Business Debt Refinancing Solutions
Case Studies
Case Study #1 – Secured:
If you have daily or weekly debt repayments that are crushing your business’s cash flow, AND you (or your business) own any residential or commercial real estate, OR valuable equipment, with available equity, then we should talk about a Debt Refinancing Strategy (not a product) that we’re using to literally save people’s businesses. Here’s one client that was able to be “rescued” and we can help you too!
Funded: $178,000
Deal Terms: 15 months
Collateral: 2nd lien position on primary residence
Industry: Construction Company
Revenue: $70,000/month
Credit Score: 560
Time In Business: 4 years
Details:
Proceeds used to pay off 3 open cash advances with weekly payments totaling $10,590. Weekly payments were lowered to $3,103 saving the business $7,487 in cash flow PER WEEK and that included $50,000 in fresh cash that was used to purchase a new piece of equipment.
Funds were available in their bank account in just 8 days. Just imagine what your business could do with that extra money. Notice that this loan will be completely paid off in just 15 months because this is NOT a long-term mortgage. It is a short-term refinancing loan. And, how about the owner’s credit score? Well…this strategy works well EVEN WITH CHALLENGED CREDIT!
Case Study #2 – Unsecured:
If you have daily/weekly debt payments that are crushing your business’s cash flow, and do not have real estate or valuable equipment to use as collateral for refinancing, we can still help you. Here’s an example of how.
Funded: $78,000
Industry: Trucking/Transportation
Revenue: $72,460/month
Credit Score: 648
Time In Business: 8 years
Time To Close: 9 days
Details:
This husband & wife team has owned their transportation company for 8 years. They were able to pay off 3 open cash advances AND got the $15,000 in fresh working capital they had requested for their business.
Net result: this business lowered their debt payments by 18% in just 9 days. They used the $15,000 for business expansion…specifically for a down payment on a new truck which ownership feels will immediately help increase their bottom line!
Debt Refinancing
Most entrepreneurs and small business owners need financing to start, build and grow their businesses. When acquired and used properly, financing is an investment in growing your business to achieve your goals and dreams. Acquiring financing quickly because of an emergency situation, or when your business is in its infancy stages probably means your cost of financing was high, and this can hinder your business’s cash flow, damage your business relationships, and hurt your chances of business success.
There is an answer though…BUSINESS DEBT REFINANCING.
To be sure, acquiring business debt is normal and even healthy for the growth and well-being of your business. But, when servicing that debt (making those daily, weekly or monthly payments) becomes a cash flow problem, it’s usually time in a business’s life cycle to look into debt refinancing.
A Good Debt Refinancing Strategy Will Help You Accomplish Three Primary Tasks:
- Immediately Improve Your Cash Flow
- Lower Your Cost of Funds
- Help You Sleep Better at Night
Refinance Your High Cost Debt BEFORE the Payments Become A Problem:
- To Improve Your Business’s Cash Flow (We can’t say this enough)
- To Improve Your Business’s Bottom Line Profit
- To Avoid Late Payment Fees
- To Keep from Defaulting on a Loan
- To Protect & Preserve Your Personal & Business Credit
- To Improve Your Business’s Lending Profile for Future Borrowing
Opportunities - To Sleep Better at Night (Less STRESS is a common theme here)
There are many different strategies that can be used to refinance your current business debt and improve the overall health of your business. Importantly, you do not need perfect credit to accomplish this goal.
What Can Your Business Use the Savings For?
- Marketing & Advertising
- Inventory Purchases
- Hiring
- Expansion
- Equipment Needs
- Increased Officer Salaries & Distributions (Can you imagine? This is the main reason you have the business in the 1st place, right?)
The list is endless!!! Why can’t this be you? Just use the form fill at the top of the page to get started.
We are committed to your success
One of the things that makes Value Capital Funding stand out from other lending firms is the commitment we have to our clients. Our team of financial experts work with every client to determine the very best commercial finance option. We understand that no two businesses are the same, so no two business loans should be the same either. The key to a successful loan is having it tailored to your situation. That way, you can get the most cost effective loan you can qualify for in as little time as possible, and we will help you with the process from start to finish.
