Depending on who you are or what you own, you’ll need different types of loans. For individuals, the traditional ones sound more than perfect, but businesses and corporations have to usually rely on C&I loans for most things they need.
Every loan works differently and that means not only the terms and conditions vary but also the requirements you need to apply and the way you can use the credit. When it comes to the usual individual loans, people are more interested in acquiring a residential credit that allows them to buy a new property or expand one.
Others also allow them to invest in new projects or start working on new personal aspects and elements. Now, businesses have other expenses in mind that involve not only a property but rather new projects and acquisition of materials and equipment. These expenses cannot be covered by the business itself—most of the time—unless it either sacrifices others or puts the company in a very difficult position.
Such as not being able to pay its employees or having to cut out the financing to different sections and areas. For situations like this, C&I loans exist. These credits aren’t destined for property acquisitions or remodeling but rather to finance new projects, act as working capital, and funds to acquire new equipment or machinery for the company.
Therefore, if you’re looking to finance different expenses to properties and expansions, you can rely on this option. With that said, is it easy to access one of these loans? Not exactly. Most banks and traditional institutions and lenders have many terms and conditions for them. Also, it is hard to access the money in no time which is what is required in most cases or from most borrowers.
When you apply for a C&I loan in any of the usual institutions, you’re very likely to get rejected and spend the time that you could be investing in your project or acquisitions already. Thus, the short answer would be: no, it isn’t simple to the credit, but private lenders will make it easier. Our team at Commercial Real Estate Loan Pros of West Palm Beach is able to offer great deals in less time.
Unlike banks or insurances, we don’t follow the same laws and regulations, which gives us more freedom and flexibility when offering our loans. This means one thing in particular: you’re very likely to have yours approved. Since we base our terms and conditions around your needs and not on general standards or requirements, you will have more chances to access the funds you need. With this in mind, our team will be the best to work in a credit that is perfect for your project or investment.
C&I loans main purposes and uses
If you want to acquire a new property, land, or expand one, this is not the loan for you. These credits in a specific focus on financing projects and new acquisitions as we were mentioning, which is why you cannot use the funds for previous purposes. Therefore, keep in mind that if you decide to go for one that means you’re thinking to use it for a new project or acquisition.
Now, why are there different loans based on your purpose as a business? First, properties and premises involve more money as well as expansions, which is why they are long-term credits you can pay in the next 10 to 30 years depending on the lender and conditions. However, the main purpose of C&I loans is to keep the cash flow in a business whenever there’s a big investment or you just need some extra funds for it.
This means the money required isn’t that much and this is the main aspect that makes it possible to be a short-term credit with fewer conditions and terms. The other purposes are based on acquiring new machinery, equipment, tools, and so on, they are also ‘easy’ to finance if you compare them to property or similar projects. With this clear, you can dive into the world of requesting a loan based on what your company needs and if you will give it proper use.
How to apply for a C&I loan?
If you are relying on a bank or similar lender, the process will be more difficult. These institutions have to follow laws and conditions that, as we mentioned before, don’t limit private lenders. Therefore, before anything else, we suggest you focus on acquiring your funds from a private company like us.
The team at Commercial Real Estate Loan Pros of West Palm Beach will make the process of applying for credit much easier and faster. First, we need you to provide all the basic requirements: documentation, financial records, credit score, and what you’re planning to use as collateral.
Once this is done, our team will proceed to review it and make sure we understand your needs Of course, when you come to us for a loan, we will expect you to let us know how much you need, for what you need it, and the percentage of the total amount you can provide for us to help you with the rest.
Most of these loans don’t work with 100% financing, which is something to keep in mind. As you can see, it isn’t that hard to apply for one and when this is over, you just wait for our team to get back to you, which will only take a few days at most.
If your loan is approved, we will make sure to set terms such as the interest rate, agreement with the collateral, and make sure you are comfortable with the repayment time. With all this, the process will be over with us and the payments every month will be the only ones missing.
Since we’re private lenders, we will worry much more about your situation and the purpose of the loan compared to anything else. Therefore, don’t feel limited to apply for one with us since we will do our best to work it out.
There are so many areas or regions where we offer these services with most of them being cities.
However, if you need any of these services, you need to contact us. The list below comprises the areas where we offer these services.
We service all counties and cities throughout South Florida. However, if you need any of these services in other cities throughout the state of Florida, please contact us. See what services we offer below: