How the dispute usually starts
The pattern is familiar from our side. Revenue slows, the fixed daily or weekly debit keeps coming, and the operating account goes negative. Some owners stop the debits and hear from the funder almost immediately; others learn about a filing only when the bank says the account is restrained and payroll will not go out. Personal guaranties, affidavits signed at funding, and filings made against the business tend to surface in the same week. What the paperwork actually permits the funder to do is the first thing worth checking, because these agreements differ a great deal from one funder to the next.
What to pull together
Gather the complete funding package for every advance, not only the most recent one: the agreement, the fee schedule, any guaranty, and anything else you signed at closing even if it was never explained to you. Add bank statements covering the months before and after funding so the actual debits can be compared against what the contract describes. Note any reconciliation request you made and how the funder responded, along with emails and texts with the broker who arranged the deal. If several funders are involved, a simple list of who was paid, when, and from which account saves a great deal of time. Stacked advances are common and they change how the whole picture reads.
Where these matters can go
Some disputes are resolved by negotiating a revised payment structure directly with the funder, particularly while the business is still operating. Others turn on whether the arrangement functions as a purchase of future receivables or as something else, a question that is actively contested and depends heavily on the specific contract language and the forum. Two dates drive the timeline: when the debits began and when you were served, and each carries its own window for responding. If an account has been restrained, the immediate problem is usually getting the business running again while the underlying dispute is sorted out. We will tell you which paths are realistically open and what each one would ask of you.
