There’s a big difference between asking for residential loans and industrial loans, which is the main purpose of the funds and how you will use them.
People overall have access to any type of residential credit since there are no limits about what individuals can consider them but rather only when it comes to applying to one. With that said, commercial and industrial loans are completely different starting with the fact that only companies and businesses can access them.
There are many things to consider so far, but the main one you need to keep in mind is that if you are an industry or organization looking for financing options, you can access this type of loan. Since businesses are always coming up with new ideas, having the funds to make them possible and expand is only natural. For both small and large companies, the options of accessing credits aren’t limited since there are different types available.
However, industries are a bit more limited when it comes to how accessible the loan is and if they are able to meet the interest rates that lenders establish for them. After all, banks are very picky about the loans they approve and even when an industry has all the requirements needed to access the funds, there are many terms on the agreement that might not be to their benefit.
With this in mind, understanding how these credit works aren’t any difficult but you will rather find it familiar:
- Apply for the amount required by meeting all the conditions and terms for application.
- If approved, the lender will establish an interest rate as well as the repayment time.
- You won’t necessarily get all the amount requested but rather a percentage of it.
- Depending on the lender, you will have conditions that fit more your specifications and needs.
- Monthly payments are the usual method for repayment.
The most important aspect to keep in mind when it comes to this loan is the 4th one. Banks and common lender institutions usually have already established terms and conditions for industries whenever they have their credits approved.
Unfortunately, most of the conditions don’t meet the industry’s needs and situation, which leads to it not accepting the loan or having problems in the future to repay it. This is why it is important to find the right lender and right now, private ones are the option most industries rely on.
Our team at Commercial Real Estate Loan Pros of West Palm Beach is part of the lenders you can access with all confidence since we customize the financial solutions according to your situation and needs. We also keep in mind your industry specifications to guarantee we’re covering every aspect and element in it. This means that we, as lenders, are interested in your well-being and comfort, which has led us to offer special terms that make industries like yours, be able to access the funds required for future projects.
What’s the difference between commercial and industrial loans?
Earlier, we were comparing them or more like putting them together in the same group. Essentially, they are the same, but industries usually have short-term loans or credits overall that tend to last a bit less than commercial ones. Also, they are more specific.
When we mentioned that we were going to build the loan based on your specifications, commercial loans don’t work in the specific same way. While we might take information and data about your company, your industry specifications need to be clear and be able to let us determine how much money you need for your project. If you have an idea and the funds you need will come from the credit you request, you’ll have to let us know your plans and how you are thinking to make it work.
With that said, commercial loans come in different types, such as hard-money loans or the usual term credits. Meanwhile, most industrial loans focus on the latest, and this includes us since we work with the usual term condition. Now, keep in mind that the program for industries to access credits is open for any sector and type of project. This means you’re welcome to apply for it and you’re not limited to the field you’re part of and our team at Commercial Real Estate Loan Pros of West Palm Beach will make sure to fit the loan you request to this matter.
What conditions apply for this type of loan?
The terms will vary according to the lender. However, all of them consider the credit score, personal and commercial financial record, and how capable the industry is to repay the debt. These general requirements and aspects are very common among any type of credit.
In our case, we also consider them and make sure to evaluate the borrowers we’re planning to provide the money to. But we are more interested in knowing what collateral does the industry offer.
We are open and flexible to accept different borrowers and allow them to have the required funds based more on the collateral they offer than the actual credit score or financial record. This is in our case, so consider it a unique condition among our team to have your loan approved.
Finally, we have an average of up to 8 years to repay the credit, you must contribute at least 15% of the project cost, and the interest rate will vary depending on the amount and your situation. We have very reasonable interest rates to make sure you don’t feel overwhelmed with them. Also, our conditions are negotiable.
We won’t force you to accept them right away and you’re welcome to let our team know if you’re looking for different terms or if it is possible to change any of them. Since we also focus on the project you have in your hands, we can work around it and find better options to get it done that also involve better conditions for the credit.
Just keep in mind we’re not like regular lenders or banks where you will need to meet many requirements for nothing. Instead, we are flexible and willing to fit the loan to your needs and capabilities
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: