| Conventional
Business
Loan Program |
| Purpose: |
Real
estate
acquisition,
construction
or
refinance,
business
acquisition,
business
expansion,
recapitalization |
| Loan
Amount: |
Up
to
$2,500,000 |
| Interest
Rate: |
30-day
LIBOR plus
spread,
adjusted
monthly.
Rates quoted
based on
several
factors
including
but not
limited to
credit
quality and
collateral
type.
Interest
rate spreads
range from
1.5% to 3.5%
| |
| Term: |
Up
to 25 years,
fully
amortizing
| |
| Prepayment
Penalty: |
5%
in year one,
declining to
1% after
year 5, 1%
there after
| |
| Fee: |
Minimum
Commitment
fee of 2%
| |
| Collateral
Position: |
Primary
collateral
must be
commercial
real estate.
Other real
estate,
machinery
and
equipment
may be used
as
additional
collateral
to maximize
loan to
value
| |
| Recourse: |
Guarantee
of all
principals
| |
| LTV: |
Maximum
75% of total
collateral
package.
Subject real
estate must
offer at
least 50% of
total
collateral
package
| |
| Debt
Service
Ratio: |
Minimum
1.25x for
current
fiscal year
| |
| Diversity: |
Nationwide
to a variety
of
industries
| |
| Financial
Data: |
| Business: |
Three
years
of
historical
Federal
tax
returns.
Three
years
financial
statement
(if
available).
Interim
financial
statements
(within
90
days
of
submission).
One
year
of
projections
for
existing
business
or
two
years
for
start-ups.
| |
| Personal: |
Three
years
of
tax
returns
and
financial
statements
of
owners
with
20%
or
more
ownership
| |
|
| Third
Party
Reports: |
Appraisals
and
Environmental
| |
| Summary: |
Conventional
loan program
goes beyond
conventional
financing.
All loans
are secured
by primarily
by
commercial
real estate.
Loan
proceeds may
be used for
virtually
any business
purpose.
| |
|
We encourage
you to apply
online for a
quick
pre-qualification
through our Get
A Loan
page.
|
|
Go
back to the Products
page.
|
