Commercial Lending
Join 1000's of Authors at StreetArticles Today!

Is your commercial note coming due?

As commercial mortgages expire some property owners are discovering their bank will not rewrite the loan upon maturity. This may have less to do with the client and their ability to pay the mortgage, then the bank itself. New federal regulations have placed excessive restrictions on commercial mortgage loan exposure which banks carry on their books. Forcing banks to deny mortgages to some clients.

Recently, after being a client for 10 years, my bank would no longer renew my commercial mortgage. Even though my business was profitable and I had never missed a payment. My banker informed me they would be able to process my loan through their SBA division. This was not a concern in the past but with the tightening of lending and new regulations the bank would not consider renewing the mortgage without going through the SBA.

Banks looking to reduce their liabilities tend to direct customers to SBA loans they offer. This allows the bank to keep the client and defer most of the liability to the government. The SBA option has its own set of difficulties. The approval process can be daunting, upfront costs can be expensive and investors with multiple properties can easily exceed the maximum debenture of $5.5 million.

So what are your options?

One option is to seek Private Equity Loans. (I'm not talking about Hard Money Loans!) With Private Equity Loans, funds are usually provided by Institutional Investors interested in long term commitments with stable returns, Commercial Mortgages fit this criteria well. These institutions, (usually insurance companies, pension funds and Private Investment Groups) have fund managers which oversee large pools of money. The fund managers work through commercial mortgage brokers, not direct with the public. Brokers qualify clients and facilitate document organization in assisting the fund manager.

Usually acquiring funding through Private Equity lenders is quicker then traditional banks. This is because most fund managers have the authority to approve a loan so the application does not need to be presented to a committee. The borrower will still need to provide similar documentation as required from banks. Any delay in providing the required documentation will have a detrimental effect on the timing.

As with banks, private equity lenders have specific categories of investments they are comfortable with. Here at Commercial Mortgage Provider LLC we have relationships with fund managers from several different lenders, allowing us to connect the borrower with a lender that best fits their needs.

For help with your funding needs go to: Commercial Mortgage Provider LLC


Street Talk

No comments present
You May Also Like
Forex Trading Hawe Chash
When considering investing for the first time, you may have run into several different types of ways of gaining profits, each with their own advantages and disadvantages. While Forex may be the lesser known type of investing, it is seemingly the one with the most advantages. Forex investing is the…
By: Makowski Piotr Dariusz in  Business  >  Venture Capital   Feb 26, 2016  
0
  Likes: 0

Beneficial Facts About Marijuana That Ought to Be Learned When Opening A Dispensary
Several decades ago, medical marijuana had been already used medically by our forebears. Today, its utilization has been upgraded and is used for the management of severe medical ailments. Examples are the chronic painful sensations, cancer, and more. Despite having all of these medical advantages that are received from pot,…
By: Dash Thomas in  Business  >  Venture Capital   Feb 04, 2015  
0
  Likes: 0

Questions to Answer When Determining If You Are the Right Person to Lead A Private Equity Buyout
Once you have a company that has agreed to do a deal with you and a private equity company, you still have to sell you and your leadership team to the private equity investors before they will agree. Venture capital money is not likely to go where there is any…
By: James Pullman in  Business  >  Venture Capital   Aug 29, 2011  
1
  Likes: 2

The Top Three Points to Keep Away From When Opening A Dispensary
Discrepancies will have to be decreased when opening a dispensary. The more amount of failures that you commit, the greater number of damages that you may most likely face in your business venture. This means that, substantially less cash for you. For that reason, a dispensary entrepreneur have to always…
By: Dash Thomas in  Business  >  Venture Capital   Dec 18, 2014  
0
  Likes: 0

Selling You, the Private Equity Advisor, to A Venture Capital Firm
Once you have a company that has agreed to sell or partner with private equity and venture capital money, it is your job as a private equity advisor to sell your leadership to private equity investors. I have over 20 years of successful experience as a senior leader and entrepreneur.…
By: James Pullman in  Business  >  Venture Capital   Aug 29, 2011  
1
  Likes: 1

Capital Raising Tips
Raising money for your business, whether start-up, turn around or a real estate project, will go far more smoothly if you follow this advice: Plan, plan and then plan. Writing a cogent, executable business plan will put you miles in front of the millions of other great ideas that are…
By: allison barber in  Business  >  Venture Capital   May 05, 2011  
0
  Likes: 0

Is Your Business Specialist A Helpful One In Opening A Dispensary
In various regions in America alone where the de-criminalization of medicinal marijuana has been agreed upon, clients plus weed business firms are boosting in figure. If you are looking to start a cannabis shop, the initial stuff that you will want to regard is which location should you like to…
By: Dash Thomas in  Business  >  Venture Capital   Feb 03, 2015  
0
  Likes: 0

How to Open A Dispensary Advice: Understand What the Government Systems Say
You cannot find any better opportunity to build a dispensary than today particularly that the de-criminalization of cannabis has been recognized in several states. Before anything else, you must realize how to start a dispensary, how to develop an effective business plan, how to get a business permit, the qualifications…
By: Dash Thomas in  Business  >  Venture Capital   Jan 28, 2015  
0
  Likes: 0

What A Businessman Must Implement In Order to End Up Being An Excellent Cannabis Dispensary Proprietor
Quite a few marketers are targeting the marijuana trade on the grounds that some regions have enacted already the law on medical marijuana legalization. There are a lot of approaches on how executives may produce bucks via this trade. They may grow and maintain medical cannabis and also be a…
By: Dash Thomas in  Business  >  Venture Capital   Jan 23, 2015  
0
  Likes: 0

What A Businessman Needs to Conduct to A Productive Medical Marijuana Dispensary Entrepreneur
Many enterprisers are spotting the weed marketplace considering that various states in america have enacted already the bill on medical cannabis legalization. There are various means on how businessmen are able to acquire dollars from this specific marketplace. They may grow and maintain medical cannabis and also be a distributor,…
By: Dash Thomas in  Business  >  Venture Capital   Jan 15, 2015  
0
  Likes: 0

Emad A Zikry - Implications Of Recent Money Market Fund Reform Passage
The 2008 financial crisis raised serious questions regarding the health, security and viability of the money market mutual fund industry” stated Emad A. Zikry, Chief Executive Officer of Vanderbilt Avenue Asset Management and Member of EO Clubs International, CEO Briefs, Economic Club of New York, Fixed Income Analysts Society, National…
By: emadazikry in  Business  >  Venture Capital   Nov 13, 2014  
0
  Likes: 1

How to Outline A List Of Value Creation Opportunities As A Private Equity Advisor
Once you have a list of potential target companies as a private equity advisor you must begin to outline potential opportunities for improving the value of the target company. I have over 20 years of experience as a successful senior leader and entrepreneur and I believe that for a private…
By: James Pullman in  Business  >  Venture Capital   Aug 29, 2011  
1
  Likes: 1

Advice In Opening A Dispensary: Very Good Venue And Comply With With the Rules
The legalization of grass in numerous countries in the US began a different variation of business venture: medical cannabis dispensaries. You must think of opening a dispensary if you’re thinking to open a business. A dispensary venture is not very hassle-free, though not that demanding too. In a dispensary, you…
By: Dash Thomas in  Business  >  Venture Capital   Dec 20, 2014  
0
  Likes: 0

How to Open A Dispensary Hints: Find Out What the Government Bodies Think
There isn't really a better moment to set up a dispensary than today specifically that the legalization of marijuana is being agreed on in numerous cities. Before everything else, you should find out about how to start a dispensary, how to build a useful business plan, how to get a…
By: Dash Thomas in  Business  >  Venture Capital   Jan 21, 2015  
0
  Likes: 0

Principles on How to Commence A Medical Cannabis Business
People that normally see medical cannabis field interesting generally leaf through strategies to support them on how to start a medical marijuana business. Huge facts can be acquired and different strategies are frequently discovered when you investigate through several experiences distributed or check out dispensary online resources. First off, here…
By: Dash Thomas in  Business  >  Venture Capital   Nov 26, 2014  
0
  Likes: 0

Article Views: 1153    Report this Article