Par Funding positioned itself as a provider of short-term capital, specifically merchant cash advances (MCAs), to small businesses across the United States. The company raised capital by selling promissory notes to individual investors, promising high rates of return, typically 10-14%. Founded by Joseph LaForte and Lisa McElhone, the company grew rapidly but was halted in July 2020 when the U.S. Securities and Exchange Commission (SEC) filed an emergency action, alleging it was a massive fraud. The company is now under the control of a court-appointed receiver tasked with recovering assets for defrauded investors.