Where is the Money?

In a recent Commercial Capital Limited conference call several prominent lenders discussed the availability of billions of dollars for financing commercial real estate.  The bad news is that the credit markets remain tight; the good news is that there IS money to lend out there-you just need to know where to get it. 

There is an incredible amount of money that was raised to handle the coming delinquencies in CMBS that never actually happened.  “Extend and pretend” pushed that timeline back another 5 years.  As a result, there is a great amount of capital looking to deploy to deals that make sense, especially in situations where notes are getting discounted.  We now have multiple lenders with the ability to come in with 100% of the Note discount if the values work.  We have access now to equity players that will come in and take a note out with all equity or some combination of debt and equity.

We now have billions of dollars of capital that NEEDS to get deployed for good deals.  They are hungry to deploy the money because they only get yield for these investors if the money is deployed.  It earns nothing sitting in the bank.  This is huge because the reserve requirements banks have to meet will be raised again in 2014 which is right around the corner.  The tightness that exists is going to be with us for some time and banks are still more nervous about regulators then they are about profits.  Survival is the name of the game for many banks, not profit.  And so these discounted note deals will continue to happen.  Every day we see another deal where a note was either sold or the bank has gone back to the borrower asking them to refinance it and they were willing to give a discount to do it!

We have a lot of money available to deploy to just those situations.  If you know someone who has a chance to refinance the note at a discount, or if you yourself are in this situation, give us a call.  It is VERY likely that I can get you the money you need.  863-299-2929 or 813-833-3132

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Visit us at http://CommercialLendingPros.com for more information or submit a loan scenario for pre-approval at http://www.CommercialLendingPros.com/102/325

Commercial Lending Pros
Commercial Capital Limited
Florida Real Estate & Commercial Loans, Inc.

Tel: 863-299-2929
Fax: 863-877-4456
Email: loans@commerciallendingpros.com
Website: www.CommercialLendingPros.com

Your #1 Source For Commercial & Business Financing

We can get deals closed.  Our Company Mission Statement is this, "Commercial Capital brings funding sources from around the country to the local business owner and investor to help keep this economy moving!"

IMPORTANT Business Financing Update! Major Changes to SBA 504 Debt Refinancing Program

SBA Launches Major Changes to 504 Debt Refinancing Program
Key Program Features:

·         Up to 90% LTV on refinances

·         Refinance existing debt

·         Use excess equity to obtain working capital that can be used for financing of eligible business expenses.

·         Cash out potential

·         Low fixed rates

·         No balloons

SBA launched this temporary program on Feb. 17, 2011, and began accepting loan applications on February 28, 2011.  The program will end on September 27, 2012.
Beginning October 12, 2011 borrowers can finance up to 90 percent of the appraised value of available collateral, which could include fixed assets acceptable to SBA (for example:  commercial or residential real property).  This allows borrowers with more than 10 percent equity to be able to obtain additional proceeds to pay for eligible business expenses.
In April, SBA expanded the program parameters by allowing any business with a commercial mortgage that is two or more years old to refinance its debt, regardless of maturity.
The program is structured like SBA’s traditional 504 loan program: borrowers will work with third-party lending institutions and SBA-approved Certified Development Companies (CDCs), typically private, non-profit organizations to obtain financing, in a traditional 10%/50%/40% split.  However, the program no longer requires the Third Party Lender to be 50 percent of the Project.  The Third Party Lender amount must be equal to or greater than the SBA amount.  This allows the small business to maximize the amount of long-term, low interest, fixed rate financing available.
Click here for more information about the SBA 504 Refinancing Program

Visit us at http://CommercialLendingPros.com for more information or submit a loan scenario for pre-approval at http://www.CommercialLendingPros.com/102/325

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Following is a summary of the refinancing program changes as published Oct. 12, 2011, in the Federal Register:

* Third Party Lender Loan – The third party lender loan is no longer required to be at least 50% of the appraised value of the 504-eligible fixed assets.  Now, as in the regular 504 loan program, the third party lender loan must be at least as much as the 504 loan.
* Financing Business Expenses – A borrower may now use its equity to finance eligible business expenses as part of the refinancing project provided that the amount of cash funds available to pay business expenses exceeds the amount to be paid to the lender of the qualified debt being refinanced. The borrower’s application must include a specific description of the business expenses to be financed and an itemization of the amount of each expense. 
"Eligible business expenses" is defined as expenses of the borrower, such as salaries, rent, utilities, inventory, or other obligation of the business that were incurred, but not paid prior to date of the 504 loan application or that become due for payment within 18 months after the date of the application. 
Both the CDC and borrower will be required to certify in the application that the funds will be used to cover the eligible business expenses of the borrower.  The borrower must, upon request, substantiate the use of funds to finance the business expenses (for example, through bank statements, invoices marked "paid," cleared checks, etc.).
* Qualified Debt – Because the qualified debt to be refinanced may have been refinanced one or more times previously with the borrower using its equity at that time to finance working capital or other expenses, the SBA has amended the regulation to provide that as follows:  if the eligible fixed asset was originally financed through a commercial loan that would have satisfied the “substantially all” standard of 85% and was subsequently refinanced one or more times with the current commercial loan being the most recent refinancing, then the current commercial loan will be deemed to satisfy the "substantially all" standard.  The borrower must certify that the existing debt satisfies the applicable requirements and the third party lender must certify, as part of the 504 loan application, that it has no reason to believe that the existing debt does not satisfy these requirements.
 On a random basis, the SBA may require the borrower and/or lender to submit additional documentation to support these certifications prior to closing the debenture, including the documents for the original loan used to acquire the fixed asset and subsequent refinancing documents to show that the current commercial loan is the most recent refinancing.  The SBA will cancel an approved 504 loan if the documents do not support the certifications.  If the borrower and/or lender are unable to produce the additional documentation, each must certify that it has made a diligent search for the documents and that the documents are not in its possession. The SBA will not cancel an approved loan solely because the borrower and/or lender are unable to produce the documentation unless the lender is the original lender who made the original loan to acquire the 504-eligible fixed asset (and not a lender who acquired or merged with the original lender.)
This same change in the "substantially all" standard has also been made for the 504 permanent expansion debt refinance program.
* Occupancy – The original loan may not have satisfied the percentage occupancy requirements of 51/49% for an existing building or 60/20/20% for new construction. The final regulations provide that as long as the borrower can demonstrate that it now occupies at least 51% of the building as of the date of 504 loan application, the percentage occupancy requirements are met.
* Current on Payments – The definition of “current on all payments due for not less than one year” has been amended to allow a borrower to be deemed current as long as during the 12-month period prior to the date of 504 loan application, no payment was more than 30 days past due under either the original payment terms or under modified payment terms (including deferments). Any modification of payment terms must have been agreed to in writing by the borrower and lender prior to Oct. 12, 2011, when the final regulations were published.  The SBA reserves the right to decide whether modified repayment terms would preclude refinancing.
* Closing Period – Temporary debt refinance 504 loans must be disbursed within six (6) months after loan approval unless an extension for good cause has been granted.  Extensions of the disbursement period up to an additional 3 months may now be granted for good cause.

Visit us at http://CommercialLendingPros.com for more information or submit a loan scenario for pre-approval at http://www.CommercialLendingPros.com/102/325

Contact Us

Commercial Lending Pros
Commercial Capital Limited
Florida Real Estate & Commercial Loans, Inc.

Tel: 863-299-2929
Fax: 863-877-4456
Email: loans@commerciallendingpros.com
Website: www.CommercialLendingPros.com

Your #1 Source For Commercial & Business Financing

We can get deals closed. Our Company Mission Statement is this, "Commercial Capital brings funding sources from around the country to the local business owner and investor to help keep this economy moving!" WE ARE SERIOUS ABOUT IT.

5 creative ways for a small business to save

You can't control the economy, but you can control what you spend on your company.  This is great article with good ideas from the September 26, 2011 issue of Fortune…Read more about Small Business.

 

Small Business Lending is vital to the country's economy and is the engine to generate employment opportunities. Here at Commercial Lending Pros we continue to provide financing services for business owners, investors and other entrepreneurs throughout the country who need to expand to create employment. We are direct lenders and also have access to over 150 different funding sources including banks that are lending, hedge funds, private equity groups, insurance companies, private investors and other funding sources including Wall St. funds.

Visit us at http://CommercialLendingPros.com for more information or submit a loan scenario for pre-approval at http://www.CommercialLendingPros.com/102/325

Contact Us

Commercial Lending Pros
Commercial Capital Limited
Florida Real Estate & Commercial Loans, Inc.

Tel: 863-299-2929
Email: loans@commerciallendingpros.com
Website: www.CommercialLendingPros.com

Your #1 Source For Commercial & Business Financing

We can get deals closed. Our Company Mission Statement is this, "Commercial Capital brings funding sources from around the country to the local business owner and investor to help keep this economy moving!" WE ARE SERIOUS ABOUT IT.

Commercial and Business Lending Bypasses Small Firms

Uptick in Lending Bypasses Small Firms
Commercial and industrial loans have grown by $61 billion since the start of the year, or 6.2% above the same period a year ago, the Federal Reserve reported Monday. Yet the upturn has largely bypassed small firms. Instead, the bulk of the gains were made by loans to midsize companies, which were borrowing cash to upgrade or repair aging equipment, according to bankers cited by the Wall Street Journal. The Fed's gauge of commercial and industrial lending excludes business real-estate loans. While any new investing by small or midsize employers is welcome news -- most businesses have put off upgrades since the onset of the recession, lenders say -- few businesses appear to be committing cash to the type of expansion that would lead to more jobs. . . . keep reading about Small Business Lending

While large banks continue to hold back on lending to small businesses, here at Commercial Lending Pros we continue to provide financing services for business owners, investors and other entrepreneurs throughout the country. We are direct lendersfor SBA 504 Loans and also have access to over 150 different funding sources including credit unions that are lending, hedge funds, private equity groups, insurance companies, private investors and other funding sources including Wall St. funds.

Visit us at http://CommercialLendingPros.com for more information or submit a loan scenario for pre-approval at http://www.CommercialLendingPros.com/102/325

Contact Us

Commercial Lending Pros
Commercial Capital Limited
Florida Real Estate & Commercial Loans, Inc.

Tel: 863-298-8900
Fax: 863-877-4456
Email: marcos@commerciallendingpros.com
Website: www.CommercialLendingPros.com

Your #1 Source For Commercial and Business Financing

We can get deals closed. Our Company Mission Statement is this, "Commercial Capital brings funding sources from around the country to the local business owner and investor to help keep this economy moving!" WE ARE SERIOUS ABOUT IT.

WHAT WE DO IS IMPORTANT. WHAT WE DO IS NEEDED. THE OPPORTUNITY IS AWESOME.

SBA Lending Breaking Records in FY 2011

Record Breaking FY 2011 for SBA Lending
With several weeks left in the fiscal year, the Small Business Administration's two main lending programs have already surpassed a record-high $18 billion in guaranteed loans issued through banks and other conventional lenders, agency data show. That's more than double the full-year total in 2009. Depending on size, SBA loans are guaranteed for up to 85% against default. . . . keep reading about Small Business Lending.

If you are a small business looking for financing Commercial Lending Pros can help you find the financing you need. We work with over 150 different lending sources who are lending and will evaluate your loan scenario in a prompt professional manner. We will underwrite and process Small Business Administration Loans:

• SBA 7(a) (We are Preferred Lenders)
• SBA 504 (We are Direct Lenders)

The provisions of the Equal Credit Opportunity Act shall apply to all applicants for loans submitted under these government guaranteed loan programs. There shall be no discrimination on the basis of race, color, religion, age, sex, marital status, handicap or national origin. It is our goal to facilitate a quick funding on all SBA loan requests. Additionally, we offer the following advantages:

• Competitive rates and terms
• Purchase or refinance of commercial real-estate, with cash out permitted
• SBA-guaranteed fee can be financed in most cases

Commercial Lending Pros
Commercial Capital Limited
Florida Real Estate & Commercial Loans, Inc.

Tel: 863-299-2929
Fax: 863-877-4456
Email: loans@commerciallendingpros.com
Website: www.CommercialLendingPros.com

Your #1 Source For Commercial & Business Financing

Visit us at http://CommercialLendingPros.com for more information or submit a loan scenario for pre-approval at http://www.CommercialLendingPros.com/102/325

Contact Us

We can get deals closed. Our Company Mission Statement is this, "Commercial Capital brings funding sources from around the country to the local business owner and investor to help keep this economy moving!" WE ARE SERIOUS ABOUT IT.
WHAT WE DO IS IMPORTANT. WHAT WE DO IS NEEDED. THE OPPORTUNITY IS AWESOME.