WHAT YOU NEED TO KNOW
Start up Funding - SBA LOANS
An SBA LOAN is a business loan guaranteed by the U.S. Small Business Administration. Contrary to popular belief, the SBA
does not actually lend directly. Rather, the SBA establishes guidelines for participating lenders and guarantees a portion
of the loan, up to 85%, which lessens the risk for the lender, and increases the likelihood of approval.
7 (a)
✓ Up to $5.5m
✓ In as fast as 45 days
✓ Fixed interest rate as low as prime + 2.25%
✓ Terms from 10 years to 25 years
✓ Fees of 1.7%-2.25%
✓ Monthly payments
The SBA 7(a) Loan is the most popular SBA loan program mainly because of its flexibility and wide range of acceptable uses. For loans $25,000 and up, collateral will likely be required, and for loans $350,000 and up, the maximum available collateral will likely be required (personal assets can be used to supplement business collateral). While the standard 7(a) loan, which goes all the way up to $5 million, has relatively stringent credit requirements and sometimes takes up to 60 days to fund, the 7(a) small loan, which only goes up to $350,000, can be fast-tracked by the lender with somewhat relaxed requirements as long as the application passes the SBA pre-screen process. If it doesn't pass the pre-screen process, the application will simply have to enter the standard 7(a) underwriting process.
USES
• Refinance debt
• Buy land
• Finance construction expenses
• Purchase equipment, furniture, materials, or supplies
• Expand or acquire an existing business
Express
✓ Up to $350,000
✓ In as fast as 30 days
✓ Fixed interest rate as low as prime + 4.5%
✓ Terms from 7 years to 25 years
✓ Fees vary based on lender
✓ Monthly payments
WHAT YOU NEED TO KNOW
If you need quick cash, an SBA Express Loan might fit the bill. In many ways, they mirror the standard SBA 7(a) loan with regards to acceptable use of funds and funding requirements. The main difference between them is that while SBA Express loans usually have less favorable interest rates than 7(a) loans, their applications usually receive credit decisions within 36 hours and often fund after only 30 days, which is a considerably faster funding speed than 7(a) loans.
USES
• Working capital (5 to 10-year term)
• Working capital (5 to 10-year term)
• Line of credit (7-year term)
• Commercial real estate (25-year term)
504
✓ Up to $5.5m
✓ In as fast as 60 days
✓ Fixed interest rate as low as 5%
✓ Terms from 10 years to 25 years
✓ Fees of 3% of the loan amount
✓ Monthly payments
WHAT YOU NEED TO KNOW
The SBA CDC/504 Loan is used to acquire fixed assets or improve existing assets (certain soft costs can be included as well) and has many benefits like 90% financing, no balloon payments, long amortizations (10 to 20 years), and low fixed interest rates (5%-6%). The SBA bank only provides 50% of the funding while an SBA-approved certified development company provides 40%, which means the borrower must have the ability to provide a 10% down payment. This program requires a 20% personal guarantee, a business tangible net worth of $15 million-plus as well as $5 million or less in average net income over the 2 years before the application. Much of the underwriting focuses on the project costs, and since the approval process involves two lenders, the bank and the CDC, instead of just one, funding usually takes longer than the SBA 7(a) and Express programs.
USES
• Purchase long-term equipment
• Refinance debt from facility renovation, equipment refurbishing,
and/or business expansion
and/or business expansion
• Acquire an existing building
• Buy land or finance land developments like landscaping, creating new
parking lots, and grading
parking lots, and grading
• New facility construction or
existing facility renovation
existing facility renovation
Business Acquisitions & Development
Urgent Loans Require Immediate Attention. With a focus on commercial bridge loan opportunities between $2 million and $100 million, Herkimer Capital is a partner. Specializing in real estate loans for asset types including Multifamily, Retail, Office, Mixed-Use, Senior Housing, Self-Storage, Hospitality, Specialty, Manufactured Housing, Industrial/Flex. Typical transactions have an urgent closing timeline, a strong value proposition, and a clear exit strategy—usually within 12–24 months of the loan being issued.
Loan Size
$2–$100 Million
From
6 Months to
1-30 Years of Term
25-30 year amortizations
Rates from7%−12%
Security1st Mortgage Lien
up to75% LTV
Origination Fee1%−4%
Bridge Loans
- Bridge rates from 9% to 12%
- 1-30 year terms with interest reserves
- Rehabs, Repositions, PIP's, Reflags & Distressed Assets
- $2-$100 million loan sizes
- Up to 80% LTC financing 100% of rehab
- Mezz & Joint Venture Equity available
- 14-30 days closing
- Recourse and Non-Recourse
- 5+ Units Fix/Flip & Construction
- 5+ Construction to Perm
- Commercial Construction
- Vrbo and AirBnB OK
- Multifamily 5+ units
- Nationwide except NY, NV, AZ, ND, SD
- CA: Broker Only Commercial Real Estate Loans Only First Mortgage Only
- Buy Side/Sell Side M&A Advisory
Permanent Loans
- Fixed and Floating rates starting at 7%
- 5/10/15 year fixed rates with 25-30 year amortizations
- Rehabs, Repositions, PIP's, Reflags allowed
- $2-$100 million loan sizes
- Up to 75% LTV
- Mezz & Joint Venture Equity available
- 21-40 days closing
- Recourse and Non-Recourse
- 10, 15, 20, 30 year fixed
- Vrbo and AirBnB OK
- Multifamily 5+ Units
- SBA & USDA Available
- Nationwide except NY, NV, AZ, ND, SD
- CA: Broker Only Commercial Real Estate Loans; 1st Mortgage Only
- Buy Side/Sell Side M&A Advisory
FUNDING USES
• Highly structured transactions
• Discounted note pay-offs
• Property acquisitions
• Note acquisitions
• Recapitalizations
• Complex deal structures
• Bankruptcy and receivership resolutions
• Rehabilitation / construction
• Redevelopment / repositioning
• Lease-up / stabilization
• Partner buy-out
Merchant Cash Advances
Keeping Operations Flawless
✓ UP TO $5,000,000
✓ 3 MONTH - 2 YEAR TERM
✓ CREDIT CARD SPLIT REPAYMENT
✓ AS LOW AS A 1.09 FACTOR RATE
✓ AS FAST AS 2 DAY
USE THE ARROWS ABOVE
Unsecured Business Lines of Credit
We specialize in providing business owners with access to $25,000 – $150,000+, in the form of Unsecured Business Lines of Credit. The Unsecured Business Lines of Credit are available for companies of all ages, from startups with no established revenue to well-established companies. We can assist business owners in every industry. The business lines require no collateral & no financial documentation, only a personal guarantor. They are freely spendable to meet all of your company’s specific needs. The general parameters to qualify for the Unsecured Business Lines of Credit
are as follows:
• Minimum FICO score 680+
are as follows:
• Minimum FICO score 680+
• No bankruptcies or foreclosures
• No judgments, collections or tax liens in unpaid status
• No late payments or derogatory credit marks for past 24 months
• At least 3 established credit lines; 1 or more with $5,000+ limit
• Credit Partner / Personal Guarantors are OK
0% Personal & Business Credit Card Program:
• New or existing business
• Strategically acquire $50-150k+ of credit cards with 0% intro rate
• Coach clients on how to liquidate the cards
• Teach clients how to manage long-term to keep blended interest rate between 5-10%
• Separate personal & business credit
Streamlined Unsecured Lines of Credit (Checkbook access):
• Existing business with 2+ years in any industry
• Strategically acquire multiple LOCs (1-3 per business) ranging from $25-75k per LOC
• Credit based; no collateral required; financial docs normally NOT required
• Interest rate normally Prime +1 to Prime +5% (currently 9.25% - 13.25%)
• UCC Filing (depending on bank)
*We reserve the right to change programs or offerings on Unsecured Business Lines of Credit.
