Financial Concepts and Solutions LLC
                                                                                              (216) 785-4667
$500,000 to $10 Million Available
Commercial Loan Structure

The purpose of a loan should always be the basis for all plans for expanding and for growth, to generate more income. It easy for the borrower to lose track and focus on their main objective and end up misdiagnoses the purpose for the loan and ends up focusing on the symptom (problems) rather than the reason (Expanding and growth).

Your collateral is the foundation of getting the loan approved, for it's the safty net for the lender to ease his or her fear of default and recovering their investment. It’s your cash flow that tops off the process on your loan; cash flow from operations should always be the primary form of repaying the loan. It is usually the primary source of repayment for term debt and a secondary source of repayment are working assets. For tightly monitored line of credit, more reliance is placed on the conversion of working assets such as, rental property, A/R turnover, and inventory turnover. 

Cash flow is strongly looked at by lenders to see if the cash flow is steady regulator amount every month or is it seasonal which various changes from month to month throughout the year; that may create hardship during certain months. In this, the company must save part of their profits and hold it for times of low business.

The next step to complete the loan process is not important in private lending for personal loan, but it very important in commercial loans and that is the CEO or owners resume; listing their education, training and experience. This fact eases the lender conscious mind, builds confidence in the borrower’s ability to generate good business and is able to repay the loan.