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Philadelphia Business Debt Settlement Lawyers and Merchant Cash Advance Lawyers
If you run a small business in Philadelphia and are struggling with debt, you may be wondering if working with a business debt settlement lawyer or merchant cash advance lawyer can help. At Delancey Street, we have attorneys on staff who specialize in these areas and can provide tailored advice and legal services to business owners looking to get out of debt.
How Can a Business Debt Settlement Lawyer Help?
A business debt settlement lawyer can help negotiate with your creditors to try to reduce or eliminate your business debt. The lawyer will review your situation, including the types of debt you have, the amounts owed, your payment history, and your current ability to pay. They will then reach out to creditors on your behalf and attempt to settle the debts, often for less than the full amount due.
Some of the main ways a business debt settlement lawyer can help include:
- Stopping collections calls and lawsuits – Once you retain a lawyer, they can contact creditors and collectors to notify them they represent you. This can stop harassing calls and collection lawsuits while negotiations take place.
- Negotiating lump sum settlements – Lawyers will negotiate to try to settle your debts for a reduced lump sum payment. Settlements typically range from 25% to 80% less than what you owe.
- Arranging installment plans – If unable to pay a lump sum, a lawyer may be able to arrange an installment plan to pay off a reduced settlement amount over time.
- Disputing invalid/inaccurate debts – Lawyers can also help dispute debts that may be inaccurately reported, improperly calculated, or otherwise invalid.
Retaining an experienced business debt settlement lawyer evens the playing field and shifts the balance of power in your favor when negotiating debt relief. Creditors often view represented accounts differently and may offer better settlements compared to dealing directly with a business owner.
How Can a Merchant Cash Advance Lawyer Help?
A merchant cash advance (MCA) provides a business with a lump sum of capital in exchange for an agreed upon percentage of future credit card and/or debit card sales. It functions similarly to a business loan, but repayment comes from a percentage of sales over time rather than a fixed monthly payment.
MCAs can become problematic when the business taking the advance struggles to generate sales. The funder still takes their cut each day, and very high effective interest rates can rapidly make the payback amount unmanageable.
A merchant cash advance lawyer can help in several ways if you find yourself in this situation, such as:
- Renegotiating repayment terms – A lawyer can negotiate with the MCA provider to try to reduce the daily repayment percentage taken from your sales, or extend the repayment term to lower the impact on your ongoing cash flow.
- Settling for lump sum payoff – Similar to debt settlement, your lawyer may be able to negotiate a lump sum payoff amount to satisfy the MCA contract, often at a significant discount.
- Canceling the agreement – In some cases, lawyers can find ways to legally cancel the MCA agreement, stopping further payments. Grounds may include deceptive or unfair contract terms, improper explanations of repayment rates/amounts, or other deficiencies.
Having an experienced MCA lawyer on your side levels the playing field when dealing with funders and can help ease the significant financial burden these products often create.
Why Work With Delancey Street?
Here at Delancey Street, our team of lawyers has extensive experience representing business owners in debt settlement, MCA resolution, and other legal matters involving business finance. We take an empathetic, customized approach to each client, seeking solutions that work within their circumstances and priorities.
Our debt relief programs cover both business debt settlement and MCA renegotiation/resolution services. We offer reasonable, transparent pricing, with dedicated legal experts assigned to each case. In addition to direct negotiation and litigation services, our lawyers can provide general legal advice and counseling to business owners related to debt and cash flow management matters.
If you have a small business in the Philadelphia area struggling with debt, we encourage you to reach out to our team for a free, no obligation consultation. We’ll discuss your situation, answer any legal questions you may have, and explore how we can put our years of combined experience to work helping you achieve financial freedom.
You can learn more and contact us at https://www.delanceystreet.com or 212-210-1851. We understand the heavy burden debt places on business owners and make it our mission to provide caring, expert support each step of the way toward relief.
