FAQ
What is a commercial loan broker?
A commercial loan broker is a professional who connects small business owners with potential lenders and investors. They help match businesses with suitable financing options and provide expert guidance throughout the funding process.
Why do small businesses and investors struggle to secure financing?
Small businesses often face funding constraints due to limited credit history, lack of collateral, or not meeting traditional lenders’ requirements. These challenges can hinder growth or lead to business failure without proper financing support. In addition, there is a general lack of information available to the public concerning commercial financing and investments. After being rejected by a bank, business owners often don’t know where to turn, and that’s why working with a commercial loan broker is so valuable.
What types of funding can a commercial loan broker help me access?
Commercial loan brokers have access to:
- Traditional banks
- Alternative lenders
- Private investors
- Real Estate Investment Trusts (REIT’s)
- Venture capitalists
This broad network allows them to find the most suitable and flexible funding solution for your business needs.
How does using a commercial loan broker improve my chances of approval?
Brokers understand what different lenders are looking for. They help:
- Prepare a compelling and complete application
- Ensure documentation is accurate and professional
- Identify and overcome potential roadblocks to approval
Can working with a broker save me time?
Yes. Brokers handle the research, paperwork, and negotiations involved in finding financing. This allows business owners to focus on daily operations rather than the time-consuming funding process.
What documents should I prepare before working with a broker?
Be ready to share:
- Personal and Business Financial statements
- Bank Statements
- Tax Returns
- Business plans and projections
- Proof of Ownership
- Any known challenges or risks
Accurate information helps brokers find the most appropriate financing options quickly and efficiently.
What are the overall benefits of using a commercial loan broker?
- Access to a wide range of funding sources
- Expert financial advice
- Improved approval chances
- Time savings
- Long-term financial support
Do you finance owner-occupied homes?
Yes we do! Please see the residential portion of the Services tab.
Why should I work with a broker instead of my bank?
We say you should work with both! Banks can sometimes offer premium rates and terms when they have a full banking relationship with a client, so we encourage clients to explore options with their local bank or credit union first. However, statistics show that more than 80% of commercial loan requests are declined by traditional banks. Banks have very specific lending criteria based on their own risk tolerances, and just because a bank rejects an application does not mean it is not a deal. Commercial loan brokers fill in this gap by presenting borrowers with additional options other than their local bank.
What are your rates?
It would be irresponsible to quote general rates without obtaining all pertinent details of your finance request. We have a number of lenders we work with and they price deals based on a number of different risk factors, all of which vary depending on each borrower’s individual financial scenario. Our primary goal is to shop your deal amongst several lenders to ensure you have your choice of the absolute best rates and terms available to you in the market.