Has anyone come across any Prime minus SBA lenders?
I am particularly curious about lenders that serve self-funded search structured deals.
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by a searcher
from Harvard University - Harvard Business School
in Miami, FL, USA
in Miami, FL, USA
1yr ago
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by a searcher
1yr ago
from The Johns Hopkins University in Philadelphia, PA, USA
from The Johns Hopkins University in Philadelphia, PA, USA
Though I haven't gotten a terms sheet below prime, I've heard of rates below prime by the big banks (Chase, TD, etc.) if they like your deal. This makes sense given large banks have lower cost of funds, and may be more willing to portfolio the loan.
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by an investor
1yr ago
from Washington University in St. Louis in Champaign, IL, USA
from Washington University in St. Louis in Champaign, IL, USA
Traditional acquisition with asset backing (no airball collateral coverage) would get below prime for strong deals from local and acquisition focused banks. Deal size vs traditional search would be the issue on larger banks like the one's you're referencing. I can't imagine there's a ton of interest outside of those bank's normal SBA teams for deals <$10MM EBITDA and >3x leverage, so you'd need to bring a big check.
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