South End Capital Corporation (SECC) announced today it has finalized a strategic capital partnership that will enable SECC to now offer fast and affordable alternative business loans to its rapidly expanding client base.“We are so thrilled to be able to offer businesses previously relegated to merchant cash advances, a better option,” stated SECC Managing Director Noah Grayson. “These new streamlined and affordable small business loans are a breath of fresh air in an industry inundated with prohibitive capital.”

When Grayson reviewed an email that he received from the borrower, which included a copy of the LOI, he knew immediately that it was fraudulent and the borrower had been misled. “It was a fraudulent LOI and we had no record of the borrower or the brokers who provided it in our system,” Grayson exclaimed.

South End Capital Corporation (SECC) has announced that it is expanding its aggressive business financing program to include affordable loans from $30,000 to $350,000 for business owners without real estate or other hard collateral. The move comes as millions of business owners are scrounging for capital to meet year-end financing challenges. Loan funds can be used for unrestricted working capital, expansion, debt and merchant cash advance consolidation or other business needs.

This borrower wanted a competitive long term fixed commercial real estate loan without the headache of working with a bank. We funded a stated income, no tax return loan, we charged ZERO loan points, closed in less than 45 days and provided unrestricted cash-out.

This established specialized business was trading hands after many years. The new buyer required capital to acquire the business, the real estate as well as funds for new equipment and working capital. We provided $318,500 to purchase the real estate, $75,000 for new equipment and $156,600 of unrestricted working capital.

We provided this dental practice $3.5M to purchase $2.245M of real estate for expansion, consolidate $280K of MCAs, $200K for equipment and $775K for working capital and renovations. The borrower had ZERO cash injection, we financed 90% on the real estate and allowed the seller to hold a 10% second mortgage for the down payment. Our new loan reduced over $50K in monthly debt expense down to just under $2K a month!

This borrower owned multiple indoor trampoline parks in the IL area and was under contract to purchase this additional location. Because of the special-use nature of this property, its size (40,000+ sq. ft.), its occupancy (only 37.5%), its renovation needs ($1M) and its proximity to a major city (77 miles),other lenders would not provide this successful business owner the financing she needed to expand.

South End Capital Corporation (SECC), named “Best” and one of “Top Ten Best” hard-money / bridge lenders in the US, respectively, by fitsmallbusiness.com and toptenreviews.com, announced today that is has reached a significant milestone in its effort to unburden small business owners encumbered by prohibitive merchant cash advances.

We provided this Akron, OH business $1,926,278 to refinance its existing mortgages on its heavy industrial property. We also paid off almost $375,000 of expensive MCAs and provided $80,000 of working capital. Our loan reduced this business’s monthly debt from $54,207 to $17,669. We delivered a 7% APR amortized over 25 years and the referring broker earned a $12,500 referral fee.

We have significantly expanded our program offerings and have outlined these important changes below. Please read this email in its entirety and don’t hesitate to contact us if you have any questions.

We provided this Kissimmee, FL business $965,000 to purchase real estate to meet the demands of its swelling daycare enrollment. Additionally, we included $71,000 for equipment, $9,000 for furniture and fixtures and $426,000 of unrestricted working capital! We delivered a 7% APR, amortized over 25 years with a 5%, 3%, 1% prepay penalty.

If your business has stable and recurring revenue, sufficient cash for a down payment plus six months of reserves, it makes sense to purchase commercial real estate. This is because a monthly mortgage payment is typically less than a monthly lease payment, meaning that buying commercial real estate saves you money over time. Further, owning commercial real estate gives you a large asset to leverage for future business needs.

We’ve provided another MCA consolidation loan to a Michigan industry not favored by most lenders (and for a borrower with a 620 credit score). We paid off 9 MCAs / debt positions saving this business over $10K a month!

TopTenReviews.com, a prominent product and service review website receiving over 3.7 million visitors monthly, has selected South End Capital as one of the “Top Ten” Best Bridge Lenders nationwide.

Most lenders shy away from restaurants but not South End Capital. We provided this business owner $396K of unrestricted working capital, $165K for new equipment, $125K for new furniture and fixtures and $136K for leasehold improvements. All closing costs were financed and we delivered a 7% APR, amortized over 10 years and with no prepayment penalty.

A business valuation is a calculation of what a business could potentially sell for. It factors in the seller’s discretionary earnings with a multiplier that varies by industry, both tangible and intangible assets, and the business’s current liabilities. A true business valuation can be used to negotiate a price during the sale of a business.

“We’ve noticed a large number of brokers signing up with us are coming over from the MCA space. They’ve relayed to our staff that competition is too stiff to make enough money only originating MCAs, and they are looking for other avenues to bring in revenue,” Grayson said.

Online lending M&A is under way. PayPal is bolstering its merchant lending capabilities with the addition of Swift Financial. While the deal was kept under wraps, some industry participants heard some buzz about a possible combination.

This borrower required short-term financing to complete $300,000 of tenant improvements to increase the occupancy of his 70% occupied office building. He was also looking for over $500K of unrestricted cash-out for a time sensitive investment in other real estate. The low property occupancy eliminated him from conventional and non-conforming financing, and he needed a quick and easy bridge financing program to close fast!

We funded this stated income loan (no tax returns) for this 100% owner occupied, 32,822 sq. ft. Ohio industrial facility. We refinanced both a first and second mortgage, paid large tax and insurance bills that were coming due and provided $128,000 of unrestricted cash-out. This property is located in a small, rust belt town of less than 18,000 people.

We funded this stated income loan (no tax returns) for a 5 unit CA multifamily property in 32 days. We refinanced a $110,000 first mortgage, paid off $88,000 of delinquent real estate taxes and delivered over $240,000 of unrestricted cash-out.

We used our special, full documentation CA loan program to refinance this conventional borrower at a lower rate. He had difficulty finding a CA lender that would offer him bankable terms for his two property blanket loan request, which most lenders consider an un-bankable request.

We are pleased to announce that we’ve just funded $176,000 for the unrestricted cash-out refinance of a 6 unit multifamily property located in Norwich, CT. The borrower wanted a simple, light documentation loan process with competitive terms, but needed an 80% LTV. 

We consolidated 4 merchant cash advance (MCA) positions for this business reducing its approximate monthly debt expense from $49,598 to $5,759. We also provided $80,000 of unrestricted working capital and $240,000 for the purchase of new machinery and equipment. We delivered a 7% APR, amortized over 10 years and with no prepayment penalty.

We are pleased to announce that we’ve just closed a $730,000 purchase loan blanketing 2 non-contiguous investment retail stores. Prior to coming to South End Capital, this borrower had difficulty finding a lender that would blanket commercial property and provide competitive terms.

We consolidated over 7 debt and MCA positions for this business, including an 84%, 145% and 165% APR merchant cash advance (MCA). We also provided $73,000 of unrestricted working capital. We delivered a 6.75% APR loan, amortized over 10 years with no prepay penalty. We reduced this borrower’s monthly debt expense by $17,302!

We are pleased to announce that we’ve just closed a $900,000 cash-out refinance of an assisted living facility located in Redwood City, CA.We offer small balance commercial financing nationwide but in CA we can provide special bankable terms on a variety of property types (even special purpose ) up to $10,000,000.

We are pleased to announce that we’ve just funded $423,750 for the purchase of this office property located in Worcester, MA. The borrower couldn’t provide tax returns and needed a 75% LTV. Other stated commercial real estate lenders cap property LTVs at 70%, but we can fund up to 80% LTV and offer lower rates on longer fixed periods.

$432,000 was funded for renovations with the balance for working capital and closing costs. We provided a 6.75% rate amortized over 25 years. This is what our borrowers had to say…

We are thrilled to have helped another non-conforming small business owner (620 credit score in this case) refinance suffocating debt. We consolidated over $550K of debt, including a pricey first mortgage and a 23% term loan. Additionally, we provided working capital and financed all closing costs. This loan was funded at 6.75% and amortized over 25 years.