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Secured $850,000 in Working Capital for Expanding Business

Description:  One of our recent clients was a husband and wife team who were having considerable trouble obtaining financing.  Their prior business ventures had afforded them the luxury of early retirement and after a few years they decided to start a new business; a chain of retail candle stores.  They used their own capital to get the business started and opened two stores which performed better than projected in a very short amount of time. They went to multiple banks to obtain working capital to open more stores but with such a short time in business, they found it near impossible to obtain financing.  Fortunately, one of those banks referred them to Frankel Financial Corp. 

Solution: Noticing they owned a $1.3 million home with only a $250,000 first mortgage, we knew we could make this loan.  Since the borrowers had no earnings over the past few years, we needed to provide this financing without any income verification.  We refinanced the house for $850,000 and the borrowers walked with $600,000 for working capital. The interest rate was 5.625%.

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(215) 641-9700 • (215) 641-0498 • info@frankelfinancial.com