News

May 6, 2008

American Business Lending Awarded Preferred Lenders Program Status.

Loan Application

ABL Loan Application

American Business Lending has made the process of applying for a small business loan easy with a printable PDF file.

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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.