Deal Narrative
This business received a 7A Express loan solution from Two Smith Capital, to gain working capital. The use of proceeds was for an expansion of their business. They have been deemed creditworthy by SBA banks and their gross income did exceed $450,000.00. Therefore, the business qualified for the SBA’s full amount of $150,000.
Loan Product:
7A Express loan
Two Smith Product Clients:
Single Loan Product
Business Industry:
Food Industry
Business Naics Code:
454390
Adjusted Business Gross Revenue 2021
$760,000
Loan Terms:
7A Express Loans do not have lender term sheets but the following are typical terms:
10 Years (120 months)
Rate: Wall Street Journal Prime Rate (Variable) + 2.75%
Prepayment Penalty: NONE
Collateral: NONE
Closing Costs: 5%
Secured or Unsecured: Unsecured
Loan Pre-Approval Amount:
$150,000
Deal Outcome:
The loan was pre-approved for $150,000 and can be completed within 15 business days after the file is submitted with all documents. The deal required proof of corporate registration, general liability insurance, asset attestation, and other simple compliance forms.
Recommendations
If needed, we recommend taking advantage of the ERTC funding, a personal loan, or developing a deeper relationship with Two Smith for commercial real estate financing.