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Related Headlines
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| 11/13/2023 | Brokers sign up to Battle |
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| 02/15/2023 | In UK, biz loan brokers loaned £45bn |
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Stories
Brokers: Making the Leap from Working Capital into Equipment Financing
March 13, 2025
“We can finance anything that doesn’t shoot, fly or float,” says Josh Feinberg, CEO of Everlasting Capital. “So no planes, no boats, no guns.” But any other type of equipment and he’s ready to chat. As a seasoned veteran of the equipment finance industry, that conversational starting point of knowing what to ask and how to answer takes a lot of practice to develop.
“Roleplaying is like stretching before going for a run,” said Feinberg. “It makes it possible for you to be fast on your feet and really be able to have the answers.”
Everlasting Capital is a broker shop based in Rochester, NH that believes strongly in practicing calls with colleagues to develop their skills. It’s a role play. Many shops do it. But becoming seasoned at it for one product doesn’t mean that a broker automatically becomes an expert at any type of call.
“A lot of [working capital] brokers think that they’re the ones that are trying to figure out if the business owner qualifies, but to be honest with you, in the equipment space, it’s vice-versa,” Feinberg said. “The customer is actually trying to qualify you to see if you are apt to be able to finance their equipment.”
Equipment financing flips the stakes and the direction, and with that a fresh need for practice toward managing it successfully. And that’s where some brokers used to other products get stuck, because their confidence drops in being able to navigate something they don’t fully know. To that point, it can feel intimidating to discuss machinery they’re not familiar with or trucks they’ve never driven.
Feinberg believes that anyone can learn this, however, simply by talking to business owners about these things. One doesn’t need to actually spend 20 years in construction to finance equipment in that industry, for example, though it certainly wouldn’t hurt. Feinberg’s own start in the business is very simple to replicate.
“I just started talking to business owners, figuring out what they want. A lot of times [in the very beginning] I didn’t even know what the equipment did. I would have to Google it while I was on the phone with them.”
That, of course, has changed with experience. Now he and his firm have become so well acquainted with certain industries that they’ve integrated themselves within them. The dump truck market, for example, has become one of their core areas of expertise.
Despite this attainable path to success, some brokers throw up their hands and assume the process will be too hard or the financial incentive too low to even try equipment financing—even though that is generally not the case. In an era where working capital has become so competitive, it should be considered as an additional offering to maximize value at the bare minimum.
“[When] you have the one person calling like, ‘hey we have monthly payments that are single digit rates, and we can do monthly payments one to five years.’ It’s really easy to spark up a conversation and be able to ask the questions that you need to do, and then get answers back,” he said.
Advocating for other brokers to adopt his approach might seem like it would increase competition, but Feinberg explained that the market is wide open with opportunities. Moreover, he feels strongly about matching business owners with the right solution. To that end, he is also the co-founder of Equipment Broker School, a system designed for anyone needing a jump start or a refresher on the art of equipment financing. His company previously starred in an online reality show where new salespeople were trained in person in the office, and Feinberg himself recently appeared as a judge at deBanked CONNECT’s Broker Battle in Miami Beach this past February. The event was a roleplaying competition that evaluated brokers on their ability to diagnose needs and propose solutions. It was like just another day in the office for him.
“It made me really excited to be able to be a part of the Broker Battle, just as a lot of people know, and you know especially just for myself, being able to train people on how to be able to promote, how to be able to work, and how to be able to just partake in equipment financing,” Feinberg said. “It has been a super big passion of mine, especially just within the deBanked community as a whole.”
Cloudsquare Broker Announces Fall ’24 Release: New Automation and Efficiency for Small Business Lending Brokers
November 12, 2024
Los Angeles, CA – November 12, 2024 – Cloudsquare, a leading innovator in lending technology, is proud to announce the Fall ’24 release of Cloudsquare Broker, its powerful CRM solution for small business lending brokers. This latest update introduces groundbreaking features designed to streamline deal management, boost productivity, and provide greater visibility and control over lending operations.
A Game-Changer for Small Business Lending Brokers
Cloudsquare Broker’s Fall ’24 release focuses on solving key pain points for brokers by providing tools that enhance process automation, increase transparency, and optimize workflow efficiency. These updates come in response to the growing need for comprehensive, adaptable solutions that can scale with a company’s growth.
New Features in the Fall ’24 Release Include:
- Notification Management: Users can now stay up-to-date on deal milestones with customizable, no-code triggers and real-time alerts, ensuring no crucial updates are missed.
- Enhanced Lender API File Submissions: Full transparency is achieved with individual status tracking, allowing brokers to monitor each file’s journey and resubmit swiftly as needed.
- Advanced Workflow Enhancements: Designed to optimize the submission user experience, these targeted improvements empower teams to manage submissions with greater precision, control, and speed, enhancing overall operational efficiency.
“Our team has worked tirelessly to deliver features that align with our customers’ needs for automation, efficiency, and adaptability,” said Jeffrey Morgenstein, CEO of Cloudsquare. “The Fall ’24 release of Cloudsquare Broker exemplifies our commitment to empowering small business lending brokers to maximize their potential with tailored solutions built on Salesforce.”
Availability
The Fall ’24 update is now available to all existing Cloudsquare Broker users. New customers can explore the full potential of this update through tailored demos and consultations.
For more information about the Cloudsquare Broker Fall ’24 release or to schedule a demo, please visit Cloudsquare.
About Cloudsquare
Cloudsquare is the leading end-to-end lending platform, uniquely powered by Salesforce to deliver unparalleled flexibility and innovation for lenders and brokers. With a commitment to optimizing lending processes through cutting-edge technology, Cloudsquare provides robust, scalable solutions that empower clients to achieve greater efficiency and growth. Celebrated by industry leaders, Cloudsquare has earned a place on the Inc. 5000 list as one of America’s fastest-growing companies and is consistently rated a top service provider on platforms like Salesforce AppExchange, G2, Clutch, and Manifest.
For media inquiries, please contact:
Cloudsquare Marketing
Email: marketing@cloudsquare.io
Lenders, Brokers Doubtful That Merchants Would Use Their Domain Names as Collateral if They Could
September 12, 2024Only 26% of respondents said that merchants would use their business’s website domain name as collateral for a loan (presumably if they were given the option to). This according to an informal poll conducted on LinkedIn that asked that very question without any context or clarification. Forty eight percent of respondents straight up said that merchants would not use their domain name as collateral for a loan. Ironically, many secured loans with liens on all assets would already include domain names among those assets.
Back in April, deBanked predicted that lending specifically against a domain as collateral was a product likely to happen in the near future. The following month a domain name registrar partnered up with a peer-to-peer lending site that touted the use of blockchain technology. The first ever domain name loan executed by smart contract actually happened in January of this year, however, by deBanked.
What We’ve Got for Brokers
April 19, 2024If you’re a small business or commercial finance broker, I hope you take advantage of the many resources we’ve put together. With the exception of tickets to our in-person events, everything we put out there is FREE TO CONSUME with no strings attached.
In addition to articles, stories, newsletters, and regular product marketing materials, we’ve produced nearly 1,000 videos including short documentaries and sit-down interviews, explainer videos, and sound bites from participants across the industry.
If you’re wondering what’s the next big thing to look out for, it’s the Broker Fair conference in New York City on May 20. There’s a big pre-show open bar party the night before as well. See you there!
Brokers: Attend This Open Bar in NYC
April 14, 2024
Broker Fair’s Pre-show party sponsored by Triton Recovery Group takes place on May 19th from 7-9pm at Somewhere Nowhere NYC. The Pre-show requires a separate ticket from the main event taking place the following day at The Metropolitan Pavilion.
You can register below for one or both! OR do it on the main site at brokerfair.org.
Hundreds of Brokers Registered for deBanked CONNECT MIAMI
January 9, 2024
MIAMI BEACH – Hundreds of small business finance brokers are registered for this year’s deBanked CONNECT MIAMI. Taking place on Thursday, January 11 at the Miami Beach Convention Center, the event’s modified format includes the first-ever Broker Battle™ with a $5,000 grand prize to the winning broker, on top of an all-kosher food experience. That’s in addition to a featured presentation from David Goldin, the first-of-its-kind Broker Brilliance education session, tech demos, networking, and cocktails. Bitty Advance is the Title Sponsor.
“This is our sixth event in Miami,” said conference founder and deBanked President Sean Murray. “I think kicking off a new year is as good a time as ever to reinvent yourself and change things up. I’m really excited for this show and I think 2024 is going to be a truly unique year.”
Registration opens at 1pm on Thursday and the event culminates with the Broker Battle at 5:10pm. That will lead right into the cocktail networking reception.
About deBanked CONNECT Miami
deBanked CONNECT events are operated by Foinse, LLC. Foinse, LLC is an events company based in Brooklyn, NY. To learn more visit: http://www.debankedmiami.com. For inquiries, email events@debanked.com.
Brokers: What’s Your Address and Phone Number?
December 14, 2023
Brokers, this is no joke. In eighteen days, the State of Florida will by law require that brokers disclose their actual address and phone number in advertisements that promote their services as a broker. This is because Florida’s commercial financing disclosure law added its own twist by incorporating one of DailyFunder’s original rules to its statute.
Furthermore a broker may NOT:
(1) Assess, collect, or solicit an advance fee from a business to provide services as a broker. However, this subsection does not preclude a broker from soliciting a business to pay for, or preclude a business from paying for, actual services necessary to apply for a commercial financing transaction, including, but not limited to, a credit check or an appraisal of security, if such payment is made by check or money order payable to a party independent of the broker.
(2) Make or use any false or misleading representation or omit any material fact in the offer or sale of the services of a broker or engage, directly or indirectly, in any act that operates or would operate as fraud or deception upon any person in connection with the offer or sale of the services of a broker, notwithstanding the absence of reliance by the business.
(3) Make or use any false or deceptive representation in its business dealings.
What’s the risk of non-compliance?
The Florida Attorney General has the right to commence administrative or judicial proceedings to enforce compliance with this part.
1. A violation of this part is punishable by a fine of $500 per incident, not to exceed $20,000 for all aggregated violations, arising from the use of the transaction documentation or materials found to be in violation of this part.
2. A violation of this part after receipt of a written notice of a prior violation from the Attorney General is punishable by a fine of $1,000 per incident, not to exceed $50,000 for all aggregated violations, arising from the use of the transaction documentation or materials found to be in violation of this part.
These rules were signed into law in June of this year and they apply to all deals funded starting January 1, 2024.
10 Commandments of ACH Processing For Brokers
May 18, 2023deBanked recently spoke with Zalman Notik, the Operations Manager of MCA Track & GoACH. Notik offered up so much advice about ACH processing that it’s been codified into a helpful list! Below are his 10 Commandments of ACH Processing.
1. Always disclose your fee. Merchants are generally okay with paying something they agreed to pay if it is disclosed.
2. Make sure that everything agreed to is in writing and plainly stated. e.g. “We’re going to debit your account for $1,000 when we get you approved for a loan.” There’s a difference between the short, long way and the long, short way. To avoid lengthy disputes, negative Google reviews, and claims of undisclosed fees, opt for the straightforward method rather than the convoluted one.
3. Remind the merchant (in writing and by phone) that you will be debiting their account on X date. As a courtesy reminder it’s probably a good idea to give that merchant a phone call saying, “Hi, John, congratulations, I got you the $100,000, we’re so excited that it worked out well and I’d like to remind you that for our agreement we’re going to debit your account tomorrow.” This can avoid a broker’s payment getting returned if in fact that merchant planned to transfer all their funds elsewhere.
4. Any change to the amount that was agreed to should come with new signed paperwork. If a broker has a piece of paper stating that they’re allowed to debit somebody’s account $10,000 and then debit them $4,000, $5,000, or $8,000, that merchant could dispute it, and they will win because they never agreed in writing to $8,000, they agreed to 10.
5. Collect a copy of the merchant’s ID and a voided check with the business name on it. Be sure that everything matches.
6. Confirm with the merchant that they own the account – Not a spouse, cousin, or friend etc. When checking state records and the business is owned by a spouse, that spouse should be signing the agreement. For example, if a couple owns Joey’s pizzeria and one of them signs the paperwork there could be a possibility that broker will receive a dispute two months later. Turns out that the other spouse is the legal signer on the bank account and now that broker is out of money. A good way to verify is through IDs or a voided check with the business name on it.
7. Communicate with your ACH provider – e.g., “The merchant said the payment will not clear etc.” No one likes surprises. Communication with the ACH provider makes them feel comfortable about working with that broker again in the future.
8. Store paperwork in a secure location so that if there is a dispute you can provide everything to the ACH processor in a timely fashion. NACHA Operating Rules & Guidelines are enforced by the government for every ACH payment. If a broker debits an account, and that merchant disputes the transaction over a period, that broker will need to provide paperwork to prove those disputes. Keep those files in a Dropbox or Google Drive account or somewhere safe and accessible.
9. Keep funds in your bank account to cover fees and returns. Having $0 in your account is a bad fit so be disciplined in keeping money in one’s account.
10. Don’t be an A*$%#%$ – if you treat your merchants well and communicate with them, you won’t find yourself fending off disputes etc. Despite what someone may sign, if the merchant feels they have been mistreated throughout the process it’s not going to stick, potentially leaving that broker with problems.
Customer Retention!... as we all know, its expensive to acquire customers and just as hard in this space to retain them! as a direct funder, i have the same issues with brok... |
Need direct commercial loan bridge lender/Wyoming - <600 score - <50ltv - ... hey all xfunder is back. we ilre working on a loan in wyoming. property is a mix of hospitality - retail - restaurant bar. needs approx $2.75millio... |
See Post... brokers. the only exceptions seem to be the big guys such as rapid/kapitus, etc., , dm me... |
See Post... brokers out there to get quality leads and help them funded deals. , and about your point to work with a direct funder and be a broker, it's not actually about being good or bad , it's just not the business model we are looking at this moment as we are providing our service from outside of usa.so, it's technically not possible to become a iso or broker and we will never send any kind of unfunded/dnq and difficult to work with merchants. we use ucc and targeted data also.we purchase the data and set the campaign according to client's demand and requirements .... |
See Post... brokers face and try to avoid such issues(poor communication, deals being killed for miniscule reasons, etc). i took an interest in underwriting and deal structures which ended up in me getting into underwriting and underwriting for some of the most reputable companies in the space either as servicer(including for some of the companies on your list) or directly, and have made a name for myself amongst underwriters and investors in this industry due... |
