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Let’s talk about one of the most revered forms of leads in the merchant cash advance business: UCC Leads
To be honest with you, I don’t know any of the big dogs in the merchant cash advance industry that rely on UCC Leads.
The only brokers I see buying UCC Lead lists are usually startup brokers and ISOs, or ISO shops that have a cold calling boiler room set up and hit the phones all day long, trying to pummel their way into the hearts of frustrated small business merchants looking for capital.
Why are UCC Leads not used by any of the big ISOs in the cash advance industry?
That is a question that I found myself asking in 2014 when I was working at a small ISO shop that had just started up in the financial district of NYC.
I learned over time that it isn’t that UCC Leads don’t work. They do.
It’s just that they’re unreliable if you want to actually build a sustainable, predictable, and scalable merchant cash advance business over the long term.
Let’s take a look at some of the pros and cons of using UCC Leads:
Pros of UCC Leads:
Cons of UCC Leads:
One thing about UCC Leads is that they’re super popular these days. The vast majority of ISOs love them (even though they’re basically scraps compared to other forms of leads–which I’ll talk about later in this post)
Read more: https://lendnet.io/blog/why-you-shou...ke-the-plague/
To be honest with you, I don’t know any of the big dogs in the merchant cash advance industry that rely on UCC Leads.
The only brokers I see buying UCC Lead lists are usually startup brokers and ISOs, or ISO shops that have a cold calling boiler room set up and hit the phones all day long, trying to pummel their way into the hearts of frustrated small business merchants looking for capital.
Why are UCC Leads not used by any of the big ISOs in the cash advance industry?
That is a question that I found myself asking in 2014 when I was working at a small ISO shop that had just started up in the financial district of NYC.
I learned over time that it isn’t that UCC Leads don’t work. They do.
It’s just that they’re unreliable if you want to actually build a sustainable, predictable, and scalable merchant cash advance business over the long term.
Let’s take a look at some of the pros and cons of using UCC Leads:
Pros of UCC Leads:
- Extremely cheap compared to marketing to businesses on advertising platforms like Google, Facebook, LinkedIn, etc.
- Indicates that the merchant has taken funding before because he has a UCC filing on his record (He’s probably going to be a lot easier to sell because he’s familiar with this type of product)
Cons of UCC Leads:
- Sold to as many brokers as possible without any exclusivity
- Unreliable (you never know what you’ll get)
- Not scalable (you won’t get to $1 million a month and beyond with UCC Leads)
- Full of over-leveraged merchants who probably couldn’t take on another position even if they wanted to
One thing about UCC Leads is that they’re super popular these days. The vast majority of ISOs love them (even though they’re basically scraps compared to other forms of leads–which I’ll talk about later in this post)
Read more: https://lendnet.io/blog/why-you-shou...ke-the-plague/
