When you can no longer collect a funded deal ("Tracked Deal" in MCA Suite), you can mark the Tracked Deal as in Default.  When the Deal is in Default, the following happens: 

  • Deal Stage is set to Default
  • The Deal is omitted from the calculations in Direct Funding Dashboards


You can still apply transactions (payments) to a Defaulted Deal.


You can Default a Deal by clicking on the "Default" button on the Deal Tracking page in the Post Funding Details section.



After clicking on the "Default" button, the Deal will be marked as in "Default," and the following metrics will appear: 



Below are formulas that calculates the metrics: 


Loss on Principal 

  If Amount Repaid > Funded Amount, then there is no principal (and so no principal loss)


Loss on Fees:

   If Amount Repaid < Funded Amount, then loss of fees = Actual Expected Payback – Funded Amount

   If Amount Repaid > Funded Amount, then loss of fees = Actual Expected Payback – Amount Repaid

 

Total Loss = Loss on Principal + Loss on Fees