£300k Secured Business Loan
£300k Secured Business Loan One of our Brokerplan network partners, Barbara Cação of CC Finance has recently closed a £300,000 business loan. They were approached by a client who had successfully launched a hotel in 2018 and was in the process of expanding into an adjacent premise – However, needed to cover the remaining costs of this expansion. The new premise had building works and fit out that had to be completed before opening, with the client struggling to find a lender who would support these costs of works. Security was available but ideally only as a 2nd charge to sit behind an existing commercial mortgage – with a full refinance deemed too expensive. Barbara Cação, Director of CC Finance said, ‘When approaching a specialist lender to fund the soft assets for the fit out it turned out they had an appetite to fund the entire deal, not least because we had shared a comprehensive narrative of the client’s funding requirement. Consequently, this not only enabled a maximum loan amount for the client but also boosted time to completion.’ A facility was found and put into place that met the following client requirements: A 2nd charge on the commercial premise as a repayment facility over 5 years. No charge on the client’s personal property. No re-valuation needed on the commercial property (existing report acceptable) Flexibility offered despite some adverse credit in the background of the company and an insolvent balance sheet An APR of just over 15% with a 0.5% arrangement fee. Speed – the facility was put into place within 4 weeks
£350k for Trucking and Repair Company
£350k for Trucking & Repair Company Invoice Finance Facility Network partner David Meacher-Jones of Dee Commercial Finance has recently completed on the transfer of an invoice finance facility from a high street bank, which restricted the lend on invoices to a number of key customers. The client also had another offer on the table from an alternative provider who lends at the required levels. We found another provider whose rate wasn’t the cheaper but the cost savings came through the service fee which would save the client c£6k p/a. This lender also bettered the high street in a number of other key areas. Increasing the maximum funding limit for drawdowns. Increased the number of factored accounts. Generated circa £50k of increased funding on day 1. Bettered the existing Lloyds pricing structure. Assisted them with an early exit by offering up to 3 months free on their new facility. It’s worth noting that with Invoice Finance as there are a number of other fees included, it isn’t always about the rate – There are a number of different reasons that people want to switch. So it is always worth understanding why the clients aren’t happy or what they are looking for in the facility.
October Network Deals
Brokerplan Network Deals £100,000 Commercial Loan Brokerplan network partner Bill Myhill of Jupiter Commercial Finance recently funded a £100k commercial loan facility. The client was a long-established business that had received a large corporation tax bill. This is just another way we have managed to help a client when unexpected bills arise and clients wanting to keep hold of cash reserves – we were able to structure this deal over 1 year which has given this client flexibility to be able to pay the bill off. £6.8 Million+ Residential Portfolio Refinance Network partner Darren Peacock of Peacock finance recently completed on residential portfolio refinance and capital raise of £6,886,750 with YBS Commercial Mortgages at 3.05%. £100,000+ SASS Pension Commercial Mortgage Network partner Michael Hughes of Complete Finance recently completed on a commercial mortgage for a pension scheme. The purpose of the loan was to transfer the client’s owner-occupied commercial premises into their pension scheme. The lender chosen in this case was Natwest Bank who provided a 20-year loan, for £100,000 plus fees added to the loan.
Brokerplan Recent Completed Deals
Brokerplan Network Deals £657,000 Development Site Brokerplan network partner Vast Commercial Finance have successfully raised funds for their client to purchase a development site in South London. The £657,000 deal was placed with United Trust Bank Limited. £60,000 Cashflow Facility Network partner Bowman Finance recently completed on a £60k cashflow facility with Iwoca, the deal was an unsecured capital & interest cashflow facility. The client was a family history research company that required funds very quickly to meet a redemption deadline with their existing lender and to inject cashflow into the business for expansion. £500,000 Commercial Loan Network partner STAG Capital Finance has completed on an commercial loan to fund the development of an industrial site plot and expansion of an existing self-storage facility. When complete this will generate an additional gross income of £60k per annum for the client. This deal was placed with Cambridge & Counties Bank.
Brokerplan Network Deals
Brokerplan Network Deals £340,000 Short-Term Bridging 2nd charge for a hotel on the south coast to expand its room offering by adding serviced apartments into the basement. The deal was handled very efficiently by Reward Finance Group and the client went away happy after months of frustration with their existing lender. £1.6M Commercial Mortgage One of our network partners Capital Sterling has recently completed on a £1.69m commercial mortgage with Aldermore Bank across a portfolio of retail assets for their client. £380,000+ Asset Finance One of our partners Andy Kerr has successfully raised £386,100 for their client to purchase an excavator. The vehicle was originally a german registration but situated in the UK, lender Investec completed on the deal prior to UK registration.
Recent Network Deals
Recent Network Deals £357,000 Village Pub Refinance One of our partners Jupiter Commercial Finance has successfully completed a commercial mortgage for their client, with lender Allica Bank! – The deal was a refinance of a village pub to clear a personal mortgage. £20,000+ Restaurant Refurbishment One of our partners has completed on an asset finance deal for a business trading just over 2 years. The client was looking to invest in furniture and equipment and increase capacity. We used 4 different suppliers on this deal so the customer has the flexibility to choose kit from their desired suppliers but can finance it all under 1 agreement with 1 monthly payment – This makes it easy for them to manage. £265,000 Refinance of Care Home One of our partners has completed on a refinance of a care home on the Isle of Wight, reducing the client’s interest by a third. Lender JMT went out when all others declined and provided a bespoke solution with further drawdowns for the client, a few ups and downs but after 14 months it completed.
2 Buy-to-Let Remortgages
2 Buy-to-Let Remortgages One of our network partners recently completed on 2 buy-to-let remortgages of properties that were unencumbered and in ownership of a previously trading Limited Company. The customer wanted to release equity from these properties to enable further property purchases. The total borrowing was £400,000 across the two properties, on a 25-year interest-only term. Due to the properties being owned in a previously trading company, now using a rental SIC code rather than an SPV set up purely for property ownership and rental, lenders were significantly limited. The best rates were offered by Lendinvest and CHL Mortgages, with LendInvest’s product being a ‘Green’ deal, suitable for properties with an EPC rating of A – C. One property’s mortgage went to LendInvest as it had an EPC rating of C, the second went to CHL Mortgages as it did not fit the green product, having an EPC rating of D. “Whilst the delays attributed to the legal issues were frustrating, the client was delighted with the rates we managed to secure and very happy with the overall outcome.” James Bradney Acumen Finance Both mortgages were granted AIPs and the applications progressed, however, there were significant delays during underwriting due to lenders SLA’s slipping due to demand and valuations. There were then further delays due to the remaining lease on property which had been extended, however, due to the impact of the pandemic, things are moving very slowly with solicitors and land registry this had not yet been reflected. This caused the offer to be issued ‘subject to the lease extension being confirmed’ which further delayed completion. This highlights the strain the on the industry as a whole with record numbers of applications being received and the follow-on effect that this has throughout the whole mortgage path. The commissions paid out to our network partner on these two deals were £957 and £807. To find out how you can broker commercial finance products and generate commissions – Visit www.brokerplan.co.uk/contact-us or call 0333 405 6666 to talk to our team.
Semi-Commercial Premises Purchase
Semi-Commercial Premises Purchase One of our network members recently completed on a £300,000 semi-commercial mortgage for the purchase of a business premises with attached rental accommodation. The loan required was £221,250 on a 10-year interest-only period. Initially, high street and challenger lenders were approached as the property is part owner-occupied / part investment, but the financial accounts were not strong enough. It was then decided to change the application structure by purchasing in individual names, then leasing to the company and a private tenant upstairs, however, the client had no commercial investment or recent Buy-to-Let experience. Following a slight down valuation and the Energy Performance Certificate (EPC) being below the minimum standard for letting, the client negotiated the purchase price down with the vendor and took on the cost of getting a satisfactory EPC assessment himself prior to completing the purchase. The lender chosen was InterBay due to their flexible criteria and willingness to work with the client’s situation. The client was offered a 10-year interest-only semi-commercial mortgage with a rate of 4.99%. The network partner received over £3.3K in net commissions! To find out how you can broker commercial finance products and generate commissions – Visit www.brokerplan.co.uk/contact-us or call 0333 405 6666 to talk to our team.
100k Business Loan for SME
£100k Business Loan for SME One of Brokerplan’s network partners Amil Parikh of Acumen Finance has recently closed a 100k business loan with lender IWOCA. The client in question is a UK SME limited company, providing heating and plumbing services, who have been trading for over 10 years. They advised that they required funding to free up cash flow for business payments coming up in the next few months. The deal was submitted to a number of business finance providers but ultimately settled with IWOCA who offered the best solution for clients’ specific funding requirements. IWOCA issued terms on the 4th and the deal paid out on the 6th – A swift turn-around for the client. To find out how you can broker business loans and other commercial finance products and generate commissions – Visit www.brokerplan.co.uk/contact-us or call 0333 405 6666 to talk to our team
£1.5M Portfolio Refinance
£1.5M Portfolio Refinance One of our Brokerplan partners recently completed a refinance on a property portfolio of 4 semi-commercial buildings in London. The loan totaled £1.5 million and was placed with a high street bank. A slight hurdle was able to be overcome, there was some difficulties with tenant arrears due to Covid, however, the lender took a flexible approach. The total commission received on this case was £11,250 – With £5,625 going directly to the Brokerplan partner who introduced the deal! To find out how you can generate commissions like these, join us for an upcoming webinar! You can view our upcoming events here
