New Flock Advisors Falcon Fund Offers Debt Buyers Funding In Tough Environment

ATLANTA, Georgia — Flock Advisors today announced public availability of the firm’s Falcon Fund, adding to the options available to debt buyers for funding debt purchases. The Falcon Fund, which in its first round has received approximately $20 million in commitments from high net-worth individuals, provides flexible funding to middle market debt buyers wishing to take advantage of favorable market conditions, but unable to find funding from traditional sources on mutually profitable terms or at all.

“With prices returning to attractive levels, there are lots of deals that are starting to make sense if the buyer can get reasonable funding,” said Flock Advisors Managing Director Michael Flock. “With Falcon, we are providing experienced middle market debt buyers with funding that is fair, flexible and fast.” The Falcon Fund will finance 85% of the purchase price for debt buyers who spend $1 million or more annually for charged off debt portfolios. Borrowers must have a consistent track record collecting the paper in their pipeline, an experienced management team and solid financials. Unlike many funds, the Falcon Fund will not require personal guarantees or exclusivity. The Falcon Fund offers an innovative ‘pari passu’ structure, in which the debt buyer is paid in parallel with the investor through distributions in proportion to their respective investments. This model provides cashflow earlier to the debt buyer.

“It’s been a very challenging environment to find reasonable funding opportunities in a market like this.  Even experienced buyers are hard pressed to find a program as good as this one,” remarked leading debt buyer Bob Morris, founder of Oliphant Financial. “I’ve known Michael Flock for a long time and was very comfortable using his Falcon Fund on a transaction. The terms were attractive, competitive and I know I can look to the Flock team for a fair and professional relationship.”

“I think the market is hungry for this type of funding,” commented Stacey Schacter, President of Vion Receivable Investments, a buyer of consumer and commercial accounts receivable portfolios nationally and internationally. “There are a lot of savvy buyers out there who would do more deals if they could find reasonable funding terms. We have encouraged our buyers to seek out funds like Falcon.”

Firms interested in learning more about the fund should contact Flock Advisors. The firm’s principals will be attending and will be available for meetings during the upcoming Debt Buyers Association Conference in Las Vegas, February 9th – 11th.

About Flock Advisors
With a focus on the credit, collections, debt buying, and business process outsourcing industries, Flock Advisors maximizes value through a unique combination of operating experience, relationships, quality execution and M&A expertise.  Whether it’s selling a company, buying a company, raising capital or transforming a business, Flock Advisors provides more than a transaction. For more information, contact Michael Flock, 770.644.0851, or Don Hilbert, 770.644.0852.