AmeriMerchant Offers `2nd Chance Capital Program'.

Plan Offers Banks Additional Service to Their Customers

NEW YORK -- AmeriMerchant, a leading provider of merchant cash advances, announced the inception of the 2nd Chance Capital Program (www.2ndchancecapital.com).

The plan will enable traditional banks to offer additional services to their declined business lending customers.

AmeriMerchant President and CEO, David Goldin, says the U.S. Small Business Administration estimates that there are over 6 million small businesses in the country. Yet, he says, over 90% of small business bank loan applications are rejected, often leaving merchants with few options to expand and develop their businesses. "And it's often said that small business is what drives advancement in this country."

"A decline, unfortunately, can lead to the end of a long-standing business relationship," said Goldin, "because a customer will often go to all the competitors until a solution is found."

One banker from a global corporation says he particularly likes the retention value of the AmeriMerchant 2nd Chance Capital Program. "For example, a business may have potential, but need $50K to develop. This merchant does have cash flow, although not enough to meet our requirements. I can then offer an alternative, so when the business expands and qualifies for a $500,000 loan, it will come back to me."

Another, from a community bank that offers financial services to retail, commercial and trust said: "Many people just don't have the credit opportunity to qualify, even through the SBA. Here, they need a credit score of 640, together with a business plan--and they need to be operating for 2 years. Rather than lose a customer, I'd much prefer to offer them another alternative."

The AmeriMerchant 2nd Chance Capital Program is a merchant cash advance, and can enable merchants to access working capital up to $200,000. It buys a merchant's future credit card sales at a discount and advances the merchant money for the right to buy back a percentage of future credit card sales. Other features include a 90% approval rate for qualified applicants, fast approvals, (sometimes within 24 hours) and funds provided usually within 5-7 business days. There are no application or closing fees.

There is no fixed payment schedule. The 2nd Chance Capital Program gets paid as the merchant gets paid. Although there is an underwriting process, the program has less stringent requirements than traditional banks. Your customer must be processing for at least 60 days, the merchant can't have any open bankruptcies and must have at least 12 months remaining on the lease. No hard assets are required. "If your client processes credit cards, he or she can most likely work with us," says Goldin. "Banks require a credit score of 620 to 650, but with our product, your customer will probably qualify at 500 or above."

For more information, please visit www.2ndchancecapital.com or www.amerimerchant.com