Based in Stamford, Connecticut, Trevor Cole Commercial Corp. is a nationwide provider of alternative loans for individuals and companies who may have difficulty obtaining traditional loans. A cornerstone of Trevor Cole Commercial Corp.’s business is hard money loans, which use a tangible asset, such as a house, as collateral.
Unlike conventional financing, hard money loans are not dependent on income and as such may be a good choice for borrowers with a sparse credit history. Since they are secured by property, the application process is significantly simpler than obtaining a mortgage, which can take up to a month to approve. As a result, approval times are shorter - generally a matter of days. Hard money loans are shorter-term than traditional loans, and typically range from one to three years. Real estate investors often use hard money loans when they purchase a property and renovate it for resale. This rapid turnaround time partly offsets the loans’ higher interest rates. Other candidates for hard money loans include investors in rental property and purchasers of commercial property that is difficult to finance through traditional methods.
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Trevor Cole Commercial Corp. focuses on raising capital for businesses and real estate investors. Based in Stamford, Connecticut, Trevor Cole Commercial Corp. also participates in Small Business Administration (SBA) loans. Founded in 1953, the SBA strives to assist small businesses and grow the nation’s economy with loans, counseling, and other services. In fiscal 2021, it lent some $44 billion through over 61,000 loans. It offers three options for borrowers:
7(a) Loans The most popular SBA program, 7(a) loans are often used by business owners seeking to purchase real estate. They can also be used to obtain working capital, refinance debt, and buy supplies and equipment. Recipients must operate for profit within the United States and have a reasonable amount of existing equity. Applicants must also be drawing on other sources, such as personal assets. The maximum allowed loan is for $5 million. 504 Loans Intended to create jobs and expand businesses, 504 loans are available to companies with a tangible net worth of less than $15 million and have an average net post-tax income under $5 million after federal taxes for the previous two years. Possible uses include buying or purchasing land or buildings, improving streets and parking lots, and many others. 504 loans cannot be used for speculation or investment in real estate, handling debts, and obtaining capital. Microloans On a smaller scale, the SBA makes microloans up to $50,000 for small businesses wishing to expand. Qualifying nonprofit child care agencies are also eligible. The program works through designated intermediary lenders who provide guidance and technical assistance. To learn more about SBA products, visit sba.gov. Based in Connecticut, Trevor Cole Commercial Corp delivers equity and debt financing pathways toward obtaining commercial mortgages. One area of knowledge of the Trevor Cole Commercial Corp. team is the repayment period associated with short and long-term loans.
The loan term is the length of time required to fully repay a loan debt, as well as associated interest. While some loans can be repaid in full at any time, prior to their reaching maturity, others exact a penalty on borrowers for paying too much too soon. Term loans are distinguished by following a set repayment schedule, typically defined by fixed monthly payments, over a time period such as three, five, or 10 years. Often these vehicles feature a fixed interest rate that stays the same throughout (though in certain circumstances the rate may be variable). Some types of loans from specific providers offer even longer term funding. For example, Small Business Administration (SBA) loans related to real estate purchases allow borrowers 25 years to pay back the principal. By contrast, vehicles such as merchant cash advances are of much shorter duration, with repayments usually due in full within a three- to six-month period. These often higher interest loans may be paid back on a daily basis, such as when 10 percent is automatically deducted from daily credit card sales to service the loan. Trevor Cole Commercial Corp. is a structured finance company serving clients nationwide. Trevor Cole Commercial Corp. offers a robust catalog of loan programs, including hard money, bridge loans, and Small Business Administration (SBA) loans.
Small business owners can use SBA loans to start or expand their businesses, meet working capital needs, or purchase real estate and equipment. They are provided by private lenders but guaranteed by the SBA and afford multiple benefits, including the following three: 1. Competitive Fees SBA loan fees typically include an upfront guarantee and yearly service fees. The first is to cover the SBA costs in case the borrower fails to repay the loan and varies per loan amount and repayment term. The latter gets calculated on the guaranteed amount of the outstanding balance. Depending on the type of SBA loan, its amount, and the borrowing business owner, the upfront guarantee fee or annual service fee can get waived. For example, veteran-owned businesses seeking SBA Express loans pay no upfront guarantee fees. 2. Generous Term Lengths SBA loans have longer repayment terms than other forms of small business funding, thus allowing small business owners to have more money to meet additional business needs. The loan terms vary based on what they intend to finance. Currently, the maximum maturities for working capital and equipment are 10 years, while the maximum for real estate is 25 years. 3. Broad Spectrum of Loan Amounts With loan amounts ranging from $500 to $5.5 million, small business owners can use SBA loans to cover minor and major expenditures. It is worth noting, however, that different SBA loan programs have other eligibility criteria and restrictions. For example, the maximum loan amount for the SBA 504/CDC loan program is $5.5 million, but borrowers can only use it for purchasing major fixed assets. Based in New York City, Trevor Cole Commercial Corp offers varied commercial and real estate loan types to its clients. One type of loan offered by Trevor Cole Commercial Corp is a hard money loan.
Individuals and companies, rather than banks or related established financial institutions, offer hard money loans. A hard money loan differs from a traditional one because it uses the property itself as collateral. If the borrower cannot pay off the loan used to pay for the property, then the lender can generate profit from it. Borrowers usually choose hard money loans if they need cash quickly, their poor credit prevents them from qualifying for other loan types, or if they know they can pay off the loan and circumvent its drawbacks. Lenders can issue cash faster than traditional financial institutions because they usually do not use factors like borrowers' credit scores to determine eligibility. Hard money loan terms last between one and three years. A hard money loan’s primary drawback is its higher costs. Borrowers pay not only a higher down payment and closing fees but also higher interest rates. In 2020, American hard money loan borrowers paid an average 11.25 percent interest rate, with rates as low as 7.5 percent and as high as 15 percent, between two and 10 percent higher than other loan types. Based in New York City, Trevor Cole Commercial, Corp., is a leading closer of “C” loans. Trevor Cole Commercial, Corp., also provides debt and equity financing support in the form of hard money lending services.
A hard money loan is unique in that the loan is secured through real property. These loans are typically used as short-term bridge loans during real estate transactions. As a practice, hard money lending is more common among individuals and companies, as opposed to transactions involving banks. There are several advantages to using a hard money loan. First and foremost, any individual or group feeling the pressure of the phrase “time is money” should look into hard money lending. Hard money loans are among the fastest loans available, both in terms of approval and funding. In fact, many hard money loans are approved in a single day and funded in under one week. While there are several steps and points of consideration, the hard money lending process largely hinges on the property involved. If the borrower owns the property and the property is in good condition, the lender is likely to approve terms. Similarly, hard money loans do not burden borrowers with many requirements. Individuals who have only had experience with bank loans will be particularly surprised at how streamlined the process is. Areas of focus mainly involve how much equity the borrower has in the property and how much money the borrower has for monthly payments, though lenders may also want to hear about the borrower’s relevant experience and exit strategy. Finally, hard money loans represent a realistic source of funding when traditional methods of financing fail. Traditional lenders such as banks are risk-averse and will typically show zero interest in unconventional loan proposals. For example, an effective fix and flip loan can help a real estate investor acquire, renovate, and sell a property in as little as 12 months. This shortened time frame does not fit into most bank’s business models. A structured finance company, Trevor Cole Commercial Corp. offers various financing programs for commercial real estate projects in the United States, from apartment and office buildings to retail shops and mixed-use properties. One of the financing options that Trevor Cole Commercial Corp. provides is a business loan.
Businesses take out commercial business loans hoping to increase profits. They use the borrowed capital to purchase additional real estate or expand their operations. Generally, banks, credit unions, public funds, and private investors lend money to businesses that turn a profit, show increasing cash flow, and have positive revenue projections. Businesses also take out loans to purchase or lease equipment necessary to the operation. The loan is typically an intermediate-term loan that lasts less than three years and is repaid monthly. A business can write off up to $25,000 of the total value of the equipment in the first year, and depreciate the rest over the remainder of its economic life before being sold for salvage value when outdated or no longer functional. When businesses consistently face low inventory due to increasing demand for their products, they may take out a short-term business loan to buy raw materials or meet orders from existing vendors. Companies typically repay the loan once the season is over using the proceeds from their sales revenue. Based in Connecticut, Trevor Cole Commercial Corp. delivers debt and equity financing solutions focused on the real estate industry. Trevor Cole Commercial Corp. has in-depth knowledge of business loans and hard money lending strategies.
Hard money lending is a strategy in which the asset purchased serves as loan collateral. Also known as a short-term bridge loan, it enables investment purchases, such as equipment or supplies, to go forward in lieu of long-term financing. This reduces risk for both the lender and borrower. In real estate, short-term bridge lending is a means of achieving a rapid turnaround between the acquisition and sale of a property. Many commercial flippers find it challenging to obtain traditional financing for projects that involve the rehabilitation and repositioning of properties on the market. Given the risk involved in market forecasts, the purchased property serves as reliable collateral should a profit from the ultimate sale fail to materialize. A major advantage of this type of arrangement for borrowers is that their debt-to-income ratio is not a stumbling block to obtaining the loan. As they don't need to provide assurance that the debt can be comfortably repaid in the present, they are free to seek out short-term, high-reward investment scenarios. A leader in non-conforming loans, Trevor Cole Commercial Corp. provides debt support to America’s real estate investors. Based in New York City, Trevor Cole Commercial Corp. closes many types of loans including hard money loans for home flippers.
There are many reasons why real estate flippers prefer hard money loans. One of them is the ease of access. Unlike traditional mortgages that take time to close, hard money loans can be accessed much faster. And when a good property is on the market, time is of the essence. Another reason is more convenient terms. Many hard money loans for home flipping have a term of six to 18 months. This is different from traditional mortgage loans with a term of 15 or 30 years. Home flippers want to purchase property, renovate it, and sell quickly therefore, an option to avail of shorter-term loans can be an attractive prospect. Moreover, many hard money loans have fixed interest rates that are lower than traditional mortgage loans. In some instances, they are given as balloon-payment loans where repayment is not done monthly but as a one-time payment, after a home is sold. Furthermore, loans for flipping homes are advanced to investors based on their ability to repay rather than their credit scores. That means a track record of successful flips can convince a lender to fund an investor’s next flip even if he or she has bad credit. Finally, hard money loans can cover a significant part of the entire project’s cost for up to 90 percent of the cost of acquisition and renovation. Trevor Cole Commercial Corp.(TCC), a commercial mortgage company based in NYC, offers diverse financing options to clients Nationwide. TCC specializes in non-conforming loans for small businesses that unfortunately do not qualify for traditional financing, due to their low credit score issues.
Small companies need capital to grow, and to meet working capital shortfalls. However, when business owners apply for loans from lending institutions, many companies receive little or no financing. Apparently, lack of capital is one of the reasons for lost profits. A 2017 US Small Business Administration Office of Advocacy Report, specifically pinpointed insufficient financing as the main problem. As a result, 15% of companies, less than two years old, and 7% of companies, more than 16 years old incurred reduced profits. In the worst case scenario, lack of capital, can cause company's to close-their-doors. However, financial options are available for small companies with poor credit. Alternative lenders, such as TCC can provide nonconforming loans that help companies stay afloat, and improve their profitability. |
AuthorTrevor Cole Commercial Corporation of New York City specializes in procuring funding for large real estate projects, including multifamily properties and office buildings across the nation. Archives
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