How to work with any private lender!

1. Provide us complete and accurate information on your deal.  Include tax returns, operating statements, rent rolls both current and historic, and tell us why the deal makes sense.  The rule of thumb on every deal is would you be willing to lend money on this transaction if you had the capability? If the answer is no, then why would we? You need to be objective.
2. If you have a commercial loan application be sure to fill every applicable blank and make sure to sign the application as well.  We are going to pull credit on the borrowers. No exceptions.
3. Provide a concise but complete story on your loan request. Tell us the meat and potatoes of the deal.  Big loan packages go to the bottom and scare us and make sure that the information presented is up to date. Do not send us documents that are over one year old.
4. Do not hide any problems. Tell us where the hair is in the deal.  We will find out and once we do our appetite to do the deal diminishes tremendously.
5. Give us the strengths and weaknesses of the transaction with all mitigating factors.
6. Provide pro-formas and budgets that are realistic.
7. Provide us biographical information including the activities of similar commercial properties in the area if possible.  A similar and successful experience is a big plus when considering a loan request.
8. Address capitalization, sponsorship and liquidity. Where is the money coming from to make the down payment, what reserves are available and provided, what are the sources of cash flow if there is a chance the property can’t cover the proposed debt adequately.
9. Tell us about the market of your commercial property.