Turned Down by Banks?
The following business situations will be turned down by banks 95% of the time. Active Business Loans will work with:
1. START-UP BUSINESSES-This is the most popular category for referrals. ABL has a variety of ways to finance beginning businesses or business acquisitions.
2. CURRENT TAX LIENS AND BANKRUPTCIES DATING BACK 1 YEAR-Tax Liens would need to be paid off and Bankruptcies would need to settled after 1 year for Medium to Long-Term size loans. Short-Term loans could be done within 1 year.
3. ANY BUSINESS OWNER WITH A PERSONAL CREDIT RATING ABOVE 550-This would apply to existing business owners. Most banks start at a 670 rate.
4. LAND PURCHASES in a commercial property zone. These deals can be used for real estate investment loans.
5. AUTO OR TRUCK REPAIR FACILITIES-SBA Loans and Working Capital Loans are very popular for these businesses.
6. GAS STATIONS- SBA Loans are basically the only type of financing that can be done. Active Business Loans can provide this type of financing with a business acquisition, start-up financing, or working capital.
7. RESTAURANTS- Franchises and independent operators can purchase or refinance their facilities. The owners can finance a restaurant with or without real estate.
8. CONVENIENT STORES- Banks consider this type of business too risky.
9. SHOPPING CENTERS OR BUSINESS STRIP ACQUISITIONS WITH THE OWNER OPERATING THEIR BUSINESS LESS THAN 50% OF THE PROPERTY. This type of loan would be investment real estate financing.
10. CHURCHES can be financed from ground up construction to purchasing buildings. Financing can go into the millions of dollars. Long-term low interest rate financing is used. There can be small purchases as low as $10,000.
11. CAR LOTS can be financed and refinanced. We look at the real estate value and/or the amount of revenue the current business is doing. Banks decline the car lot business.
12. FAMILY RESIDENTIAL OF ANY SIZE AND/OR APARTMENT COMPLEXES- This would be rentals with the owner being non-occupied. Financing would be long-term with a fixed rate. Location of property is important. Purchasing, refinancing, and cashing out are the types of financing. The vast amount of banks do not participate.
13. FLIPPING HOUSES- These properties are bought and remodeled to sell to the public within 12-18 months. Repair costs can be included in the financing. Banks decline these loans.
14. OUT OF STATE LOANS- Active Business Loans covers 48 states. Banks only service within the city or district they are located.
15. INDIVIDUAL COMMERCIAL TRUCK OR EQUIPMENT LOANS- Lenders will service both industries even though they are separate entities. Commercial Equipment loans range from $20,000-$2,500,000. Commercial Truck Loans consist of mostly used commercial truck and trailers. Loans start at $10,000.
16. NON-PROFIT ORGANIZATIONS- Includes private schools,charitable organizations, and churches. Crowdfunding can be used to raise money.
17. CONSTRUCTION COMPANIES- In most cases, this type of business is seasonable. About 3-4 months out of the year there is no income coming into the business which means inconsistency of cash flow. Banks do not like this. Active Business Loans these businesses as clients.