Medallion Financial Defaults on $73.5 Million in SBA Debt. The SBA Says It Lacks a Qualified Management Team.

Medallion Financial defaulted on $73.5 million in SBA debt, and the SBA stated the Company lacks a qualified management team. ZimCal describes poor management and decision-making as having led to this point, warning it could lead to catastrophic results, with the board and management team continuing to put themselves ahead of stakeholders. For over two and a half years, ZimCal tried to work with Medallion Financial Corp. to increase its multiples and valuation, providing a 30-plus-page “5 Steps to Improvement” white paper, but was ignored despite being one of Medallion’s largest investors.