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that if your agreement says
loan agreement at the top or the

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word loan anywhere throughout
the contract, it's very possible

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that what you have in your hands
is not actually a merchant cash

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advance, it might actually be a
loan. It's important to note the

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difference because the defining
characteristic of merchant cash

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advances is that they are not
loans. Thanks for watching. I'm

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not a lawyer, consult an
attorney iff you have any

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questions about any contracts
you have, thank you