ASSIGNMENT:

An investor was referred to us to assist him with his cashout refinance. Upon meeting we learned that not too long ago he purchased this building and had utilized an SBA 7A program.  Great program but SBA 7A programs are typically adjustable loans and therefore the rate can get a bit high. He had utilized a majority of his reserves for his downpayment and towards building improvements that he made to one of the store fronts.  His goal was to get locked into a lower fixed rate loan and obtain some cashout.

CHALLENGE:

The biggest challenge for this assignment was really the length of time that it took to get a SBA 504 program completed.  Because of recent fraud cases that were exposed the current presidential administration had halted funding for small business administration loan programs. We had submitted in time but found ourselves in a bottlenecked pipeline that we had to maneuver through.

SOLUTION:

We structured an SBA 504 loan and helped the borrower lower his rate into a fixed rate term that cashed him out a decent amount of money replenishing his reserves. Took a while but investor was terrific and very understanding. Can't wait for the next deal.