Unsecured Business Lines

Phone:   866.241.3500

Fax:       949.276.4725

E-mail: info@lending911.com

Real Estate Loans

Commercial Loans

Unsecured Business Loans

 

Product Overview:

Credit lines from $15,000 - $300,000

No income or asset documentation

Unsecured

Rates from Prime + 1 – 3 (determined by FICO Score)

Approval in 3 days, closings usually within 14 business days

Funds accessible via check book or wire transfer

No prepayment penalty

Minimum 680 FICO score

Minimum 2 years in business (for borrowing entity)

No assets disclosed

 

General Underwriting Guidelines:

Borrower must be self-employed 2 years or greater

Minimum credit score 680

DTI 40-50% (includes all personal debt and new LOC)

Underwriting based on: applicants credit, type of business, history of business and current debt in making underwriting determination.

LOC’s are typically 10-15% of annual gross revenue per LOC

If business has multiple owners, all need to fill out applications

 

Quick qualifying guide:

 

Annual Income	$300,000
Divided by	12
Equals	$25,000
Multiply by	40%
Equals	$10,000
Less debts:
Mortgage PITI	$2,200
Auto lease	$680
Loan	$590
Credit cards	$770
Time share	$530
Net	$5,230
Divided by	4%
Max LOC	$130,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loan terms:

5year Revolving Line of Credit with a right to renew upon good standing for an additional 5 years. The remaining balance at the end of 10 years is amortized over either 10 or 15 years.

 

Maximum loan amounts: 

$100,000 from any one institution.  If the client would like $300,000 we will need to place the client with 3 institutions.  Each institution will approve client for approximately 10-15% of gross sales.

 

 

 

FAQ’s

 

What types of businesses are difficult to place?

While markets continually change we find that difficult to place clients are typically

Restaurants, mortgage companies, car dealerships, sole proprietors.

Institutions want to loan to healthy companies.  Therefore, a vacuum repair shop carries the same weight as a dentist.  With that being said, sometimes there are promotions for certain licensed professionals (i.e. dentists, lawyers, doctors).

 

Are liquid assets required?

Assets are not required for the company, but they should have cash on hand greater than $10,000

 

Why would a loan be declined? 

Client has too much revolving debt, credit score below 680, to many credit inquiries.

 

Who determines the interest rate?

The rate is determined by the institution.  Typically rates are prime plus 1-3%.  Rates are based on an actuarial calculation.  It takes into account sales, length in business, industry, etc.  There is no way for us to predict – each institution has its own formula.

 

Are Personal guarantees required?

Yes, all LOC’s require a guarantor to back the loan.  No direct assets will be pledged.

Check out our UNSECURED Business line of credit with

NO INCOME OR ASSETS DISCLOSED!