Have you been contacted by Kalamata Capital Group regarding an outstanding merchant cash advance debt related to your businesses funding? Dealing with these issues can be complex, and it’s important to know the best steps to take to deal with a merchant cash advance. Keep reading to learn more about Kalamata Capital Group and what to do if you’ve been contacted by them about funding for your business.
Who is Kalamata Capital Group?
Is Kalamata Capital Group Legitimate?
Yes, Kalamata Capital Group, LLC is a legitimate financial firm. It was founded in 2013 and has since provided businesses with more than $1 billion in financing over $13,000 different loans and MCAs.
Though Kalamata Capital Group is a legitimate lender, business owners should proceed with caution before working with them. MCAs often have higher risks and costs associated with them than traditional business loans do. And because of Kalamata Capital Group’s lenient borrowing requirements and fast approvals, you may find yourself stuck with a loan you aren’t able to repay.
Overview of Kalamata Capital Group
Kalamata Capital Group is a financial firm that provides business loans and merchant cash advances (MCAs) to small and medium-sized businesses. Kalamata Capital Group is headquartered in Bethesda, Maryland, and has a location in Pearl River, New York.
Kalamata Capital Group provides up to $750,000 in financing to businesses in qualifying industries. These industries include:
- Retail
- Wholesale
- E-commerce
- Medical and dental
- Pharmaceuticals
- Trucking
- Construction
- Logistics
- Restaurants
- Hotels
- Franchises
Kalamata Capital Group Reviews and Complaints
Kalamata Capital Group has few online reviews, so it’s difficult to tell how its past customers feel about the company. It’s accredited with the Better Business Bureau and has an A+ rating, and it doesn’t have any complaints with the Consumer Financial Protection Bureau (CFPB).
Kalamata Capital Group has just three online customer reviews, with ratings ranging from one to five stars. While one customer claimed to have had a wonderful experience with Kalamata Capital Group, two others found the company to be predatory and misleading during the borrowing process. The company has had just one Better Business Bureau complaint, which was resolved in 2023.
Understanding How Kalamata Capital Group Operates
Kalamata Capital Group specializes in offering business loans and MCAs to small and medium-sized businesses. An MCA is a type of alternative business financing that’s an advance on your future sales. Think of it like a cash advance on your paycheck but for your business.
Kalamata Capital Group provides large MCAs, often in as little as a few hours. And like other MCA providers, the company has lenient borrower requirements, making the cash relatively easy to get. And while this seems like a benefit at first, it comes as a cost.
Dealing with Kalamata Capital Group
If you’re a current or former borrower of Kalamata Capital Group, you may be contacted by them regarding your debt. It’s important to understand how to proceed if that happens.
What Should I Do If I Receive a Letter or Call from Kalamata Capital Group?
If you receive a letter or phone call from Kalamata Capital Group, it’s important to first make sure it’s legitimate and not a scam.
Look at the contact information you’ve been provided with and make sure they match the address, phone number, and email address listed on the company’s website. If you’re still unsure, you can even contact the company using the contact information on its website to ask.
Once you’ve determined the communication is legitimate, it’s important to figure out exactly why they’re contacting you. If you received a letter, make sure to read it carefully. If you received a phone call or voicemail, listen carefully and take notes.
The communication could simply be a marketing offer for more MCA’s or something similar. However, if they’re contacting you about past-due payments or threatening legal action, you may want to consult a lawyer with experience working with MCAs for guidance.
Handling Communications from Kalamata Capital Group
It’s important to keep copies of all of your letters, emails, voicemails, and phone call notes from your communications with Kalamata Capital Group. You also carefully review your MCA agreement, as well as your communications so far to ensure you understand the issue at hand.
If you’re considering hiring a debt relief attorney to help you in your dealings with Kalamata Capital Group, it’s important to do so sooner rather than later. In the meantime, try to limit your communication directly with the company until you have a lawyer to advise you on your rights.
Knowing Your Rights against Kalamata Capital Group
Because MCAs are a form of alternative financing, they aren’t subject to the same consumer protections as traditional loans. In fact, there are no federal regulations that specifically address MCAs.
Unfortunately, this means it may be easier for businesses and those that accept funds from MCA’s to fall victim to predatory lending and deceptive or misleading sales tactics. For example, MCA providers may not be required to disclose high fees the same way other lenders would.
That being said, you still have rights as an MCA seller, the one who receives the money from the MCA buyer. You have the right to documentation that includes all of your agreement terms, including interest rates, factor rates and fees, repayment terms, and more. You also have the right to legal representation. If you decide to hire an MCA attorney to represent you, Kalamata Capital Group or any MCA can’t stop you from doing so.
Finally, you have the right to be treated fairly by Kalamata Capital Group or another MCA. And if you believe any company has acted unfairly towards you or in a way that violates federal or state laws, you can file a complaint with the CFPB, the FTC, or your state attorney general’s office.
The Legal Side of Kalamata Capital Group
Common Legal Issues with MCA’s and Kalamata Capital Group
Because MCAs aren’t regulated in the same way as other lending products, there’s room for more challenges and resulting legal issues. Kalamata Capital Group may take legal action against borrowers for breach of contract, including failure to make agreed-upon payments.
Unfortunately, the lack of regulation means that an MCA company can charge predatory fees without clearly disclosing them, leading to more borrowers breaching their contracts.
There are reports that Kalamata Capital Group, in particular, is quick to take legal action and obtain default judgments against the businesses it gives money to once the business defaults on the scheduled payments. If you’re considering taking funds from Kalamata Capital Group — or you already have — then proceed with caution especially if your budget is limited and your business funds may not be able to meet the payment schedule set by the agreement you sign for the funds.
What Happens If You Get Sued by Kalamata Capital Group
If you get sued by Kalamata Capital Group, it’s important to reach out to a qualified and experienced MCA debt help attorney, one who understands the legal process and your responsibilities to ensure you get the best possible outcome. Here’s what you can expect the legal process to look like:
- Receive the complaint: The first step in the MCA lawsuit process is you being served with a complaint from Kalamata Capital Group and their attorneys. This complaint should outline the company’s claims against you and what remedy it’s seeking.
- Review the documents: Before taking any next steps, make sure to read and fully understand the complaints. Especially take note of anything you believe to be inaccurate.
- Seek legal help: It’s in your best interest to seek legal advice when dealing with MCA companies that sue you or threaten to sue you. An experienced MCA attorney can guide you through the process and take some of the burden off of you.
- Response: Once you’ve hired an experienced MCA attorney, you’ll need to respond to the complaint. This must usually be done within 20 to 30 days of receiving the complaint. In your response, you can raise possible defenses or counterclaims or deny the claim.
- Discovery: The discovery process is where the two parties exchange relevant information about the lawsuit. If you’ve hired an MCA attorney, you should allow them to do this on your behalf.
- Negotiation and settlement: Many lawsuits are settled by the two parties before they even reach the courtroom. If you enter into settlement discussions, your MCA attorney will represent you and ensure that you get the best possible deal where the legal action ends.
- Trial: If no settlement is reached, your case can go to trial. Both you (with your attorney representing you) and the MCA company will have the opportunity to plead your case.
- Judgment: The final step in the MCA lawsuit process is the judge’s decision, assuming you weren’t able to reach a settlement agreement. The judge will dictate how much (if any) you’re required to pay the MCA.
How to Negotiate with an MCA like Kalamata Capital Group
Check to Make Sure whomever is contacting you as Kalamata Capital Group Isn’t a Scam
Kalamata Capital Group is a legitimate company, but that doesn’t mean the communication you’re receiving is legitimate. Unfortunately, MCA debt collection scams aren’t uncommon, and bad actors may try to prey on people in vulnerable financial situations.
As we mentioned, you can ensure your communication from Kalamata Capital Group is legitimate by verifying the contact information in your letter matches that on the company’s website. You can also contact the company directly to confirm the communication or even enlist the help of an MCA attorney to help you confirm it.
Strategies for Negotiating with Kalamata Capital Group
You may be able to negotiate your MCA debt with Kalamata Capital Group, either in or outside of the legal process. Here are a few steps to keep in mind during your negotiations:
- Understand your MCA agreement: Before going into any negotiations, it’s important that you understand exactly what you agreed to when you signed your MCA agreement, as well as how much you currently owe.
- Have a goal in mind: Consider your ideal outcome for your negotiations. You may have a specific number in mind that you’re able to pay, either as a lump sum or a monthly payment. Walking into the negotiations prepared to pay something will make Kalamata Capital Group more likely to cooperate with you.
- Organize your documents: Throughout the negotiation process, make sure to keep all of your communications, as well as your original loan documents. You should also prepare any documents you think will be helpful in the negotiations.
- Remain professional: Throughout the negotiation process, be sure to remain calm and professional while still being persistent. The process can take time, and patience is key.
- Seek legal advice: You don’t have to go through these negotiations alone. An experienced MCA attorney can guide you through the process and help you achieve the best possible outcome and help protect your assets and business income during the process.
How to Protect Against Kalamata Capital Group
Steps to Take If You’re Contacted by Kalamata Capital Group
If you’re contacted by an MCA claiming to be Kalamata Capital Group, your first step should be reviewing the communications, both to ensure it’s not a scam and to verify the information in it. If the communication is a legal complaint or debt collection, make sure you understand exactly what’s being asked of you and compare the information in the letter to your original MCA agreement.
The next step if your small business has been contacted by Kalamata Capital Group about your MCA debt is to hire an MCA attorney (or at least strongly consider doing so). An experienced MCA attorney has been through this plenty of times before. They can help you understand your rights and alleviate some of the pressure along the way.
Finally, decide on your next steps, whether that’s negotiating with Kalamata Capital Group or any MCA directly or going to court to plead your case.
Filing a Complaint Against an MCA
If you believe you’ve been treated unfairly by an MCA or Kalamata Capital Group or the company has violated federal or state law, you have the right to file a complaint. First, consider filing a complaint with federal organizations like the CFPB or the FTC. Next, you can file a complaint with your state’s attorney general. Finally, consider filing a complaint with the Better Business Bureau. Though it’s not a government organization, a complaint there may get the company to solve the issue more quickly.
Kalamata Capital Group Phone Number and Address
You can contact Kalamata Capital Group at either of its two offices, one in Maryland and the other in New York. Here’s how to contact them:
| 7200 Wisconsin Ave #500 Bethesda, MD 20814 (800) 200-4071 | 1 Blue Hill Plaza Lobby Level #1509 Pearl River, NY 10965 (800) 200-4071 |
Kalamata Capital Group also has a contact form on its website where you can reach someone.
How Can a Debt Settlement Attorney Help?
If you’ve been contacted by Kalamata Capital Group or any other MCA about a debt, a debt settlement attorney can be an invaluable resource. An MCA attorney will have plenty of experience working with MCA firms before and during the legal and UCC lien process. And because of the unique and complex nature of these lending products, it’s important to have someone who knows what they’re talking about and how to handle MCA matters since they are complicated and unique.
When you work with an MCA attorney, they can help facilitate your communications with the MCA, participate in the negotiations, advise you how to manage your business through the proces and represent you in court, if it comes to that.
Tayne Law Group is a commercial litigation law firm and works with Kalamata Capital on behalf of its clients among other MCA companies. Tayne Law Group offers a free phone consultation with one of their experienced MCA debt relief attorneys to discuss your business debt. If you’ve been contacted by Kalamata Capital Group or by any MCA about debt, we may be able to help. Contact our offices at (866) 890-7337 or fill out our short contact form. We never share or sell your information, and all conversations are confidential.
FAQs
Kalamata Capital Group, which was founded in 2013, is a financial firm that serves small and medium-sized businesses through various lending products.
Kalamata Capital Group provides both business loans and merchant cash advances.
Kalamata Capital Group offers loans and MCAs of up to $750,000, and you can often qualify and receive your money the same business day.
Kalamata Capital Group is headquartered in Bethesda, Maryland, and has an office in Pearl River, New York.
