What we do
Interim Construction Financing for Commercial Real Estate
The construction process of a commercial real estate project can be wrought with delays, complications, and additional expenses that were unanticipated. Pushing through difficulties to complete a building on time may take more cash than the owner has on hand. A bank loan on an unfinished building is virtually impossible to get approved.
Interim financing from a private lender can provide an answer. Utilizing the equipment owned by the business will secure asset based lending while the building is in the construction phase. The money needed has already been invested in the business. It simply happens to be tied up in the machinery, equipment, and other assets of the business.
Tapping into that money is the idea behind asset based lending. Assets and collateral combine to present a solid basis for a business loan from a private lender. Banks and credit unions have strict qualifications for approval. There is no room for exceptions, compromise, or adjustments to payment schedules.
Privately owned lending companies have more freedom to consider all aspects of a business on an individual basis. They can be more lenient with approval criteria, adjust payment schedules and amounts to suit the business, and offer long-term solutions to owners. That is why it is possible to provide interim financing on a major commercial contract that is not yet complete.
Additional Services for Businesses
Much like a bank, private lenders offer other valuable services to business owners. Conducting valuations of assets and collateral for business owners, for example, is a critical service. The vast majority of owners are shocked to discover just how much their equipment and machinery are worth. Add in the value of power tools, trucks, buildings or storage garages, and trailers owned by the business, and the total can be millions of dollars.
Appraisals are available as well. That is essential if an owner is considering selling the business, buying used equipment, or seeking to purchase a second business location. Heavy equipment auctions are offered to business owners. Owners can buy or sell equipment that is desperately needed, or rarely used by the business.
Finding the Right Lender
Private lenders are plentiful so researching some is wise. Interest rates, services, loan terms and conditions, as well as approval rates vary immensely. Some business owners utilize Equify for more options, for example. Others may choose another lender that better suits their business model.
The important component is to find a lender that can be responsive to the needs and goals of your business. Owners can begin research by going to http://equifyllc.com/ for details on specific services and interim financing.
This project was last updated 1 month ago