Your merchant portfolio is a valuable asset. Understanding that value and your rights and obligations relative to ISO partners, positions you to get the best deal when selling that asset.
Have you downloaded your copy yet?
I woke early at a Disney World resort and immediately reached for my phone. I was enjoying some family time, but my kids were still asleep. I only wanted to peek at my mobile banking app to see if my deposit had posted.
Having just finalized the sale of a merchant residual portfolio, I well remember that feeling of the first of two payments in the amount of $200,000+ posting. That was a good day!
Have you ever sold a portion of your residual portfolio? If so, you know the feeling.
As my companies have evolved away from direct sales to consulting and technology, I have sold seven different portfolios in the merchant services industry. This has resulted in my experiencing the good, the bad, and the ugly in that arena! Thinking back on these sales, I’m confident I left at least $100,000 on the table.
The back end pay-off could be lucrative in this industry.
I was four or five months into a relationship of selling merchant services for a new ISO. I was doing well and quickly building my residuals. However, the growth wasn’t quick enough for the plan I had in mind. I wanted to hire an assistant and part-time customer support person, so I could spend more time in the field.Do you recognize that frustration?
I knew that every sale I made generated a monthly residual, but I had no idea I could sell that residual like an asset. In looking at the valuations on the first few accounts that had been processing, I was shocked! The back end pay-off could be lucrative in this industry.
Are you still with me? Sound interesting?
Why Sell Your Merchant Residual Portfolio?
- I loved taking all the pressure and stress off my personal financial situation so I could focus on building my business.
- I liked the challenge of rebuilding my book of business quickly to replace the income I had sold.
In my mind, this combination of reducing personal stress while increasing business focus is a great way to grow your business and enjoy your life!What do you think? Is it time to explore a full or partial portfolio sale?
Get top dollar on your portfolios.