Do you have to put up a building as collateral?
No real-estate collateral is required; the lender may ask for a personal guarantee or security on business assets. The security it requires is written in its offer, which you are free to decline.
Choose my amountThe answers
- Do I have to put up a building as collateral?
- No, no real-estate collateral is required. The lender may ask for a personal guarantee or security on business assets.
- What is a personal guarantee?
- A commitment by a person, often the owner, to repay if the business does not. Its scope is written in the lender’s offer.
- What is security on business assets?
- A right the lender takes over assets of the business, for example the equipment financed or the accounts receivable. The lender states which ones in its written offer.
- Do you present mortgage loans?
- No. The financing we present does not rest on any real-estate mortgage.
- Where is the required security written?
- In the lender’s written offer, with the total cost and the repayment schedule. You are free to decline it.
What the lender looks at
- Actual deposits, month by month
- With no building in the file, the deposits measure what the business can carry.
- Trend over the period
- The lender reads where revenue is heading, not what a building is worth.
- Payments to other lenders
- Assets already pledged to another lender must be declared.
- How long the business has been operating
- The lender sets its time-in-business thresholds, whether or not the business owns a building.
$0 upfront · 7% only if funded
An intermediary, not a lender.
The lender sets the final amount and its cost in its written offer.
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