Bridge Financing

–          100% unsecured

–          Investment size is 10% of annualized revenues

–          Check size: 250K to 5mm 

–          No perfected security interest at closing, we reserve the right to file a UCC only in an event of a default

–          No equity, no warrants, no converts, no stock, 100% non-dilutive

–          Cost of capital: factor rate between 1.15-1.35

–          Expected Remittance: 3 to 12 months

–          Remittance: straight-line weekly

–          Prepayment discount: in the first 1/3^rd of our term, the factor rate is cut in half if we are taken out early—therefore, on a 100% unsecured basis with no dilution, the cost of capital is in the high teens

–          Out of pocket expenses: none

–          Legal fees: none

–          Time to close; less than a week

–          This is not a loan; therefore, this is no obligation of repayment. We will never take more than 15% of the total revenues in any given month. If sales decrease from the time in which we invest, the company can request a step down in remittance payments, which will in turn, extend the term

–          Because all our deals are unsecured, and mature in less than a year, clients can book our capital as an account payable. If companies already have senior debt, we can make an investment without tripping any of their covenants. Most senior debt facilities do not limit the amount of AP a company can have on the balance sheet.