Introduction
Scaling a wholesaling business sounds simple—lock up more deals, find more buyers, cash more checks. But without working capital, growth can stall fast.
That’s the position “Chris” found himself in: great pipeline, solid buyers, but cash locked in pending closings. Then he discovered assignment fee advances secured by end buyer Earnest Money Deposits (EMD). Within 90 days, his business changed.
In this case study, we’ll show how Chris used EMD-backed advances to:
- Close 3x more deals,
- Fund his own marketing, and
- Build consistent cash flow without waiting for title to clear.
Meet Chris: From Bottlenecked to Scaling Fast
Chris was a solo wholesaler in Atlanta doing 1–2 deals per month. His average assignment fee was $12,000, but cash flow was inconsistent. He often waited 21–30 days for closings, with all marketing and expenses paused during that time.
Despite having buyers and contracts in hand, Chris couldn’t grow faster because his money was tied up in the pipeline.
📌 REITipster notes that wholesalers who lack consistent deal funding are at a major disadvantage compared to those with cash reserves or funding access.
The Breakthrough: Leveraging Assignment Fee Advances
After a networking event, Chris learned about assignment fee advances—short-term capital infusions tied to the buyer’s EMD.
Here’s how his first advance played out:
- Chris assigned a deal with a $5,000 EMD from his end buyer.
- He applied for an advance and received $4,000 up front.
- That money funded fresh leads, skip tracing, and gas for seller appointments.
- His buyer closed 17 days later. The advance + fee was repaid, and Chris received the balance of his $11,500 fee.
📌 BiggerPockets explains that once EMD hits escrow, it’s a powerful indicator that a wholesale deal is on track to close—making it a perfect collateral option.
Results After 90 Days: Cash Flow Unlocked
With access to capital before closings, Chris began to:
✅ Run consistent marketing—mailers and texts went out weekly.
✅ Say “yes” to more deals—he never had to wait for a payout to fund another contract.
✅ Build stronger buyer confidence—he could deliver faster, thanks to improved liquidity.
In just 3 months, Chris closed 7 wholesale deals (up from 2 per month), grossed $72,000 in assignment fees, and used advances on 5 of those 7 to keep momentum going.
📌Fundbox reinforces that unlocking trapped capital is one of the most effective ways to scale operations—especially in asset-based businesses.
Why It Worked: Deal Strength + EMD Protection
Here’s why Chris’s advances were successful:
- He had solid end buyers who funded their EMD quickly.
- The advance amount never exceeded the EMD.
- The funding partner was repaid first at closing (advance + fee).
- Chris assigned EMD refund rights in case a deal fell through—keeping everyone protected.
📌 Investopedia describes the EMD as a buyer’s “skin in the game”—and Chris used that skin to unlock funding and grow fast.
Final Thoughts: Fueling Growth with Smart Capital
If you’re a wholesaler stuck between “I’ve got deals” and “I’ve got no cash,” assignment fee advances could be the leverage you need.
Chris didn’t wait for closings. He didn’t max out credit cards. He simply used what was already in the deal—EMD—to get funded fast.
🚀 Got a buyer’s EMD in escrow? You might already qualify for an advance. Let’s scale your next 90 days.
👉 [Apply for an Assignment Fee Advance]