Articles by deBanked Staff
deBanked CONNECT MIAMI Has SOLD OUT
January 9, 2023The industry’s largest annual event in South Florida has once again sold out! If you have questions about your existing tickets or sponsorship to deBanked CONNECT MIAMI, please contact events@debanked.com.
This event is being held at the Miami Beach Convention Center on January 19th. It will be deBanked’s 5th event in Miami since 2018. It’s the ultimate networking experience for brokers, lenders, funders, fintech, collectors, lead generators, investors, software companies, law firms, and more. Thank you to Bitty Advance for being this year’s title sponsor.
Trial of PPP Lending CEO To Start in May at Earliest
January 2, 2023The trial of Rafael Martinez, the CEO of MBE Capital Partners, LLC that was arrested last year for fraud related to PPP lending and borrowing, is slated to begin in May at the earliest, according to the docket. The government accused Martinez of using false representations and documents to fraudulently obtain the approval of the SBA for his company to be a non-bank lender through the PPP. He subsequently used that approval to obtain $932M to issue PPP loans and generate $71M in lender fees. It is the first known case of a PPP lender being charged criminally. Martinez pled not guilty.
2023 Is Here. Are You Ready?
January 1, 2023Happy New Year! deBanked CONNECT MIAMI is now only 2 and a half weeks away. Hosted at the Miami Beach Convention Center in South Beach on January 19th, this event will set the industry’s course for 2023.
deBanked’s Most Watched Videos of 2022
December 19, 2022deBanked TV continued its strong showing throughout 2022. For the second time ever, we’ve ranked the most watched videos for the year.
1. Equipping The Dream
deBanked debuted a sales-based reality show called Equipping the Dream, a real inside experience of an equipment finance sales shop. Episode #1 was not only the most watched video on deBanked for the year, it was the most viewed piece of content on deBanked for the year period. Episodes 1-6 also managed to fall within the top 7 most watched videos for the year as well, all of them beating out every other single video except one. If you haven’t watched it, do you even work in small business finance sales?! Episode 1 | All Episodes Here
2. Merchant Cash Advance’s Big Day – The David Goldin Story
The only video to compete with episodes of Equipping the Dream was the documentary on David Goldin’s journey to winning a landmark patent lawsuit that allowed the merchant cash advance industry to grow into what it became. You can’t work in the industry and not know this amazing piece of history!
3. Banned From the MCA Industry
A discussion about an FTC settlement order banning individuals from the MCA industry was among the most watched videos of 2022.
4. Brokering Small Business Funding in 2022
deBanked interviewed two small business finance brokers to gather their thoughts on the state of the industry.
5. Virginia Disclosure Law Discussed
On June 30, 2022, we at deBanked discussed as much as we knew about the Virginia disclosure law one day before it went into effect. Are you complying with the law there?!
Fora Financial Surpasses $3 Billion Funded Since Inception
December 14, 2022
Fora Financial has surpassed $3 billion in funding to small businesses since inception, according to a post the company shared on social media. That was spread across 35,000+ businesses. The milestone coincides with a new look, which includes a new logo and website.
“Behind our new look, we’re making tons of operational refinements,” a blog post about the improvement says. “Fora Financial’s Capital Specialists are doubling down on their collaborations with customers to build creative, innovative funding solutions.”
WBL Experiences Unplanned Growth, Suspends Further Fundings
December 9, 2022
World Business Lenders is suspending funding, according to a representative of the company.
Earlier today, WBL CEO Doug Naidus circulated a memo with an update on the company’s status:
“Our Company has experienced unplanned growth this year given market conditions. As a result, we have fully deployed our existing credit availability and must therefore suspend any further fundings and related operations until additional lending capacity is installed. During this interruption in our business and while we continue discussions with alternative capital sources, the company will take the opportunity to pivot to a new business model.”
Weigh In: Should The New York Commercial Financing Disclosure Law Be Preempted by TILA?
December 7, 2022
The CFPB issued a statement on Wednesday to announce that it does not believe that New York’s commercial financing disclosure law is preempted by the Truth in Lending Act (TILA).
In a simple sense, the question of whether or not commercial finance companies can potentially disregard portions of New York’s commercial finance disclosure law on the basis that a similar federal law (TILA) has the superior claim to the legalities surrounding APR disclosures, has been answered by the CFPB. It says no. The agency believes that the two laws do not conflict with each other on the stated basis that TILA regulates “consumer purpose transactions” hence New York’s law is not preempted by TILA. At this time this is merely the CFPB’s “preliminary determination.” Now it is asking for the public’s thoughts on the matter.
“The CFPB is requesting comment on whether it should finalize its preliminary determination that the New York law – as well as potentially similar laws in California, Utah, and Virginia – are not preempted.”
The formal Request for Comment and instructions to submit comment can be found here.
The timing is a bit curious given that this issue has just been legally raised in another state. The deadline to submit comment to the CFPB is January 20, 2023.
Missouri Reintroduces its Commercial Financing Disclosure Bill
December 7, 2022
In a preview of what’s to come in 2023, Missouri State Senator Justin Brown (R) has reintroduced a commercial financing disclosure bill. SB 187, which is significantly less stringent than the law about to go into effect in California, nonetheless would require brokers to be licensed in the state.
“The act requires registration with the Division of Finance prior to engaging in business as a commercial financial broker,” the bill states. “Specifically, the act requires filing a registration form, submitting a fee of $100, and obtaining a surety bond in the amount of $10,000. A registration renewal is required every year…”
This bill was introduced last year but failed to advance. Other states that are expected to reintroduce similar bills this year include Connecticut and Maryland.
