This video discusses various financing options available to pay off business tax liens using “The VCF Debt Rescue Strategy”. Obtaining working capital while simultaneously paying off business tax liens is also addressed. Both can be accomplished in just 7-10 business days.

Hello everyone and welcome to Value Capital Funding’s podcast, “Insights Into Better Business Financing”. My name is Jeff Kornfeld, and I’m one of the principals here at Value Capital Funding, a family-owned and operated, full-service commercial financing firm located in beautiful Boca Raton, Florida. We’re here to bring you timely information and tips to help you navigate the vast, and sometimes confusing, world of small business finance. Today’s topic is: Tax Lien Resolution Through Business Financing.

We invite you to contact us to discuss your business’s financing needs. You can reach us by phone at 800-944-6280 or visit us on the web at, where we also index these podcasts in case you missed any of them, or if you just want to listen to any of them again. So, without further ado, let’s start today’s show…

Tax Liens & Their Resolution

Getting a loan is often challenging for any small business, and owing money to the IRS, or other government agency, can create additional obstacles. But is getting business financing with a tax lien on your record impossible? Not if you approach it correctly.

The purpose of a tax lien is to guarantee that the government receives the taxes you owe before any other creditor or lender. A lien can hurt your chances of securing a business loan because every lender wants assurance, they’ll get their money back. If the government already has a claim to your property, that puts other lenders at the back of the line.

Business liens are a matter of public record and appear on your business credit report, which severely impacts your business’s credit rating, similar to if you declared bankruptcy. As you can imagine, this makes it much more difficult for you to not only secure a business loan, but also to refinance an existing loan, sell your business, or even transfer any of your business assets.

To make matters worse, a tax lien against your business could even affect your spouse’s financial standing. While your tax lien will not directly damage your spouse’s personal credit rating, it can make it difficult for you to apply for credit together, such as if you were buying a home together, or the lien against your business might attach to property you and your spouse own jointly.

The good news is that when you do pay your business taxes, the government can easily remove the tax lien from your record. If you’re able to pay off your tax debt in full, the IRS, or other government agency, will generally release the lien within 30 days of receiving payment.

At Value Capital Funding, we SPECIALIZE IN DEALING WITH FINANCIALLY DISTRESSED BORROWERS and, using “The VCF Debt Rescue Strategy”, our team has helped hundreds of business owners just like you, pay off their tax liens and obtain additional working capital, if needed, to help their businesses SURVIVE and then flourish.

“The VCF Debt Rescue Strategy” is a flexible and fast SECURED LENDING PROGRAM that is used to settle state and/or federal tax liens and access additional working capital (if desired), especially during times of financial distress.

Qualification is NOT based on the business owner’s FICO score. I’ll repeat…qualification is not based on the business owner’s credit score.

A Secured Lending Program requires collateral and there are 2 types of collateral acceptable to lenders in this arena:

1- One type of collateral is Real Estate with Available Equity: Even if the real estate already has a mortgage on it, it can be used as collateral. Our lenders will accept 1st, 2nd, 3rd, even 4th lien positions as long as there is enough equity to support them. Also, the real estate can be owned PERSONALLY or by any business you are involved in. Please note too, that you can use more than one property as collateral. Acceptable properties can include:

  • Your Primary Residence, meaning your home
  • Any Commercial Property, like if you own the building your business operates out of
  • Industrial Property like a warehouse
  • Investment Property like rental property you may own
  • or even Raw Land

2- The second type of collateral acceptable to lenders is Accounts Receivable

*This would include any B2B accounts receivable that are less than 90 days old, meaning accounts receivable owed to your business by other businesses as opposed to consumers

With one or both types of collateral, our lenders can offer you maximum flexibility so you can:

  • Settle your TAX LIEN in full,
  • Secure Working Capital Fast (if Needed), and
  • Get a fresh start & put this financial “speed bump” behind you, in JUST 7-10 business days!

Let’s check out a couple of our success stories and see “The VCF Debt Rescue Strategy” in action!

This first one is a construction firm that needed to get out from under both a federal tax lien AND a state tax lien which together totaled $174,640. Using “The VCF Debt Rescue Strategy”, the owner of the firm used both his Primary Residence, meaning his home, and an investment property he had, as collateral for his new loan. Both properties already had mortgages on them, but there was enough COMBINED equity for the lender to take a second lien position on both properties AND not only offer him enough to completely pay off BOTH tax liens, but also get an additional $75,000 in working capital for his business to give him some breathing room on his cash flow. The whole transaction was completed in two and a half weeks AND the entire loan will be completely paid off in just 24 months. He was one happy camper and told us he felt like he could take a deep breath again for the first time in quite a while!

The second scenario I want to share with you is that of a trucking company we recently helped out. This business had just one state tax lien for $86,582. The owner of the company had needed some working capital but been turned down by lenders because of his tax lien. That’s when he found us. Using “The VCF Debt Rescue Strategy”, he pledged his home, which already had a mortgage on it, as collateral for his new loan. The lender took a second lien position on his home, which had enough available equity to not only pay off his entire tax lien, but also give him an additional $55,000 in working capital which he used towards the purchase of another truck to increase his revenue. His new loan will be completely paid off in 24 months, OR he can refinance it after 12 months to spread out the payments over a longer period of time. Because he got rid of his tax lien, future refinancing is now an option that is open to him. And this whole transaction was accomplished in under 3 weeks.

In short, “The VCF Debt Rescue Strategy” helps you take illiquid assets, like real estate and accounts receivable, and turn them into cash to pay off your tax lien and, if the available equity supports it, get you additional working capital for your business. How’s that for pulling money out of thin air?!

Well…that about wraps it up for today folks. Thanks for listening to Value Capital Funding’s podcast, “Insights Into Better Business Financing” with me, Jeff Kornfeld. Today’s topic was: Tax Lien Resolution Through Business Financing.

We invite you to contact our dedicated group of professionals to discuss YOUR business’s financing needs. You can reach us by phone at 800-944-6280 or on the web at

Value Capital Funding, where our mission is to help businesses like yours secure affordable financing simply and quickly! We hope you tune in again next time everyone! Bye for now.