What’s Closing Now??

Every month or two we roll out an e-zine talking about the recent closings so you can get a feel for what is happening in the market, what is closing. 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. This is a sampling of recent loan closings for our company. If you or anyone you know needs to close a commercial loan, whether it is a start-up for a franchise or a refinance of an office building…give me a call at 949-371-9947. -Bill

 

$4.2 Million Refinance of Special Use Building         Where: Bridgewater, NJ

           

Type:  This was a large, special use building like a hotel but not a hotel. The lender was calling the note due and because of the financials of the business the last few years; they were having trouble getting done. They came to me originally looking for private financing or hard money but after seeing that the business had turned the corner, I felt like we could get them a projection based SBA loan. We did, and it closed on an SBA 504 loan with some great long term rates.

 

$240,000 Firehouse Subs Start up loan!                     Where: North Carolina

           

Type:  We actually closed 2 Firehouse loans last month. NEARLY 20% OF ALL THE NEW FIREHOUSE SUBS THAT OPENED LAST YEAR WERE FINANCED BY US!!! That is MORE than any other lender or broker in the country. These loans are franchise restaurant start-ups.  In this case, the borrower had no Real Estate Collateral.  We are able to get these done. We can also do second stores with only 10-15% down and, do it as quickly as 6 months after the first store has opened. So whether you are looking to start a business or looking to expand, we have the best resources from around the country to get those stores open. I love these deals because it meshes with my vision for the business, which is HELPING PEOPLE GET MONEY TO FUND GROWTH IN AMERICA.

 

$325,000 Private Money Loan to save a hotel           Where: Ohio

           

Type: FAST CASH! Borrower needed cash, FAST to keep the exterior corridor hotel from being taken by the bank. We see this a lot, where a company buys the notes at a discount from the bank and, then force the borrower to refinance or they call the note due. Oftentimes, these loans need to close in weeks to avoid foreclosure. That is what our private money fund is for-to help those situations where you have good borrowers and, good properties but, the person is just in a bad situation. We can close them and, close them quick. We operate the way you want private money to operate. We underwrite it, and in house credit committee. If we like it, we issue terms which is our full commitment to fund pending appraisal, title and any conditions we may need. Fast decision and no risk to your money.  Yes, we can close quickly.  IF you need cash fast and, you have commercial property, we can possibly get you the cash you need in record time. Give us a call today!

 

$285,000 Purchase of a building and renovations   Where: Birmingham, AL

            

Type: An established business was looking to buy a building and get some renovation money to expand their business. They tried multiple local banks and some of the major banks but, just kept getting denied. THERE WAS NOTHING WRONG WITH THEIR COMPANY. They had good profit, good credit but, they just chose the wrong banks!  Many local banks are not lending at all but, don’t tell you and the big boy banks are only closing 10-20% of the deals they initially quote on. SO A VERY STRONG BORROWER CAN GET DENIED EVEN IF THERE IS NOTHING WRONG WITH THEIR LOAN.  We know who is lending. We closed that Alabama deal with a bank from GA that also lends in Alabama. Many times, we just get deals done simply because we really know who is lending. If you or someone you know has been denied doesn’t give up, give us a call. We will review the situation for free, determine if the loan is really doable and if so, we will get you closed!

 

$470,000 Purchase of a Strip Shopping center-private money loan.

Where: Stone Mountain, GA

 

Type: This property was 40% vacant but the buyer was going to move his business into the vacant part of the building. Still, everyone had trouble with the property for one reason or another. Local banks are very tough on investor deals and this was too small for any life companies. So they came to us. The existing tenants easily cash flowed the entire place so this borrower was eliminating his rental payments completely by moving into a property that cash flowed his new payment (actually, he will still pay rent but it will be to himself). Because of all the denials, he was up against a deadline to close or he would lose this property to a back up offer. We swooped in with the money and closed in less than 3 weeks and got the deal done. Once he has moved his business in, he will refinance to more conventional rates.

 

There are many more loans to share, and we really need to add a lot more of our recent closings to our website at www.viicapital@gmail.com but we have been too busy working the new deals flowing in the door. If you know someone who needs financing, don’t keep me a secret out there. We charge nothing to review the deal and see if it qualifies and will give you sound advice on what is available. Call me at 949-371-9947!

Bill Nugent  

 

P.S. We can pay referral fees as well, ask us how to make some extra dough, helping those you know!  Remember, we are the only NO RISK source of funding in commercial lending today. We get you approved, or you don’t pay! Call us today at 949-371-9947.

 

Business only transactions up to a $5 million loan amount.

We are really moving into a dual market that we are uniquely positioned for, a market dominated by SBA/Government loans on the one hand and, private funding sources on the other.

We have our own private money, and many of the best sources available.  We have about 100 lenders that do SBA and, are aggressive in that space.  So the two main trends in commercial, we are in great shape with.  In fact, 90% of our closings this year have been SBA or private money.  So we have access to sources.  We have a proven track record and, we are uniquely positioned to kick some tail in this market.  It is exciting.

There has been an incredible tightening amongst the banks regarding business only loans where there is no real estate collateral.  The government regulators have the banks running scared regarding these “unsecured” loans.  Even the strongest deals, that cash flow like crazy, are tough to get done once you get over $500,000 in business only assets.  Even with the SBA approval.  Last Thursday night, that changed.

We have been working on a non-bank lender that had just gotten SBA approval and is closing a large Papa John’s deal for us-$3.3 Million loan amount all business only, no real estate.  I had been working on them for months to start doing these for another franchise.  So last Thursday night, we were having our call to hopefully finalize the approval process.  They are a private money lender who focused on the Hotel and Restaurant space but, earlier this year finally got approval to do SBA loans.  Because they are a NON-Bank Lender, they don’t have the same fear of business only transactions.  They have no reserve requirements.  They just don’t like loans under $500,000.  Long story short, I got the OK to send them our Franchise deal but, then THEY DROPPED THE BOMB-just last Thursday, they had gotten the OK to start looking at business only SBA 7A deals across ANY market.  So I ran my $3 million business only car wash deal by them and, they loved it.  I could not find anyone to do that loan without the borrower coming to close with almost $2 million.  These guys will do it.  THIS IS HUGE…. So give me a call to get this done or any others like it (949)371-9947.

Bill Nugent

Office (949) 371-9947

Mobile (760) 807-0733

Fax (949) 613-8509

ViiCapital@gmail.com

http://www.ViiCapital.com

We have been working hard to master the commercial realm, help businesses and, investors get money for income and, growth.  Each closing is a victory.  Another life changed.  If you know anyone that might need money to grow their business or money to buy a commercial investment for their long term financial goals – give me a call.  We are here to help and, have more PROVEN resources for funding than anyone in the country.  Call us today at 949-371-9947.  We are getting money for people – one client at a time.  Call for help with your next commercial loan-TODAY.

Commercial Tip

The Need For Speed!

This will date me, but I remember when the movie Top Gun came out. I was in High School. It was a huge movie-very popular. One of the lines from that movie sticks out more than any other, when Tom Cruise’s character is fired up to take out Val Kilmer’s character in the points contest for “Top Gun” honors, he emphatically states to his partner Goose, that he “feels the need, the need for speed!”

 

Sometimes, in commercial lending, the borrower has the need for speed. Whether it is a closing date, an opportunity that must be captured NOW, or an urgent need like avoiding a foreclosure, sometimes there is a need for speed. However, in commercial lending, speed is not the norm. Most deals take 60 days to close. Sometimes, that just won’t work. When the need for speed is great, it can be filled with private money. We have a private money fund that can move FAST, I mean, LIGHTNING FAST. In fact, we are looking for one more loan to close this month. If you have a deal that must close by the end of this month, get it in to me now, we can close it in the next 2 weeks.

 

Clients do pay a premium for that speed, the rates are usually 10-12% interest only and, that is hard for some people to swallow, but often it is the SMARTEST thing they can do. For example, we just closed a deal where the client was going into foreclosure, they were about to lose the property. Now the property cash flowed but, not enough to support what they owed. The lender was willing to take a discount to get it paid off but, only if it closed by month end, otherwise they were just going to take the property. We closed them quickly and, the lender took a $400,000 write down. Sure, the client will now pay 12% interest on the new $355,000 loan, or $3550 a month for the next 6 months until they refinance to a conventional rate, or roughly $11,500 in extra interest for the higher rate over the next 6 months. But that $11,500 extra saved them $400,000 in a discounted note that if we did not close it quickly, they would have lost the property forever. Was the borrower happy about a 12% rate? No. But they could not get conventional and close and they WERE ecstatic about the $400K in savings. They needed speed and saved a bundle because we provided it.

 

So if you have someone who needs speed, who needs a quick closing, give me a call. We NEED to get one more deal in the door to close this month, and we still have time. Give me a call TODAY at 949-371-9947 or e-mail me at ViiCapital@gmail.com.

 

Have a blessed week…..

 

Bill

Take all the Risk Out of Commercial Lending!

Dealing with over 100 clients a month for the last 18 months, We have learned a LOT about what can be funded, what can not be funded, what the marketplace is doing on a ground level and, what the average business person out there is thinking and feeling. If I had to sum up the general feeling that most business owners have right now, it is a cautious mix of optimism and doubt.

The average business owner is doing better than 2009, sees opportunities in their business, but is still very tight on money and is nervous about certain things. This is not really a bad place to be. It is good to be cautiously optimistic. That fear explodes however, when they apply for a loan for their business. Especially when they get denied. Did you know that over 80% of all commercial loan applications are getting denied? Or approved but not closed? These are not my numbers, these are industry numbers. SBA reports approval rates; if you can pin down lenders and get them speaking honestly they will tell you. The truth is the credit box has not loosened. It has stopped tightening but, it has not loosened. Getting credit is just as tough today as it was 1 year ago. There are more sources back lending but, they are all lending with the same box. So when you are trying to close a commercial loan for what you feel is a strong client, actually, the odds of success is stacked against you. That is where we can come in.

We have REAL lending sources from around the country and We know how to strengthen deals to overcome issues. In the residential mortgage world, it is a cookie-cutter process. ALL loans are sold in that space. If XYZ Mortgage Company can get the loan done, then anyone can get the loan done because the guidelines are all the same, the loans all end up in the same place and operate on the same rules. Commercial is much different. Banks are lending their own money and different banks key on different things. For example, We do a lot of loans for start-up restaurant franchises like Firehouse Subs, Jimmy John’s, Papa John’s, etc. Different lenders key on different things. If a client has a ton of experience but, no collateral most banks will deny that loan but we have a couple of lenders for that. If they have collateral but, no experience and, they are trying to start a restaurant franchise, 99% of all banks will deny that loan because they have no restaurant experience and, it is a start-up. But we have a lender that assumes the franchise is the experience and will do the loan if it has collateral. In other words, we have the most sources, resources and knowledge to match the particular strength of the borrower with the lender most likely to want those strengths and hence, we have the best chance of getting loans done.

HERE IS THE EXCITING PART-MY EXPERTISE IS FREE!  We charge nothing to look at a loan and determine if it is viable and what has to be done. If you refer someone to us or run a deal by us, we will look at your client’s situation, and quickly determine if it is doable in today’s market or not. If not, you will know quickly and will save a ton of time. If it is doable, we tell you what we need to get them approved and once received, we usually will approve them within 48 hours and you will have terms in writing that will include your fees. If the client chooses to move forward with us, then yes, we will be paid at closing. If they choose to keep looking around, you have risked NOTHING. Do you know someone who needs a commercial loan? Refer them to us and let our expertise help them. Listen, it does you no good working hard on a loan that never closes. It costs nothing to run it by us, engage me and, get me helping you get the deal over the top. You will be better off for the discussion with us either way. Everyone wins! Call us today at 949-371-9947 or e-mail us at ViiCapital@gmail.com . No one funds more loans then we do in commercial, and my expertise is FREE upfront. What do you have to lose? Give us a call today!

Bill

P.S. Remember, an initial consultation is FREE and with my huge resources, and tremendous experience, I can add a lot of value to your search for a commercial loan or for your friends or clients. To find out more, or to discuss your own deal or a deal for a client or friend, just give me a call at 949-371-9947 or e-mail me at ViiCapital@gmail.com . Have a great week!

A No Risk Private Money Solution!

One of the biggest risks when dealing with private money transactions is that your client has to fork over a lot of cash just to find out if they will even get done or not. All the onus, all the risk, is on the client. The lender gets money upfront with a simple letter of interest that is non-binding and, then spends that money to determine if they want to move forward. They have risked nothing but if they deny it, the client has lost big time. Well, we have a private money solution that takes that risk COMPLETELY AWAY. Let me explain.

Our private money solution operates differently. We do not kick out term sheets trying to get the deal in the door and then collect fees while we determine if we even want to do the deal. We fully underwrite and, issue only one letter-our conditional commitment to fund. There is no second step. It works like this, first, we underwrite it and determine if it is a solid deal. We are mostly looking at the validity of the exit strategy-does it all make sense. If we like it, we send it to the credit committee. If they like it, we kick out our approval. That is the only approval they will get. It will be conditional on the appraisal, clear title, and whatever other stips we need to do the loan. You and your client will know upfront what those stips are and can determine right then if you can meet them. We even have you pay the appraiser separately. Now if your client moves forward we do collect a fee to offset the costs of title, closing docs, etc. but this upfront is rarely ever greater than $2500 AND YOUR LOAN IS ALREADY FULLY APPROVED. So there is really no further risk other than the obvious, a low appraisal, some hiccup on title, etc. We will shop and order the appraisal through local appraisers and will take your suggestions. We will use recent appraisals if ordered by a bank and, just have them assigned over and updated, saving even more costs and reducing the risk even greater.

In fact, if you had to dream up of a way that private money lenders should operate, this is exactly what you would come up with. That is not a co-incidence. We created this fund after doing many deals and seeing what works and what doesn’t. The result is our private money fund. If you know someone who needs private money, whether it is for speed, (we can close in 8 days), or because of some issue that keeps it from conventional money, this is the best option for them. We will underwrite it for FREE, we will make a determination and, if we want to do the deal, we will issue only one approval with all stips disclosed up front. It is the best private money loan on the planet. We do deals under $1 million which few private money lenders want to mess with. In fact, that is our main niche. What have you got to lose-it is a risk free solution to meeting needs for those clients that you just cannot get done elsewhere and we WILL get them closed. Call me directly to run a deal by me at 949-371-9947 or e-mail me at ViiCapital@gmail.com. What have you got to lose? Call me today!

Bill

Recent Closing – $607,500 SBA 504 Financing

Loan Amount: 1st – $337,500 / 2nd – 270,000

Location: Hamilton, OH

Facing multiple denials borrower came to us to find financing for his residential real estate and renovation business. This was not an easy loan to get funded however with the proper structure and expert knowledge of the SBA we were able to get it done!

Don’t settle for a lender who closes a handful of SBA loans a year, at VII Capital we close multiple SBA loans monthly, give us a call to get you started in your own business today- 949.371.9947.