Refinancing your Restaurant

Restaurants are among the hottest sorts of enterprises opened by entrepreneurs, especially those that love working with food, dealing with the general public, and / or have a real aptitude for show. Some join the culinary profession due to that old adage, People have to eat somewhere. True enough alright, but they do not have to eat at your place. With a surplus of cafes in most communities, opening or buying an eatery could be a dodgy offer, particularly for the unwary.

But since youre reading this, youve doubtless already survived the ups and downs, and now have yourself a fairly healthy business. You could be pondering expanding, reconstructing, or simply updating your kitchen kit. Because you came across this page, you could be seriously considering refinancing a commercial cafe building. commercial property financingAnd why not? The big boys do it all of the time. Perhaps the smart ones do. According to the May twenty, 2011 issue of Restaurant News Magazine, Oklahoma City-based Sonic Enterprise, the countries largest chain of drive-in restaurants, has just announced that certain of its subsidiaries have issued a total of more than $600 million in senior secured notes to act as a securitized financing vehicle.

Clifford Hudson, Sonics President and Head honcho went on the record as exclaiming This capital structure provides us ideal financial flexibility at a competitive cost. It also implies that the money sector remains bullish on the future of the eaterie industry.

So even if you werent already thinking about refinancing a commercial restaurant building, perhaps youre now.

However , most cafe operators dont own or franchise more than 3500 locations nationwide. Or even have the luxury of a 50+ year-old name with all of its associated goodwill. Whom are you going to turn to refinance a restaurant building?

If you own the property, instead of leasing it, the Small business Administration ( SBA ) can unquestionably assist you, regardless of if you or the business is affected with a rather bruised credit rating ( 680 or less ). Its called the SBA 504 Program.

The SBA 504 is not a direct government loan programme, but instead an SBA guarantee on funds got thru a bank, credit union, or other non-public lending establishment for refinancing a commercial restaurant building. Provided that youve been in business for at least two years, the debt being refinanced is less than 2 years old, and that you have been current on the payments for a minimum of 12 consecutive months, the SBA 504 Program can let you borrow up to 90 p.c of the loan-to-value ( LTV ) of your building at really propitious, fixed ( not variable ) rates, even though your FICO is below 680.

Rather than trying to handle the lenders yourself, which can often be a frustrating, time-consuming tribulation, let the executives at Venture Funding Group do all of the legwork for you.

Venture Funding Group is a guru in working with the Small enterprise Administration to help restaurateurs secure the funds that they need to refinance a restaurant property, thanks to their exclusive FAST TRACK Programme.

To learn more, click on now for your totally free consultation and guidance. Or call us at 1-800-578-4884, if you prefer. .

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