Burns Funding has partnered with an aggregator of shelf corporations, entities that are no longer being used because their assets have typically been sold.
LA JOLLA, CALIFORNIA, UNITED STATES, April 22, 2019 /EINPresswire.com/ — Fresh off the announcement that he has institutionalized the bridge funding process and partnered with credit repair companies across the country to help entrepreneurs secure the growth capital they need to be successful, serial start-up entrepreneur Peter J. Burns III has expanded the offerings of Burn$ Funding again.
This time, Burns has partnered with an aggregator of shelf corporations, which are entities that are no longer being used because their assets have been sold, typically through acquisition. However, these corporations are still viable because they have exemplary credit records. While these entities typically range in cost from $2,000 to $4,000, their clean record means the owner of the corporation can secure lines of credit, which can serve as growth capital for the entrepreneur.
Burns has taken this a step further by utilizing his bridge funding mechanism as a way to help the owner of the corporation improve their own credit score. A better credit score not only helps the entrepreneur qualify for the purchase of a shelf corporation, but also personally obtain more low-interest debt in tandem with the lines of credit they are getting for the shelf corporation. The net result is they can not only secure more growth capital, but typically at a better interest rate.
“The main objective is to improve the entrepreneur’s chances of gaining access to cost-effective growth capital,” said Burns, who besides being an entrepreneur has also been a adjunct professor of entrepreneurship at Barrett Honors College at Arizona State University and the founder of Grand Canyon University's College of Entrepreneurship. “Since we started beta testing this earlier in the month, we have had hundreds of applications, and have already funded one business.”
The successful funding involved Richard Otto, the President of Metrol Carbon Ventures, LLC, a green energy technology company based in Phoenix.
“Burn$ Funding enabled us to secure $200,000 in funding, which was enough to begin the manufacturing process for our flagship product,” said Otto. “Before Burns Funding came along, we were relegated to approaching traditional banks, who had no interest in loaning us money.”
Burn$ Funding’s application of the bridge loan process in the shelf corporation space mirrors what it has done to help entrepreneurs obtain capital using their personal credit. In short, the bridge funding process in the credit repair industry has always been fragmented, dominated by individuals, who were unwilling to loan enough capital to make a real difference in the credit scores of individuals. Burns Funding partnered with highly reputable credit repair companies, such as Midas-Financial, which gave the institutions enough peace of mind to make meaningful unsecured loans.
“We can loan far more money to the customers we share with the credit repair companies,” said Burns. “This means the credit repair company can dramatically lower the customer’s all-important credit utilization ratio. This leads to an even better credit score for our customers, providing greater access to growth capital.”
The latter is especially important to entrepreneurs.
“Equity financing is so hard to get,” said Burns. “If the entrepreneur is on the edge of creating a successful business and just needs a little debt financing to dig out of a hole, or grow the business, we are prepared to help.”
Sue Malone, the president of Strategies for Small Business, and one of the nation’s leading SBA loan specialists has known Burns for more than a decade and believes he is on to something.
“What Peter is doing is highly disruptive to an industry that was in need of this,” said Malone. “For anyone that needs between $100,000 and $500,000, Burn$ Funding is a great place to start.”
About Burn$ Funding
Burn$ Funding is a financial services, aggregating company that secures attractive financing on behalf of individuals. It offers revolving primary credit lines available for purchase, from 6 months to 5 years old, up to $20,000; bridge loans, where consumers can pay down existing credit using a $150,000 (and growing) per week revolving bridge loan product and pay down credit card balances to 30 percent utilization, instead of the standard 45 percent; and 5 to 10-year-old shelf corporations with 6 AU tradelines, 3 primary tradelines, 80 paydex score with D&B, private funding and more. Through its credit repair partners, it is able to repair credit scores across all three bureaus and offer Rapid Rescore, where credit-seeking consumers can obtain a new credit score within as little as 48 hours.
Source: EIN Presswire