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INNOVATIVE FINANCING

Leading the Way in Credit Card Factoring

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BUSINESS CASH ADVANCE

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Since 2000, BFS has funded over 8000 merchants through

its relationship driven business model. BFS has provided

funding services for banks, alternative funding sources,

merchant account processors and vertical industry

partnerships

BFS provides business cash advances

to its customers through Accounts Receivable

Factoring, utilizing a merchant’s cash stream from credit

card sales as a means of automated repayment.

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BUSINESS CASH ADVANCE

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All retail and restaurant owners find themselves needing

capital to grow and manage their businesses. At times,

these businesses are unlikely to obtain a traditional bank

loan due to unacceptable debt to income ratios or

low personal or business credit scores or failure to declare a profit.

This is when BFS steps in. We use the “real-time assets", the

customers of the merchant to provide funding.

A healthy business can rely on the fact that their

customers will continue to spend money at their

establishments. BFS provides an advance on those sales.

The advance can be used for advertising, equipment purchases,

renovations, expansion, inventory and taxes.

The Advance

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HELPING BUSINESS GROW

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BUSINESS CASH ADVANCE

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How we do what we do?

• ANALYZE the past 4 months of the merchant’s sales.

• FORECAST the amount of sales that will occur in the next 4 – 6 months.

• ADVANCE a portion of those sales to the merchant.

• COLLECT a percentage of MasterCard® /VISA® sales and debit charges ( if

applicable) over the next several months.

• We do it through a PREFERRED PROCESSOR who deposits the

percentage of each MasterCard® /VISA® sale into our bank account while

depositing the rest into the merchant’s bank account.

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TYPICAL MERCHANT PROFILE

• Restaurant, automotive service, retail store, beauty and day spa, franchise, doctor, veterinarian and others

• Funds used for remodel, inventory, expansion,

seasonality, taxes, rent, cash flow, and advertising

• Merchants in all 50 states

• Avg. $15,000 - $20,000 per month in credit card sales

• Independent owners

• No formal business education

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Traditional Bank Personal Credit Cards Friends Personal Funds

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INDUSTRIES FUNDED BY BFS

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MERCHANT QUALIFICATIONS

• At least 9 months in business

• Processing statements for previous 4 months of at least $5,000 per month in credit card sales

• Provide 1 month of bank statements

• Acceptable personal and business credit, typically 500 or greater

• No large tax liens, open judgments or open bankruptcies

• In good standing with landlord and at least 1 year remaining on lease

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MERCHANT BENEFITS

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$4,000 to $500,000 in

working capital

when banks are

unable to serve

their clients with

traditional loan

products

No out of pocket costs

Easy payback process - no fixed payments

Fast funding, in as little as 7-10 days

Approvals in as little as 24 hours

Builds business and personal credit

No financials required (under $50,000)

Factoring commissions are tax deductible

Complimentary business consulting with

professionals

FAST FUNDING… IN AS LITTLE AS 7- 10 DAYS

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1. Agent contacts the Small Business Owner to discuss the Business Cash

Advance option for creating cash flow for the business.

2. BFS receives pre-applications and preliminary documentation from Agent.

3. BFS collects the BFS Pre-Application along with a General Authorization Form

that can be submitted through the Internet, email or by fax.

4. A BFS Funding Advisor contacts the merchant to discuss our funding program.

5. The Funding Advisor collects all the required documentation to present to the

underwriting department for Approval.

6. Within 24-48 hours the merchant is contacted to discuss the terms of the

Business Cash Advance.

7. Contracts are delivered via email or fax to the merchant and merchant faxes

back signed contracts then a courier picks up signed executed documents.

6. Agent or BFS sets up a new merchant account if needed

FUNDING OPTIONS

• BFS provides the merchants with

options best suited for each individual

business

• Merchants can choose from the lowest

hold back rate to the largest amount of

advance approved.

• Business Cash Advance has no set term

• Merchant’s sales margins absorb the

fees charged for use of the funds

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ITEMS NEEDED

CHECKLIST

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4 months Visa/MC statements

1 month Business Bank statements (corresponding month as the V/MC statements)

Articles of Incorporation (including online search when available)

Sole proprietors must provide a fictitious name certificate

66% Officers/Partners social security numbers, contact telephone numbers, home addresses

and telephone numbers and all officers ownership percentages

Voided business check

Copy of Driver’s licenses of 66% of owners officers/signers

3 largest vendors are needed with the name of the vendor, contact name, phone and fax

number and account number if applicable

Landlord information – contact name and telephone and fax numbers

Multiple location addresses and telephone and fax numbers with contact names

INTRODUCING THE

PROGRAM

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Merchants who you are meeting for the first time respond exactly as you do in similar situations. If you go shopping and a clerk walks up and says, “May I help you?” in most cases you respond “No just looking around”. It is your conditioned response. Then if you do need help you may feel uncomfortable about asking and leave without purchasing anything. Merchants are just like you.

Merchants want the answer to 3 questions, when meeting you for the first time.

1.Who are you?2.Why should I speak with you?3.What’s in it for me?

Try approaching a new merchant by stating, “I am ______ with _______________we do business development and have a fund of $2 Million to invest in small businesses. If I were to put $10,000, $20,000 or $30,000 in your bank account in the next 10 days, how would you use that money to grow your business?”

Merchants will reply with their conditioned response, try getting them to step back and think. For example:

INTRODUCING THE

PROGRAM

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“I have all the money I need” … “Great you are exactly who we are interested in investing our funds with, a successful business!” then “Let me ask you a question, the last time you made a buy in inventory if you had double the money, would you have received a deeper discount and improved your position with your suppliers?” or “You’re the type of owner who knows how to take a dollar and turn it into $100. If I put $10,000 into your bank account what could you turn it into?”

“I am not interested” …”You know I hear that from 80% of the folks who decide to do business with us. You know why?” … “Because 80% of all businesses find themselves in a cash crunch at some point and when they go to the bank for help they find that “Banks don’t loan money to people who need it!” Let me explain a bit about how our program is different, how does that sound?”

“You’re the 4th person that has approached me about loaning me money.” … That’s the beauty of our program; We do not give you a loan! What we do is Accounts Receivable Factoring; we give you money upfront, as an advance from your ongoing business! How much we advance is based on risk, not your credit report alone. We take no collateral, no equity, and our fees are tax deductable! How much would it take to move your business to the next level?”

INTRODUCING THE

PROGRAM

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If the merchant is not interested in the money let them know, “The purpose of my call is to let you know for the first time ever, this kind of funding is available to businesses like yours.

We look at how you have operated the business in the past and forecast what we believe you will do going forward. Then we offer to advance a portion of those future sales.

If it makes sense for your business, we wire the money to your account and take a piece of your daily credit card activity, until all of the receivables have been satisfied.

•Now it is not based solely on credit•There are no application fees, points or hidden costs•It does not show on a credit report as debt•The fees are tax deductable•We take no equity or collateral from your business

I would like to send you something about our program, would like it faxed or emailed?

INTRODUCING THE

PROGRAM

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Here are four lines of questions that will help advance the sale:

1. Are they looking for money?

2. What do they want to spend the money on?

3. When do they need the money?

4. What have they done to get the money so far?

CREATING INTEREST

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How much money do I qualify for?

•“We can invest $5,000 to $500,000, depending upon your sales

volume.”

•“To determine the amount you qualify for I need to see four

months of your credit card and bank statements.”

Progressing the Sale

•“We can wire the money directly into your bank account. It can

take under two weeks.”

•“To get started, we just need to complete this easy application.”

OVERCOMING

OBJECTIONS

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Q: “I want a deal like a bank.”

A: “This is not a loan. Our product is for businesses that are unable to obtain funds

from conventional sources likes banks. If you are able to get the money you need

from the bank, you should do it. Good luck, and call me if you ever need our

offering.”

Q: “My deal with the dining programs includes advertising options, do you?”

A: “Have you been happy with the advertising options of these other programs in the

past? Did you have a say in how and where the advertising was presented? How

much did your business increase as a direct result of these advertising programs ?

We offer you cash advances for your business. You decide how the money is best

spent. If you feel more advertising is necessary to grow your business, why don’t you

take the advance, decide yourself what types of ads to place and where they should

appear. That will give you the most bang for your buck.”

Q: “My friend or bank set me up with my merchant account. I don’t want to change.”

A: “I understand. If you are able to get the working capital from your friend or the

bank, you should. Thanks and call me if you need our offerings in the future.”

QUICK TIPS

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This is not a loan

• “We provide working capital for businesses who are not able to or choose not to use

conventional channels for funding.”

• “We provide working capital for businesses that have difficulty getting money from the

bank.”

• “We provide a financial “shot in the arm” to jump start your business.”

How is the funding repaid?

•“We only take a percentage of your MC/Visa receipts and do not touch any of your other

revenues.” You keep all of your cash business, your checks, Diners Club, American

Express and Discover Card volume”

• “As a result, our Return of Funding is only approximately 3% - 7% of gross income.”

• “Return of Funding is accomplished via daily withholding of a percentage (Average of

20%) of your Visa/MC receipts.”

COMPETITIVE ADVANTAGE*

Competition

Credit card sales & total business volume

Credit cards sales only

Business Cash Advance calculator Fixed programs

Personal touch with merchants Impersonal application process

Marketing support to merchants None

Experienced Most are start ups

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Merchants

VS

* Based on merchant surveys

COMPETITIVE ADVANTAGE*

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Competition

Agent managers build relationships No assigned contacts

Marketing support Agent driven marketing

Handles re-up process Agent facilitates re-up

In-house support on deal

processNo support

Online access to status of

applicationsNo on-site training

Trust & integrity Competes with agents

VS

Agents

* Based on agent comments

HOW WE WORK TOGETHER

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As an Agent of BFS you may identify new prospects with more than $5K in

monthly processing or $3K on franchise operations, and in business 9

months+. Accounts in all industries, with exception to sub-contractors,

lawyers, businesses that drop ship product or any industry without a tangible

product or service, are acceptable.

BFS will provide a staff of well-trained funding professionals to call on this pre-

qualified merchant group if needed. This is not a high pressure sale but more

of an education explaining the benefits of the business cash advance

program.

A protocol to refer these customers to BFS for complete consultation and

execution would be followed. An automated pipeline can be created that would

feed pre-qualified candidates’ contact information and supporting documents

to BFS.

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Ongoing customer support during each phase of our funding process is

imperative to maintaining good customer relations.

Our client relations department provides:

• Monitoring of merchant’s credit card processing with direct contact to the customer

service managers with regards to holdback questions and concerns

• Notification to merchants of advance deposit and holdback changes

• Monitoring of any merchant’s sales fluctuations

• Response to any merchant’s questions during and after funding.

• Maintaining monthly newsletters and webinars to merchants regarding small business

topics that will enable merchants to increase their sales.

• Reporting to Financial Institution via online technology for each merchant’s issues and

resolutions

CLIENT RELATIONS

At the heart of every

successful company is

its customer service.

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WHY BFS WORKS FOR YOUR

COMPANY

All support required to implement this new

revenue channel will be provided. We

believe this to be a strategic alliance for all

organizations; allowing each to focus on

their core businesses that have made them

successful, while working in unison.

BFS provides a complete turnkey funding

product for your clients.

No need to take additional risk with

merchant’s that fall beneath financing

guidelines. Earn fees without liability.

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Main Phone: 949.309.2247

Fax: 949.309.2267

Email: cbass@bfscash.comWebsite: http://www.bfscash.com

CONTACT