A UCC lien, or Uniform Commercial Code lien, is a notice filed by a creditor. It is a public declaration that they have an interest in one or more of your assets as collateral for a debt. Think of it like a bookmark in a book: It is a way for your creditor to mark...
Owning and running a business could be a dream for many people, making them go to lengths to start it using various funding sources, no matter how risky. In some cases, the owner could put down the business as collateral for a loan, putting pressure on its capacity to...
We have discussed UCC liens and how they can affect your business before on this blog. But you might still be wondering what one of these liens is, what their connection to merchant cash advances is, and how they work in New York City. Here is a brief overview. When...
As a small business owner, you may have considered or already taken out a merchant cash advance (MCA) to meet your financial needs. However, it's crucial to understand the potential downsides and risks associated with this type of funding. What are MCAs and how do...
Business owners can use a Merchant Cash Advance (MCA) to quickly get funds to help cover the cost of business operations. When the business owner gets an MCA, the lender may file a UCC-1 financing statement. This public record indicates that the lender has an interest...
Owners of small businesses face repossession threats from Merchant Cash Advance (MCA) providers when they default on payments. Soon after, providers can enforce a Uniform Commercial Code (UCC) lien on businesses to freeze, repossess and liquidate collaterals. When...
A Universal Commercial Code (UCC) lien is essentially a claim made by a lender on a borrower's assets until the loan is fully repaid. When you take out a secured loan or use equipment financing, the creditor files this lien establishing its right to repossess the...
As part of your agreement to acquire a secured loan, the lender likely filed a UCC-1 against your business with the New York secretary of state. Consider it a safety measure for the lender, allowing them to claim interest on the assets you pledged as collateral. The...
It is a common practice for business owners to have UCC liens on their properties or assets after taking out MCAs. It can be essential when establishing the agreement to protect the lender from losses if the debtor fails to repay the advance. However, the debtor may...
Most types of New York businesses, including manufacturers, restaurants and convenience stores, rely on their equipment. Machinery like ovens, freezers and machine tools let you and your employees provide customers with the goods and services you promise them. Over...