EPIC Advance sues collections firm ILEX Asset Recovery Group
- Thomas Tramaglini
- 3 days ago
- 3 min read
While it is usual for an alternative lender to go after small businesses and their owners, it is unusual for alternative lenders to sue collections companies. This week, one of the more prevalent alternative lenders, EPIC Advance, sued a collections company who they sent nearly approximately $6 Million of debt to be collected.
This case is a clear reminder that there is a wide-array of good and not so good collections companies and while some firms are reputable, some do not carry such a good reputation.
By Thomas Tramaglini, Chief Operations Officer
Partner, The Center for MCA Research
Read the case filed in New York Supreme Court on 11/19/2025
EPIC Sues ILEX Asset Recovery Group: The Case
In this case, EPIC Advance, one of the more prevalent alternative lenders sued ILEX Asset Recovery Group, a collections company who they sent a decent amount of business to since June 13, 2025, when EPIC signed an agreement with ILEX.
According to the complaint, ILEX was supposed to run their collections scheme and remit monthly collections to EPIC as per their agreement. Specifically...
"Section 4.2 of the Agreement provides:
“On a monthly basis, or as otherwise mutually agreed to by the parties, iLex will remit to
the Client all cleared funds collected to date less the commissions and/or any outstanding expenses due to iLex. In the event invoiced collection costs and/or invoiced commissions and/or suit fees due on direct payments remain due and payable, such collection costs and fees may be deducted from the remittance.”"
Over the course of time that EPIC submitted around $6 Million of debt to be collected, EPIC alleges that ILEX did not pay EPIC the amount they collected which was to be submitted as per their agreement.
When EPIC demanded what was owed to them from ILEX, ILEX did not respond.
Shady Collections Companies
Beacon Client Solutions is an award-winning small business consultancy who works with small business owners who are in default of their alternative loans and advances. Our firm has worked with a host of different collections companies in the alternative lending space.
ILEX is not one of the more mainstream collections companies and their reputation includes a D+ BBB rating and several negative comments on the industry's Daily Funder.
For instance, one member of the site said...
ilex Asset Recovery Group
Does anyone have any experience with this MCA collections company? Owner goes by the name Mike.They have gone dark on us, not answering calls or responding to emails.
Another member of the site responded....
Originally Posted by stevenbaron
Mike Padova
im not surprised
The site followed by
Has not paid us funds owed to us for a few months already. Ignoring our calls and emails.
@StevenBaron can they be added to the list of collection companies that don't pay out?
So What?
When you are sued by an alternative lender, there are always schemes out there where settlement companies take advantage of small business owners. We have written extensively about those companies here.
There are also some companies who alternative lenders hire to collect defaulted funds. Sometimes, those companies are shady as well.
Working with a reputable company like Beacon Client Solutions helps small business owners protect their businesses from shady settlement and collections companies. Beacon knows the players in the space, and knows who is shady and who is not.
Hiring a team to work with will not only save you money, it will save you and your business.
Dr. Thomas Tramaglini is the Director of Operations and Negotiation for Beacon Client Solutions, a company that supports small businesses on a host of fronts, especially MCA debt. Thomas has been a small business owner for many years, as well as held leadership positions in several organizations and companies. Thomas holds a B.A. in History, as well as Masters and Doctorates in Organizational Leadership from Rutgers University, The State University of New Jersey.
Disclaimer: Beacon Client Solutions is not an accountancy, or a law firm. We are business consultants. While Beacon works with outstanding attorneys and accountants, we cannot and do not provide legal or tax advice. All of our work is connected to those who are legally certified to give such advice. Beacon does have a longstanding body of work in MCA resolution and understands what small business owners deal with, specific to MCA. Beacon Client Solutions serves clients in all 50 states, Puerto Rico, Mexico and Canada.
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