Get Your Commercial Loan From the Right Bank

Getting a commercial loan from a bank is often an integral part of running a successful business. Commercial ventures find themselves in need of a commercial loan from time to time and their needs are often unique.

Finding the right bank starts by recognizing that banks come in all forms - commercial banks, credit unions, hard lenders and mortgage companies are all types of banks that can provide commercial lending to you.

It's important to get your commercial loan from the right bank. Let's look at some of the options available.

Commercial Loan from Bank #1 - Commercial Banks

Getting a commercial loan from a bank is a common choice. Commercial banks have flexible payment plans depending on your reason for borrowing money. Commercial mortgages payments can be weekly, bi-weekly, monthly, and even quarterly. Lines of credits can have payments that vary from month to month as can bridge financing.  Financing for a vehicle can have a varying term and payment.

Commercial Loan From Bank #2 - Credit Unions

If you prefer not to deal with a commercial loan from a bank, you can look at dealing with credit unions. Credit unions like to finance commercial ventures and will offer financing options and terms that are similar to those offered by the regular commercial banks. The difference is that with a credit union you become a member. Credit unions are owned and operated by members and are not for profit, which means unlike the banks profits are returned to the members.

Commercial Loan from Bank #3 - Mortgage Companies

Unlike a commercial loan bank, mortgage companies that deal with commercial mortgages are often flexible about other business financing. However, they can offer the best terms and interest rates.

A commercial lender will loan you the necessary funds to purchase the commercial property you are interested in. You can use the borrowed fund to purchase a business that already exists, develop a commercial property from scratch, or purchase the property that you are currently leasing.

If searching for the best rates and the best terms is not something you want to undertake yourself, you can hire a mortgage broker to help you. A mortgage broker can do all the hard work for you and then present you with the best choice available to you. Mortgage brokers are usually paid a percentage of the amount you are borrowing.

Commercial Loan from Bank #4 - Hard Money Lenders

A commercial loan from a bank is something most of us are familiar with. However, many business owners have no idea that hard money is available. Hard money is simply private investors. If you aren't happy with what the bank has to offer or you are unable to get funding from a bank, you should consider having a look at hard money lenders and what they have to offer.

Most private lenders are willing to take on a higher risk than traditional lenders. Sometimes for whatever reason a traditional bank will turn down the commercial loan but a hard lender may approve that same application.