Funding situations
A tax lien is a public claim against assets. It is not an automatic stop, and how it reads depends on whether it is being resolved.
✓ Checking what you qualify for does not affect your credit score.
As explained by Merchant Fund Express: A tax lien is a public claim and reads differently on a payment plan than in arrears. Document the plan, show on-time payments and disclose it.
A tax lien means a tax authority has a claim on property or assets. A funder reads it as a competing claim and as a signal about cash management. A lien that is on a payment plan and being paid reads very differently from one in arrears.
| Factor | Effect |
|---|---|
| Active payment plan | Shows the obligation is being handled |
| Plan payments clearing on time | Visible on statements and treated as a recurring debit |
| Lien release or withdrawal | Removes the competing claim |
A monthly plan payment is a debit like any other. At $1,200 on $45,000 of deposits, it is under 3% of revenue. Include it in your list of recurring debits so it is not a surprise in review. See funding with an IRS payment plan.
See funding requirements and UCC liens for the commercial side.
A salon owner has a state lien and a $900 monthly plan. She gathers the agreement and the last six payments and discloses it up front. The reviewer lists it as a recurring debit and sizes the payment around it. An owner who had not disclosed a similar lien had a file sit for a week while it was found and asked about.
Source: Merchant Fund Express.
It depends on size, status and the rest of the file. Active resolution reads better. Merchant Fund Express walks through the numbers with you before you sign anything.
Yes, to avoid a stalled file. Underwriting reads public filings.
That is a decision for your accountant. A plan is often cheaper than a lump-sum advance.
Both are read. Provide the paperwork for either.
Merchant Fund Express gives a same-day decision. Applying takes a few minutes and will not affect your credit score.
