Merchant Cash Advance Loan Terms and Conditions:


This document will be updated constantly, and it is the responsibility of the Borrower to read & understand the updated Terms and Conditions.

All Merchant Cash Advance Loan Contracts and these Terms and Conditions will be governed and construed in accordance with the laws of Ireland.
 

1. General Definitions

1.1 The terms “we”, “us”, or “our” refer to Santiago SME Finance DAC
1.2 “Lender” or “Santiago” means Santiago SME Finance DAC, registered in Republic of Ireland with CRO number 725281 and registered office at 34/35 Mount Street Upper, Dublin 2
1.3 “Site”, “Website” or “Santiago SME Website” means this website accessible at the URL: santiagosme.ie
1.4 “System” or “Santiago System” means the online platform accessible by the Lender or any third party for applying a loan
1.5 “Terms and Conditions” means the terms and conditions set out below
 

2. Definitions

2.1 “Anti-Money Laundering Requirements” means all information and documentation required by the Lender to enable it to comply with all “Know Your Customer” and anti-money laundering procedures under all applicable laws and regulations;
2.2 “Arrangement Fee” means the fee payable by you when you accept a loan and set out in the Merchant Cash Advance Loan Contract;
2.3 “Borrower” means the company that borrows, or seeks to borrow, money from the Lender;
2.4 “Business Day” means a day (other than a Saturday or a Sunday) on which banks are open for general business in Dublin, Ireland;
2.5 “CRO”, means Irish Companies Registration Office;
2.6 “Daily Payment Rate”, means the estimated proportion (%) of the Merchant Card Receivables that will be deducted every day to repay the loan;
2.7 “Daily Repayment Amount”, means the minimum amount that will be deducted from the Merchant Card Receivables per day;
2.8 “eIDAS Regulation” means Regulation No. 910/2014/EU of the European Parliament;
2.9 “€” and “euro” are references to the lawful currency of Ireland;
2.10 “Event of Default” means any event or circumstance listed in Clause 10.1;
2.11 “Interest Rate” means the interest rate payable on a Merchant Cash Advance Loan. By accepting the Merchant Cash Advance Loan Contract, the Borrower is agreeing to repay the amount that was lent to them in addition to the agreed interest rate as the case may be provided in the Merchant Cash Advance Loan Contract. The interest cost is set at the outset of the Merchant Cash Advance Loan and this is the amount along with the capital which must be repaid;
2.12 “Loan Pause” means in respect of any Merchant Cash Advance Loan a period of one or more interest payment dates agreed to by the Lender when the Borrower under such Merchant Cash Advance Loan is permitted not to make its regular interest payment in full or partially;
2.13 “Merchant Cash Advance Loan” means a loan, credit or advance made by the Lender to the Borrower pursuant to the Merchant Cash Advance Loan Contract;
2.14 “Merchant Cash Advance Loan Contract” means the loan contract signed by the Borrower accepting a Merchant Cash Advance Loan. Each Merchant Cash Advance Loan Contract incorporates these Terms and Conditions and will govern the terms of supplying credit, or other facilities including a Merchant Cash Advance Loan to the Borrower;
2.15 “Merchant Card Operator” means a payment services provider with whom the Borrower has entered or may enter into any agreement with from time to time in respect of the operation by the Borrower of any electronic payment terminal or other payment process or protocol in respect of the Borrower’s business and its Merchant Card Receivables;
2.16 “Merchant Card Receivables” means all present and future customer payments made to a Borrower by credit card or debit card or other electronic means to or for the benefit or account of the Borrower as merchant arising from or in connection with the operation and carrying on of its business, provision of services or supply of goods and in particular the proceeds of all sales (or any part thereof) but excluding any VAT on any sum mentioned in this definition;
2.17 “Nominated Bank Account” means the IBAN and routing numbers of the Irish bank account that the Borrower wishes to use to receive money from the Lender;
2.18 “Open Banking Connection” means providing access, directly or indirectly, to banking data from the Borrower’s bank to a Lender approved third-party financial service provider;
2.19 “Repayment Instalments” means the retained portion of Merchant Card Receivables received by the Lender in pursuant to the Merchant Cash Advance Loan Contract and is calculated using the Daily Payment Rate;
2.20 “Restructuring Fee” means the fee payable by the Borrower if the Lender agrees to a restructure;
2.21 “Settlement Account” means the payment account set up by the Lender with its nominated payment services provider for all Merchant Card Receivables;
2.22 “Transfer Fees” means the cost of administering the Settlement Account to receive Merchant Card Receivables;
 

3. Borrower 

3.1 Each Borrower agrees to provide the Lender with a Nominated Bank Account that it will use to pay money from and receive money from the Lender.
3.2 The Lender will carry out anti-money laundering checks on each Borrower. Each Borrower agrees to provide all the relevant documentation in line with the Anti-Money Laundering Requirements and you authorise us to verify this information with third party information providers;
3.3 If we are unable to complete any steps in your registration, we will not register you on the System;
3.4 When submitting a loan application, each Borrower must submit details of its organisation for publication on the Website. Each Borrower hereby confirms that all information provided to the Lender in the registration, application and borrowing process is true and accurate in all respects. Borrowers are required to update the Lender immediately if any of the information it provided to us changes;
3.5 The directors, shareholders, business partners and/or senior management of the Borrower may be required to provide personal guarantees on behalf of the Borrower’s loan application;
3.6 Each party to a Merchant Cash Advance Loan Contract (other than the Lender) is jointly and severally liable to the Lender for repayment of the Merchant Cash Advance Loan and is subject to all of the Lender’s Terms and Conditions;
3.7 The Borrower represents and warrants to the Lender in respect of the Borrower, and in respect of each guarantor of the Borrower (where relevant), to the best of the Borrower’s knowledge, information and belief having made do and careful enquiries that:
  1. The Borrower is a registered Irish limited company and does not have any judgments registered against it;
  2. The Borrower is not a consumer within the meaning of that term in the Consumer Credit Act 1995;
  3. The Borrower is registered with the CRO, and the director/s are at least 18 years old;
  4. There are no judgments registered against the limited company;
  5. At least 50% of the directors of the Borrower are residents of the Republic of Ireland;
  6. All filings required by the CRO are up to date and will be kept up to date and the limited company has been actively trading (not dormant) for a period of time that is acceptable to the Lender;
  7. A valid tax clearance certificate or explanation of tax position/arrangement must be provided for the limited company and the Borrower;
  8. The Borrower’s constitution allows for the borrowing of funds;
  9. the Borrower has made full disclosures to the Lender of all information relating to the Borrower, each guarantor of the Borrower (if any) and their respective businesses that would be material to or should be made known to any organisation that is proposing to lend or has lent money to the Borrower; and
  10. the Borrower, its directors and senior management have not breached any term or condition applicable to any loan and are not in breach of or in default under any agreement or document to which they are a party or by which they or any part of their assets may be bound which could have a material adverse impact on them or on their ability to perform their obligations under the Merchant Cash Advance Loan Contract or any guarantees for the Merchant Cash Advance Loan to which they are a party or will be party; and
  11. the Borrower, its directors and senior management have been advised to take, and have been given full opportunity to take, independent legal advice on the Merchant Cash Advance Loan Contract and the actual and potential consequences of their execution of the Merchant Cash Advance Loan Contract, all guarantees for the Merchant Cash Advance Loan Contract and any other document specified, including these Terms and Conditions; and
  12. all information supplied by the Borrower and the guarantor/s to the Lender is true, complete, and accurate in all material respects and is not or will not be misleading in any respect; and
  13. no litigation, arbitration or other proceedings have been started or threatened against the Borrower, its directors and senior management which could have a material adverse impact on them or on their ability to perform their obligations under the Merchant Cash Advance Loan Contract or any guarantee for the Merchant Cash Advance Loan to which they are a party or will be party; and
  14. the Borrower is duly incorporated (or constituted where applicable) and validly existing under the laws of Ireland and it has the power to own its assets and carry on its business as it is being conducted; and
  15. the Borrower, its directors and senior management have the power to enter into, perform and deliver (and have taken all necessary action required to authorise their entry into, performance and delivery of) the Merchant Cash Advance Loan and all personal guarantees for the Merchant Cash Advance Loan to which they are or will be a party and the transactions contemplated by those documents; and
  16. the Borrower, its directors and senior management are in compliance with all applicable laws, regulations and practices and they hold and will keep in full force and effect and will comply with all authorisations, consents, approvals, waivers, resolutions, licences, permits, exemptions or registrations to ensure the Merchant Cash Advance Loan Contract and all guarantees for the Merchant Cash Advance Loan to which they are a party or will be party is legal, valid, binding and enforceable and to enable them to validly perform their obligations thereunder.
3.8 It is a feature of the Lender’s business that a conflict of interest may arise in a transaction, whether due to an interest of the Lender or a related party of the Lender. By accepting any Merchant Cash Advance Loan, the Borrower acknowledges the general nature of such conflict and that the Borrower still wishes to proceed with the transaction.
 

4. Borrowing

4.1 The Borrower must complete the application form online using the System and provide all information that is requested by the Lender to make a decision;
4.2 The Lender will carry out relevant credit, judgment and fraud checks on the Borrower and the directors of the Borrower after a loan application has been submitted. The checks will be performed on (but shall not be limited to) Search4Less, CCR and Comply Advantage;
4.3 The submitted loan application can be withdrawn from the System within 10 Business Days of submission, subject to written notice to the Lender and payment of any outstanding fees due by the Borrower;
4.4 The submitted loan application can be withdrawn from the System as long as System permits. The Borrower can defer a loan approval from the Lender;
4.5 When a loan application is submitted, the Borrower gives consent to the Lender to seek information about its application, credit history and any outstanding judgments;
4.6 The Lender will make a decision on a loan application based on the information received from the Borrower and third-party credit agencies;
4.7 The Lender will decide on the Interest Rate for a Merchant Cash Advance Loan based on the credit riskiness of the loan application. The information provided on the loan application form can only be edited by the Borrower after it has been submitted and when it is in a pending state. A Borrower can write to the Lender if there are details that the Borrower believes are incorrect. If a Borrower accepts a Merchant Cash Advance Loan, it will not be allowed to edit the application form page;
4.8 A Borrower has 5 Business Days to accept and sign a Merchant Cash Advance Loan Contract. The Borrower is under no obligation to accept or enter a Merchant Cash Advance Loan Contract and interest will not be charged until the Merchant Cash Advance Loan Contract has been executed.
4.9 Once the Merchant Cash Advance Loan has been accepted, a binding Merchant Cash Advance Loan Contract is in place between with the Lender and the Borrower. Before the funds are transferred, the Borrower must instruct their Merchant Card Operator to transfer all Merchant Card Receivables to the Settlement Account . The Merchant Cash Advance Loan funds will be transferred to the Nominated Bank Account only after the Settlement Account receives the Receivables and subject to any outstanding conditions set out in the Merchant Cash Advance Loan Contract;
4.10 The Arrangement Fee will be deducted from the Merchant Cash Advance Loan amount before it is transferred to the Borrower;
4.11 Force Majeure: The Lender may withdraw the offer of a Merchant Cash Advance Loan if an event occurs which is caused by, directly or indirectly, forces beyond its control, including, without limitation, strikes, work stoppages, accidents, acts of war or terrorism, civil or military disturbances, nuclear or natural catastrophes or acts of God, and interruptions, loss or malfunctions of utilities, communications, or computer (software and hardware) services;
4.12 The Lender reserves the right to demand any financial information and/or documentation that it may require from the Borrower from time to time and the Borrower must provide such financial information and/or documentation in a timely manner but in any event no later than five (5) Business Days after a written request by the Lender;
4.13 Where a Borrower has provided a historic direct debit mandate, the Lender may use it for any future loans applied for by the Borrower if an updated direct debit mandate is not provided at the time of accepting the future loan offer;   
4.14 It is the responsibility of the Borrower to obtain its own independent legal advice prior to entering a Merchant Cash Advance Loan Contract or any other transaction with the Lender;
4.15 When the Borrower accepts a Merchant Cash Advance Loan, this will constitute acceptance by the Borrower of these Terms and Conditions;
4.16 The Borrower must ensure that adequate arrangements are in place to meet all repayments in respect of a Merchant Cash Advance Loan Contract;
4.17 In case any one or more of the Terms and Conditions relating to a Merchant Cash Advance Loan Contract is found to be invalid, illegal or unenforceable in any respect under any law, the validity, legality or enforceability of the remaining provisions will not in any way be affected or impaired;
4.18 All Merchant Cash Advance Loan Contracts may be executed in any number of counterparts and all of those counterparts taken together shall be deemed to constitute one and the same instrument;
4.19 Transmission of an executed counterpart of the Merchant Cash Advance Loan Contracts by email (in PDF, JPEG or other agreed format) shall take effect as delivery of an executed counterpart of the agreement/deed and each party shall provide the others with the original of such counterpart as soon as reasonably possible thereafter;
4.20 Pursuant to the Electronic Commerce Act 2000 and eIDAS Regulation, the Merchant Cash Advance Loan Contracts shall be executed under seal including by an electronic signature;
4.21 Whatever form the electronic signature takes, this method of signature is conclusive of each parties’ intention to be bound by the Merchant Cash Advance Loan Contracts as if signed under hand by each of the parties or by affixing their respective company seals;
4.22 The Borrower and each guarantor of the Borrower acknowledge and agree the Borrower’s liability to the Lender under the relevant Merchant Cash Advance Loan Contract;

5. Merchant Cash Advance Loans

5.1 The Borrower agrees to assign 100% (one hundred percent) of its Merchant Card Receivables to the Lender as security for the duration of the Merchant Cash Advance Loan and must instruct its Merchant Card Operator to pay all of its Merchant Card Receivables to the Settlement Account provided by the Lender until the Merchant Cash Advance Loan is repaid in full. The Borrower also agrees to maintain Open Banking connection with the Lender and maintain the direct debit mandate;
5.2 By assigning the Merchant Card Receivables to the Lender, the Borrower agrees that the Lender has legal ownership and entitlement to the Merchant Card Receivables for the duration of the Merchant Cash Advance Loan;
5.3 It is at the discretion of the Lender to decide the Daily Payment Rate. The Daily Payment Rate will range from 1% to 100% and any changes will be communicated to the Borrower. The Lender may increase the Daily Payment Rate to ensure that the Merchant Cash Advance Loan will be repaid in full within the Merchant Cash Advance Loan term if:
  1. The projected Repayment Instalments are not sufficient to repay the Merchant Cash Advance Loan fully; or
  2. There is a non-payment of any sum under the Merchant Cash Advance Loan Contract;
5.4 If the Merchant Card Receivables fall below  70% of the Daily Repayment Amount consecutively for five (5) working days, the Borrower agrees that the Lender may alter the Daily Payment Rate and may also collect regular payments from the Nominated Bank Account by direct debit until the Merchant Cash Advance Loan (including interest and fees is fully repaid);
5.5 The Borrower agrees that during the Merchant Cash Advance Loan term, it will use one Merchant Card Operator to process all Merchant Card Receivables. The Borrower agrees that it will not change its Merchant Card Operator without the prior written consent of the Lender. If the Borrower enters into an agreement with a new Merchant Card Operator (subject to the prior written consent of the Lender), the Borrower agrees that it will provide the new Merchant Card Operator with the Settlement Account details and it will ensure that the Lender continues to have access to the Merchant Card Receivables;
5.6 The Borrower and/or its employees agree not to take any action, make any omission or otherwise do anything which is likely to or has the effect of reducing the Merchant Card Receivables during the Merchant Cash Advance Loan term. If the Lender determines that the Borrower and/or its employees are intentionally diverting funds from the Merchant Card Receivables, an additional fee equivalent to 10% of the outstanding balance will be applied and payable immediately to cover, amongst other things, the Lender’s anticipated additional operating expenses in recovering the Merchant Card Receivables;
5.7 If the total Merchant Card Receivables paid to the Lender cover the full repayment of the Merchant Cash Advance Loan, the Lender will stop accepting any future Merchant Card Receivables and will refund any excess to the Nominated Bank Account;
5.8 All efforts will be made to transfer net Merchant Card Receivables to the Borrower’s Nominated Bank Account in a timely manner. The Lender accepts no responsibility or liability for any delays from Merchant Card Operators, bank clearing houses and other banking partners;
5.9 If the total Repayment Instalments do not fully repay the Merchant Cash Advance Loan, interest and outstanding fees at the end of the Merchant Cash Advance Loan term, the Borrower will have to repay the full outstanding amount within 10 Business Days. The Lender will collect the remaining balance by direct debit from the Nominated Bank Account and a default rate of 2% will be applied on the outstanding balance from the day the Merchant Cash Advance Loan term matures The Borrower may also request an extension or restructure or renewal from the Lender however the Borrower acknowledges that the Lender is under no obligation to provide this;
5.10 The Borrower makes the following ongoing representations to the Lender:
  1. It has full power, authority and legal right to utilise, perform and comply with the Terms and Conditions of the Merchant Cash Advance Loan;
  2. The execution and performance of the Merchant Cash Advance Loan Contract shall not contravene any agreement, indenture or other instrument which is binding upon the Borrower;
  3. It is not in default of any of the Terms and Conditions of the Merchant Cash Advance Loan Contract or any other agreement;
  4. No material litigation is pending or threatened in relation to its business or likely to have an adverse effect on its business;
  5. None of the assets, including but not limited to the Merchant Card Receivables, over which security has been given to support the Merchant Cash Advance Loan are the subject of any security, pledge, lien, encumbrance or other security interest;
  6. The tax affairs of the Borrower are up to date and in order; and
  7. Full disclosure has been made to the Lender of all facts in relation to the Borrower and its business and affairs as ought to properly be made known to any person proposing to provide financial facilities to the Borrower.
5.11 The Borrower indemnifies and shall keep indemnified the Lender against all costs, liabilities, losses, and expenses it may suffer as a result of a breach of any of the provisions of the Merchant Cash Advance Loan Contract or in respect of the Lender enforcing or attempting to enforce any of its rights pursuant to the Merchant Cash Advance Loan Contract including but not limited to the Lender’s collection of Merchant Card Receivables or enforcement of any security;
5.12 The Borrower hereby irrevocably authorises the Lender to set-off by whatever means the whole or any part of the Borrower’s liability from time to time and without notice whether before or after demand, under or pursuant to a Merchant Cash Advance Loan (whether such liability is present or future, actual or contingent and irrespective of the currency of its denomination), against its Merchant Card Receivables and any sums in the Settlement Account. Any credit balance will not be repayable, or capable of being disposed of, charged or dealt with by the Borrower until its liabilities under the Merchant Cash Advance Loan have been discharged in full.

6. Fees

6.1 When you accept a loan, the Lender will charge an Arrangement Fee and the amount will be deducted from the Merchant Cash Advance Loan;
6.2 If we agree to restructure your debt, you must pay the Lender the Restructuring Fee ten working days after the restructuring has been approved or paid from Merchant Card Receivables by direct debit or from Merchant Card Receivables;
6.3 The Lender reserves the right to change or waive any of the Arrangement Fee, the Withdrawal Fee or the Restructuring Fee;
6.4 Transfer Fees are determined by our third-party provider. By way of indication only, these costs are currently (and may be changed by the provider):
  1. Bank transfer in per transaction €0.25
  2. Bank transfer out per transaction €0.25

7. Accepting Merchant Cash Advance Loans 

7.1 The Borrower can obtain details of the available offer to borrow by visiting the relevant loan details on the Site;
7.2 Once the Lender receives an acceptance of a Merchant Cash Advance Loan from a Borrower:
  1. The Lender and the Borrower will be bound by the Merchant Cash Advance Loan Contract;
  2. The Merchant Card Receivables will be used to repay the Merchant Cash Advance Loan Contract (as set out therein); and
  3. The Lender may demand repayment and enforce the Merchant Cash Advance Loan if an Event of Default occurs.
7.3 All submitted Merchant Cash Advance Loans will be displayed in the home page of the platform;

8. Cancellation of an offer

8.1 The cancellation of an outstanding offer to borrow becomes effective when an instruction by the Borrower to cancel is successfully received and processed by the Lender;
8.2 If the Borrower attempts to cancel an offer to borrow that is outstanding, it may not be able to do so if any signatory has partially or wholly accepted your offer before a cancellation request has been processed by the Lender. In this case, the original offer, or part thereof, will be validly accepted and settled;
8.3 The Lender may, at its absolute discretion, cancel a Merchant Cash Advance Loan before it is drawn down if it determines that there has been a material change in the circumstances of the Borrower, any guarantor of the Merchant Cash Advance Loan which is, in the Lender’s opinion, prejudicial to its interests;

9. Interest, Fees, and Repayments

9.1 The Borrower agrees to pay the Lender interest and fees on the Merchant Cash Advance Loan in the amount specified in the Merchant Cash Advance Loan Contract. Interest on the Merchant Cash Advance Loan shall accrue at the Interest Rate from the date the Borrower draws the Merchant Cash Advance Loan until the loan is fully repaid. The interest/fees shall be calculated at the outset for the whole period of the Merchant Cash Advance Loan and be stated in the Merchant Cash Advance Loan Contract. Interest shall be paid in regular instalments as specified in the Merchant Cash Advance Loan Contract;
9.2 Each of the Borrower’s repayments must be made to the Settlement Account;
9.3 The Repayment Instalments as provided in the Merchant Cash Advance Loan Contract will be deducted from the Merchant Card Receivables;
9.4 The Borrower may, subject to the terms of the Merchant Cash Advance Loan Contract, repay an entire Merchant Cash Advance Loan early at any time together with any outstanding interest and fees at the time of repayment . No early repayment fee will be charged. The Borrower is obliged to pay the remaining capital and all interest/fees identified in the Merchant Cash Advance Loan Contract;
9.5 Any tax obligations or reliefs that are due to or from the Borrower in relation to Merchant Cash Advance Loans are the sole responsibility of the Borrower;


10. Merchant Cash Advance Loan Termination

10.1 with or without notice on the occurrence of any of the following events, each an “Event of Default”:
  1. the failure by the Borrower to make any repayment of principal and/or interest on the date it is due;
  2. in the case of a Merchant Cash Advance Loan, the Borrower ceases to make payments in respect of its Merchant Card Receivables from its Merchant Card Operator directly to the Lender for a period of 5 days;
  3. on the Borrower ceasing or threatening to cease carrying on business or any substantial part thereof;
  4. on the death of the guarantor for the Borrower;
  5. if any guarantor notifies the Lender that they no longer wish to act as guarantor or that the guarantee is to be terminated (subject to the conditions of the guarantee);
  6. on the bankruptcy of, or commission of any act of bankruptcy by, the guarantor of the Borrower;
  7. if there is a petition for winding up, appointment of an examiner, SCARP, receiver, or liquidator against the Borrower;
  8. on distress being levied against the goods of the Borrower or on the same being taken in execution pursuant to any decree, judgment, or order of a court of competent jurisdiction;
  9. on judgment being obtained against the Borrower and remaining unpaid for a period of fourteen days from the date of such judgment;
  10. on a material change relevant to the Borrower occurring which is prejudicial to the Lender’s interests;
  11. on the breach, non-performance or non-observance by the Borrower of any of the Terms and Conditions of the Merchant Cash Advance Loan Contract and/or these Terms and Conditions;
  12. on discovery by the Lender that any information supplied by the Borrower was false, misleading, or inaccurate;
  13. on any change in the shareholding, management, or control of a Borrower which is prejudicial to the Lender’s interests; and
  14. Cancellation of a direct debit mandate or any other methodology for repayment of a Merchant Cash Advance Loan;
  15. If is not maintained until the end of the Merchant Cash Advance Loan;
  16. Unauthorised refunding of direct debit(s) that were contractually obliged;

11. Missed Repayments

11.1 If the Borrower believes that it will miss its next payment or will not be able to make its next repayment in full it should contact the Lender immediately;
11.2 If the Borrower misses, fails to pay, or only makes partial repayment, it will be charged a direct debit This fee will be applied on all subsequent direct debits which need to be re-presented. The Lender will contact the Borrower to confirm that there will be another attempt to collect the outstanding payment. If the payment is not received within 10 Business Days, the Lender will consider it an Event of Default and may engage a debt collector to recover the funds. Any fees that the debt collector charges will be added to the Merchant Cash Advance Loan amount that is outstanding;
11.3 If the Borrower fails to pay any amount due under the Merchant Cash Advance Loan Contract on its due date, it will be liable for interest, charged at a default rate of 2% per month above the Interest Rate. The default rate will be applied from the due date until the date of the actual payment. Interest at the default rate on the unpaid amount must be paid immediately and if unpaid, the interest may be compounded with the overdue amount daily. The Borrower acknowledges that this default rate represents a fair and reasonable pre-estimate of the Lender’s additional administrative and funding costs in the event of the Borrower’s failure to pay any sum due to pay any sum due to the Lender and is not a penalty;
11.4 If the Borrower misses, fails to pay, or only makes partial repayments, its Merchant Cash Advance Loan will be placed in default and handed over to a collector. The Collector will deploy its resources to collect the outstanding balances. The Collector will charge up to 30% of the balances collected and this will be added to the balance outstanding (the "Collection Fee"). For the avoidance of doubt the Collection Fee is added to the outstanding debt that is repayable by the Borrower;
11.5 If further action is necessary in relation to missed payments, it is likely that significant costs will be incurred via the legal recovery process which will be borne by the Borrower;
11.6 The Lender may take such steps as it considers necessary or desirable in its absolute discretion to collect the outstanding debt including, without limitation, pursuing guarantors, enforcing security, assigning the debt to a debt purchaser, and commencing formal legal action or insolvency processes through the courts. If further action is necessary, a collector fee, further third party legal and other costs may be incurred, and the Borrower and/or guarantor will be liable to pay all such costs;

12. Merchant Cash Advance Loan Modification

12.1 If the Borrower requests to restructure the term of the Merchant Cash Advance Loan after signing the Merchant Cash Advance Loan Contract, the Lender may agree to the request at its sole discretion and subject to the following:
  1. An increase in the Merchant Cash Advance Loan term may result in an increase in the Interest Rate;
  2. A Restructuring Fee will be charged to the Borrower;

13. Pausing Merchant Cash Advance Repayments 

13.1 The Borrower may request a Loan Pause by writing to the Lender or by emailing to info@santiagosme.ie and the Lender may agree to the request at its sole discretion;
13.2 The Borrower can only request a Loan Pause once during the Merchant Cash Advance Loan term;
13.3 The Lender, if agreeable to a Loan Pause, will decide on the Loan Pause period at its sole discretion subject and not limited to:
  1. The performance of the Borrower and receipt of Repayment Instalments;
  2. Term Remaining under the Merchant Cash Advance Loan Contract;
  3. Seasonal impact on the Borrower’s business operations;
13.4 No Repayment Instalments will be required from the Borrower during the Loan Pause and if any Repayment Instalments are received, the Lender will transfer them to the Nominated Bank Account;
13.5 The Borrower’s credit score will not be impacted negatively because of a Loan Pause;
13.6 The maturity date of the Merchant Cash Advance Loan will not change because of a Loan Pause and accrued interest during this period must be repaid by the Borrower within the term;
13.7 The Repayment Instalment may increase after the Loan Pause to collect outstanding interest accrued during the Loan Pause;

14. Disputes/Complaints

14.1 If the Borrower wants to make a complaint to the Lender about any of its products, it can email with details of the complaint to info@santiagosme.ie.