Business Loan Brokers

One thing you must be careful with when dealing with a broker is making sure they have lending sources. Many brokers will lead you to believe they are a direct lender to a source for commercial funds; when in reality they know someone who knows someone else that may be the source for funds.

When several brokers are in the middle trying to get a deal financed, the origination fees tend to get expensive. I have had several brokers come to me wanting 1% of the loan amount as a fee for simply passing on the contact information for an interested borrower. You can imagine what happens when you have a few brokers that want the same commission.

When you decide to work with a broker make sure you take the extra time to ask them about their sources. They may not tell you the lending sources name but they should be able to fairly represent terms, rates, timelines and credibility of the source based on the deals they have been funding recently. Recently funded deals is the key. Your asking for a loan today. It doesn’t matter what they have done in the past if they don’t have any lending sources today.

This economic environment is one of the most challenging lending environments many bankers have ever worked in. If you want your loan funded, it is critical to find a lender and a banker who has closed loans within the last 3-6 months of your request. If the broker has done a good job with these borrowers they should be able to provide references and testimonials.

We find great satisfaction in the work we do. In a small way we have the privilege of boosting economic development and economic recovery by funding business loan requests. We look forward to working with you and adding you to our family of commercial loan success.

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