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Balboa Capital Exits Broker Business?

Balboa reportedly has 150 employees, although the exact number is not known, and was very active in the National Association of Equipment Leasing Broker Association after hiring Curt Lynse to develop a broker program . Reportedly he left due to a disagreement on how the program was not living up to the standards that he had originally created.

Have several confirmations and requests to officers of Balboa Capital, Irvine, California for "confirmation" or "denial."

Leasing Brokers were sent:

""Dear Broker:

Please accept this as Balboa Capital Corporation's notice that we are ending our relationship with your company effective today, Friday, November 21, 2008. Thank you for your past business. And while this was a difficult decision, we wish you only the very best with your future endeavors.

If you should have any questions, please contact Patrick Ontal or Phil Silva at (949) 553-3451 ."

Leasing News is getting several reports that Balboa "...basically shut down their broker division and let go of most employees they have in that division, but are continuing their sales and vendor sides. They aren't honoring deals I have in funding, and obviously outstanding approvals."

Others note:

"What's most scary is the fact that they have a list of all these customers that we have financed through them who I'm sure they will call from their direct sales side."

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"When I called to find out what the story was, no one was available, not anyone in the credit dept, funding dept, nor would any manager pick up...in fact, most voicemails now state "we're sorry, but the person you are calling is no longer available" So when I initially thought "what the heck did we do for them to cut us off" I'm now realizing that it's my belief that they have completely severed their broker division. They have been going downhill for a while now, ever since Curt Lysne left, but this was totally unexpected."

Leasing News has received reports from brokers that Balboa was calling some of their customers and vendors. In addition, Balboa Capital is very active in utilizing "Trigger Data" to call potential lessees.

This is a developing story and Leasing News is looking for "on the record" and "off the record" information.

Kitmenkin@leasingnews.org

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