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What's Funding In Commercial Finance... Chinnici Financial, Commercial Finance November, 2010 Website

Whats funding

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Page 1: Whats funding

What's Funding In Commercial Finance...

Chinnici Financial, Commercial FinanceNovember, 2010

Website

Page 2: Whats funding

Overview And Understanding the Market

• This summary presentation broadly discusses the programs that are funding. For those who are looking for more detail, such as specific loan requirements (LTV’s, credit scores, etc.) we have that – in this presentation.

• Meanwhile, click to see what programs we are funding, and what we can do for you.

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Overview And Understanding the Market

• At Chinnici Financial, it’s our personal passion and mission to see business get the loans they need – thus keeping the economic engines of this great country running. We are accomplishing this, even in this market, through our strong relationships with over 350 funding lenders.

Page 4: Whats funding

Overview And Understanding the Market

• At Chinnici Financial, it’s our personal passion and mission to see business get the loans they need – thus keeping the economic engines of this great country running. We are accomplishing this, even in this market, through our strong relationships with over 350 funding lenders.

• The Marketplace has changed significantly in the past few years. Recent regulations (requiring banks to meet an Asset-to-Loan ratio of 1:1) are compelling banks to get loans off their books, or they risk Federal take-over. Which is to say that, in large part, local banks are not lending.

Page 5: Whats funding

Overview And Understanding the Market

• At Chinnici Financial, it’s our personal passion and mission to see business get the loans they need – thus keeping the economic engines of this great country running. We are accomplishing this, even in this market, through our strong relationships with over 350 funding lenders.

• The Marketplace has changed significantly in the past few years. Recent regulations (requiring banks to meet an Asset-to-Loan ratio of 1:1) are compelling banks to get loans off their books, or they risk Federal take-over. Which is to say that, in large part, local banks are not lending.

• But with our relationships, plus combining programs through a number of different sources (traditional banks, SBA, Wall Street, Private Equity, SDIRA and other creative programs), we are able to structure programs from the smallest to literally, the very largest projects.

Page 6: Whats funding

Overview And Understanding the Market

• At Chinnici Financial, it’s our personal passion and mission to see business get the loans they need – thus keeping the economic engines of this great country running. We are accomplishing this, even in this market, through our strong relationships with over 350 funding lenders.

• The Marketplace has changed significantly in the past few years. Recent regulations (requiring banks to meet an Asset-to-Loan ratio of 1:1) are compelling banks to get loans off their books, or they risk Federal take-over. Which is to say that, in large part, local banks are not lending.

• But with our relationships, plus combining programs through a number of different sources (traditional banks, SBA, Wall Street, Private Equity, SDIRA and other creative programs), we are able to structure programs from the smallest, to literally, the very largest projects.

• But, some things are easier than others. Which brings us to the first:

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Real Estate based programsMultifamily

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Multi-family

These are some of the most attractive programs right now, as Government backing provides less risk for funding banks.

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Multi-family

These are some of the most attractive programs right now, as Government backing provides less risk for funding banks.

Examples

• Apartment buildings• Apartment complexes• Mobile Home Parks (East Coast)

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Multi-family

These are some of the most attractive programs right now, as Government backing provides less risk for funding banks.

Examples Benefits include

• Apartment buildings• Apartment complexes• Mobile Home Parks (East Coast)

• below $500,000 to above $20mm• High LTV’s• Low rates (currently at 4%.)• Long terms, fully amortizing (30, 35, 40 yrs),• Non-recourse

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Investment PropertiesOffice, Mixed-use, Retail, etc.

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Investment Properties

Investment properties encompass a large group of businesses, some of which are owner-occupied (owner-run), and some not:

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Investment Properties

Investment properties encompass a large group of businesses, some of which are owner-occupied (owner-run), and some not:

Examples

• Office• Mixed use• Retail• Warehouse• Light Industrial• Self-Storage• Strip centers• Large Shopping Centers

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Investment Properties

Investment properties encompass a large group of businesses, some of which are owner-occupied (owner-run), and some not:

Examples Benefits

• Office• Mixed use• Retail• Warehouse• Light Industrial• Self-Storage• Strip centers• Large Shopping Centers

• Loan amounts to $10mm and above• Owner-occupied qualifies for SBA• LTVs 65%-75%• Reasonable credit score parameters• Bridge loans available.• Limited and Non-recourse available.

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Special Purpose PropertiesRestaurants, Gas Stations…

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Special Purpose Properties

Usually a little more difficult, we are still placing these. Owner-occupied are easier:

Examples

• Restaurants• Gas Stations• Convenience Stores• Hotels / Motels• Daycare Centers• Assisted Living Facilities• Dry Cleaners• Funeral Homes

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Special Purpose Properties

Usually a little more difficult, we are still placing these. Owner-occupied are easier:

Examples Benefits

• Restaurants• Gas Stations• Convenience Stores• Hotels / Motels• Daycare Centers• Assisted Living Facilities• Dry Cleaners• Funeral Homes

• Loan amounts up to $5mm and above• Some qualify for SBA/USDA, with attractive LTVs; others, 65%• Reasonable credit score parameters

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Loan Variations

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Variations of loan typesGeneral discussion

• Simply for discussion’s sake, within each of the loan types, are variations of types. We will seek the most attractive terms, first.

• Whenever possible, Governmental loans will generally carry the most attractive terms: These programs include not only SBA (in both 7a and 504) and USDA, but also other programs related to healthcare, apartments with and without rehab, etc.

• Stated Income programs: Lower LTV’s than Full-disclosure but are still easily funding, based on assets.

• Conduit Loans, also known as “Wall Street”, are generally used for larger loans; and we will often place super large ones, shared by several firms to accomplish the full funding.

• Hard money, including for land-only (Eastern US.)

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Other Commercial ProgramsPart of a Full Suite of Services

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Other Commercial ProgramsUnique, and/or used in combination

• Churches: $25,000 to no maximum. 3.5x tithe. Very attractive rates over $1mm.

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Other Commercial ProgramsUnique, and/or used in combination

• Churches: $25,000 to no maximum. 3.5x tithe. Very attractive rates over $1mm.

• Acquisition/Development: Certain uses can go Governmental (i.e., low rates; good terms.)

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Other Commercial ProgramsUnique, and/or used in combination

• Churches: $25,000 to no maximum. 3.5x tithe. Very attractive rates over $1mm.

• Acquisition/Development: Certain uses can go Governmental (i.e., low rates; good terms.)

• Medical Financing: to 100%. Additionally, have service division that will assist in acquisition or disposal.

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Other Commercial ProgramsUnique, and/or used in combination

• Churches: $25,000 to no maximum. 3.5x tithe. Very attractive rates over $1mm.

• Acquisition/Development: Certain uses can go Governmental (i.e., low rates; good terms.)

• Medical Financing: to 100%. Additionally, have service division that will assist in acquisition or disposal.

• IRA and/or loans against stock holdings: These are true loans with ownership of holdings (and appreciation) retained. This is one that you really want to contact me to discuss, as there are significant tax advantages that almost all will benefit from. Moreover, these loans are placed quickly – with cash in as little as ten days.

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Other Commercial Programs (con’t)Unique, and/or used in combination

• Equipment

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Other Commercial Programs (con’t)Unique, and/or used in combination

• Equipment

• Factoring

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Other Commercial Programs (con’t)Unique, and/or used in combination

• Equipment

• Factoring

• Credit Card Receivables: Any business utilizing credit cards, may obtain loans quickly against the average use.

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Other Commercial Programs (con’t)Unique, and/or used in combination

• Equipment

• Factoring

• Credit Card Receivables: Any business utilizing credit cards, may obtain loans quickly against the average use.

• International Loans

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Other Commercial Programs (con’t)Unique, and/or used in combination

• Equipment

• Factoring

• Credit Card Receivables: Any business utilizing credit cards, may obtain loans quickly against the average use.

• International Loans

• Platform Trades: A unique program for very high-wealth individuals.

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Wrap up:Experience and Relationship.

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Experience and Relationship count:

• Our lending, and our proven relationships with over 350 lenders, are

nationwide.

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Experience and Relationship count:

• Our lending, and our proven relationships with over 350 lenders, are

nationwide.

• While the banking environment is contracting, with these relationships, our

lenders are funding. We have knowledge of how to structure the deal for the

maximum interest for each specific lenders, matching the deal with the

specific lender appetite.

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Experience and Relationship count:

• Our lending, and our proven relationships with over 350 lenders, are

nationwide.

• While the banking environment is contracting, with these relationships, our

lenders are funding. We have knowledge of how to structure the deal for the

maximum interest for each specific lenders, matching the deal with the

specific lender appetite.

• With this strength of relationship, our deals rise to the top, in a limited-

resource environment. Because they trust us to get them done, we are often

in a first-look situation in a limited-resource environment.

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What you can expect from us:

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What you can expect from us:

• Quick screening, and aggressive placement attempt. Peer

collaboration for structuring and placement of difficult deals.

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What you can expect from us:

• Quick screening, and aggressive placement attempt. Peer

collaboration for structuring and placement of difficult deals.

• A growing referral network, and reputation: Knowledge.

Experience. Speed!

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What you can expect from us:

• Quick screening, and aggressive placement attempt. Peer

collaboration for structuring and placement of difficult deals.

• A growing referral network, and reputation: Knowledge.

Experience. Speed!

• CLOSINGS!

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And…

"Always bear in mind that your own resolution to succeed is more important than any other one thing."

Abraham Lincoln