Loan Programs

ABL serves the small business market by providing commercial financing for projects between $200,000 and $5,000,000 for: real estate, expansion, construction, refinance, business acquisitions, start-ups, franchises, furniture, fixtures, equipment, inventory and working capital. ABL uses the three loan products below to facilitate projects.

SBA 7(a) Loan Program | SBA 504 Loan Program | Commercial Loans

SBA 7(a) Loan Program
Purpose of Loan:		Commercial real estate purchase, expansion, construction, refinance; business acquisitions; start-ups; franchises; furniture, fixtures & equipment; inventory and working capital
Loan Amount:		Up to $2,000,000
Capital Injection:		Minimum 10% down payment with the exception of debt refinance loans, which may require no down payment
Loan Term:		From 7 years up to 25 years fully amortized
Interest Rate:		Floating rate, up to 2.75% above Wall Street Journal prime rate; adjusted quarterly
Loan Fees:		$1,000 loan packaging fee / SBA guaranty fee determined by the SBA.
Prepayment Penalty:		If a loan is for less than 15 years, there is no prepayment penalty.  If a loan is for 15 years or more, the borrower may prepay up to 25% of the principal balance during the first three years of the loan without penalty. Any prepayments in excess of 25% will be assessed a prepayment penalty of 5% in Year 1, 3% in Year 2 and 1% in Year 3
Collateral:		First lien mortgage on business real estate, and UCC filings on machinery and equipment, accounts receivable and inventory
Loan to Value:		Up to 90%
Personal Guarantee:		Guarantee of all principals who own 20% or more of the business
Debt Service Coverage:		Minimum target of 1.20x for past fiscal year or recent interim period for existing businesses.  A start-up or turnaround business will be looked at on a projection basis

SBA 504 Loan Program*
Purpose of Loan:		Purchase and construction of commercial real estate and purchase of fixed assets
Loan Amount:		Up to $5,000,000
Capital Injection:		As low as 10% depending on use of proceeds and business industry
Loan Term:		Up to 25 years fully amortized for first lien and 20 years fully amortized for second lien
Interest Rate:		Fixed or variable rates as determined by first and second lien holders
Loan Fees:		Determined by first and second lien holders
Prepayment Penalty:		Declining or flat scale as determined by first and second lien holders
Collateral:		First and second lien mortgages on business real estate, and UCC filings on machinery and equipment
Loan to Value:		Up to 90%
Personal Guarantee:		Guarantee of all principals who own 20% or more of the business
Debt Service Coverage:		Minimum target of 1.20x for past fiscal year or recent interim period, projected for start-ups or turnarounds
* ABL works with selected financial partners to final fund SBA 504 loans.

Conventional Loan Program*
Purpose of Loan:		Purchase of owner occupied and investor commercial real estate
Loan Amount:		Up to $5,000,000
Capital Injection:		Minimum 25% depending on business industry and property type
Loan Term:		Up to 25 years
Interest Rate:		Fixed or variable rates available
Prepayment Penalty:		Declining or flat scale
Collateral:		First lien mortgage on business real estate and UCC filings on machinery and equipment
Loan to Value:		Up to 75%
Personal Guarantee:		Personal Guarantee of all principals who own 20% or more of the business
Debt Service Coverage:		Minimum target of 1.25x for past fiscal year or recent interim period
* ABL works with selected financial partners to final fund conventional loans.