Commercial Financing

Commercial Loans and Commercial Financing the Easy Way

We understand that most of the visitors to will already know the information below, but just in case here are the basics of commercial financing.

In order to make the proper decision when it comes to commercial loans, you should have an understanding of the basics of commercial financing. There will be some basic terminology used during the application process which you will want to understand beforehand.

Debt Coverage Ratio

The ratio of cash flow to the monthly loan payment is the debt coverage ratio. Lending institutions generally require, on a standard commercial loan, that the property produce a certain amount of monthly cash flow. The standard debt coverage ratio required by most lending institutions is 1.20, though it can be lowered in some circumstances.

Loan to Value

Loan to value is a ratio that compares the value of a property to the amount of the loan. This ratio is very important to lenders and they prefer a loan to value ratio of no more than 0.80. This means they will generally require a down payment of 20% of the property’s purchase price in order to approve the financing.

Loan Term

The term of a loan is the period of time until full payment of the loan is required. For residential mortgages, this is normally either 15 or 30 years. For commercial financing, the loan term is generally a 10-year period, though there are other options.

Prepayment Penalties

On a standard commercial real estate loan, there may be penalties for paying off the loan early. There is generally a sliding scale to determine the amount of the penalty based upon the amount of the loan remaining. Generally speaking, with each year that passes, the penalty percentage will be reduced.

Though there is much more to be known about commercial real estate financing, you can further your understanding by knowing these terms and how they are used.

Take Advantage of our Experience in the Commercial Financing Industry

Commercial Loans and FinancingFor the past 10 years our network of hospitality and real estate websites has dealt with dozens of commercial loan and financing companies and we have seen everything from the good, the bad and the ugly. Take advantage of our relationships and experience in the commercial loan and finance industry and you will receive service normally saved for preferred customers.

The agreement we have with our chosen commercial financing companies ensures that our referrals are given priority treatment, so you will not only receive competitive rates, but you will also experience unparalleled customer service. It is very simple; if our referrals do not receive top notch customer service then we will no longer deal with that commercial loan company.

Our select commercial loan companies offer lending programs designed for today’s challenging credit markets:

  • Multiple loan programs
  • Experienced seasoned professionals
  • Fast accurate quotes
  • Approvals you can count on
  • Certainty of closings

If you are looking for commercial loans in the range of $100,000.00 or $100,000,000.00 our select commercial finance companies can help.  Submit the form below and expect a reply within one business day.  They will walk you through all their products and answer any questions you may have.

Summary must be completed in full; use “NA” on questions that do not apply to your funding request.
Due to submission volume, please do not put “see attachment” on this form, as there cannot be any attachments submitted.

Application/Corporate Information:
Last Name (Principal and/or Broker):
First Name:
City, State, Zip:
Office Phone:
Best time to be reached:

Type of Financing:
(please check all that apply)
Type of Project:
(please check all that apply)
Conventional Acquisition
Bridge Purchase
Hard Money Development
Mezzanine Construction
Collateral Enhancement Refinance
Equity Partner Cash Out Refinance
Other - Explain: Stand-By Letter of Credit

Loan Amount Requested:
LTV Sought:
LTC if development project:
As-Is Value:
Ending Value:
Client's Capital Invested
Into the Project Thus Far:

Multiple Sources:
We have relationships with multiple financing companies. Would you like to be contacted by several financing sources, or only the one we deem best suited for your project?
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Please provide a description of your project.

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