A hard money loan is a specific type of asset-based loan financing in which a borrower receives funds secured by the value of a parcel of real estate. Hard money loans are typically issued at much higher interest rates than conventional commercial or residential property loans and are almost never issued by a commercial bank or other deposit institution. Hard money is similar to a bridge loan which usually has similar criteria for lending as well as cost to the borrowers. The primary difference is that a bridge loan often refers to a commercial property a investment property that may be in transition and does not yet qualify for traditional financing, where as hard money often refers to not only an asset-based loan with a high interest rate, but possibly a distressed financial situation, such a arrears on the existing mortgage, or where bankruptcy and foreclosure proceedings are occurring.

Many hard money loans are made by private investors, generally in their local areas. Usually the credit score of the borrower is not important, as the loan is secured by the value of the collateral property. Typically, the maximum loan to value ratio is 65%-70%. That is, if the property is worth $100,000, the lender would advance $65,000 -70,000 against it. This low LTV provides added security for the lender, in case the borrower does not pay and they have to foreclose on the property.

Click To Apply for 504 SBA Loan

A big part of our business is providing the “Hard Money” or “Bridge” loan option. This is not the perfect product for every scenario, but it is a quick and effective way to fund a deal. Our Funding Partners have access to a large portfolio of private investors that want to diversify their money in this fashion. We feel that hard money loans are an important alternative for many who own, buy, and invest in property and real estate projects. If you feel that this product may be a good fit for you, please fill out our online application and we will contact you to discuss.

Transportation, Manufacturing & Personnel Staffing Industries:

Our funding group has decades of experience in the transportation, manufacturing and personnel staffing industries and understand the financing needs of these industries.

From $25,000 to $3 Million (larger amounts possible)

Immediate cash is available for invoices. Same day availability for cash based on collections

Our funding group offers up to an aggressive 90% advance for transportation companies. Example: $100,000 in Accounts Receivable equals $90,000 immediate cash advance.

If your business is in the manufacturing or personnel staffing, please email us to find out what advance percentage your business may qualify for.

Click Here to Apply Online

8 out of 10 businesses lease some or all of their equipment. It makes good business sense. Here's why...

1. Conserves Capital - Leaves you free to invest in other parts of your business to yield higher returns
2. Preserves Bank Credit Lines - Leasing won't affect your borrowing capacity with banks and other lending institutions
3. 100% Financing - Not only on equipment, but on soft costs like installation and training which can be rolled into your monthly lease payment
4. Flexibility - A variety of lease plans including seasonal to skip payment plans may be tailored to fit your needs
5. Possible Tax Benefits - In certain cases, lease payments may be fully tax deductible as an operating expense. Check with you accountant
6. Small down payment - Typically only on two monthly payments are required down

Contrast Cash vs. Bank Loan vs. Leasing Purchase Plans and you'll agree Leasing is the Way to Go!

We offer an Equipment Lease Program that allows businesses to lease their equipment instead of paying cash or getting a bank loan. Our leasing limits are a minimum of $10,000 and as much as $100,000 per client. This allows the business owner to conserve capital for other expenses, such as running their business. Most of our clients chose the “$1 Buy Out” feature, which means that at the end of the lease, the equipment can be purchased for $1. Leasing also carries many tax advantages, so please check with your accountant to find out whether leasing is the best option for you and your business. These lease programs can be customized depending upon the business owner’s needs and situation. Our leasing capabilities are limited by certain state restrictions and limitations and we are usually unable to assist if there has been a Bankruptcy within the previous 3 years, the credit score is below 600 and there is negative net worth.

However, our funding source has a very aggressive underwriting process. They actually analyze the credit report, not just the score, so often times we are able to help start-up businesses where most can not.

As well, Aspire Funding Group has a strategic relationship with a Funding Partner who specializes in large equipment leases, meaning $100,000 up to $100 million. There are many large manufacturing operations that need to use a lease program for equipment because the cash outlay for something that large would cripple their operational capital. Our group has the expertise and funding sources to handle a large project. If you have any questions or need to speak with us about your leasing needs, please use our Contact Us page.

Restaurants tend to represent a greater amount of risk than most industry types.

1. Start-ups will be considered.
2. Additional locations, i.e. branch locations or moves of existing restaurants to new locations, will only be considered if the underlying credit warrants consideration.
3. Lessee should be D & B listed.
4. Minimum FICO is 660 and owner(s) should have a residential mortgage.
5. Minimum average bank balance is a medium 4.
6. Applications greater than $25,000 will generally require 2 years business tax returns.
7. Only essential use equipment will be considered, preferably hard assets.

Our Private Label Lease Program is a phenomenal way for your business to provide the lease option to your customers in a way that really makes your business stand out. We will take the time to understand your operation and create a lease program that will work for you and your customers. Our program will allow you to offer leases as small as $1,500 and as high as $100,000). The perception of this program with your customer base will project a clean and corporate leasing program with your company’s logo at the top of the documentation. We will explain the quoting, pre-approval, underwriting and payment process so that you and your staff can deliver a program that really works. Our funding source is aggressive and fair at analyzing the credit of your customers. Our Leasing Company has an efficient and time proven underwriting process that works and can turn leases around quick so that you can get paid and your customer can get their equipment quickly. We can even design the program so that 20% of their soft costs can be rolled into the lease; this is a “win-win” for everyone. Since this is a custom program, there are certain restrictions and limitations per state, so please send us an email through our Contact Us page. We will call you back and discuss this program and how it can work for your company!

Our Sale Lease-Back product is popular with many industries; however, restaurant owners seem to use it the most because it allows them to use the equipment that they own to create working capital for the business. Many business owners often find an opportunity to expand their current business or possibly open a new operation but don’t have the capital to do it. This program gives them that option and they don’t have to go to a bank to do it. In order for this to work, the equipment must be owned free and clear and the business owner must be able to prove ownership. Our funding source can fund up to 60% of the equipment value. Basically, the business owner sells the equipment to the leasing company and then the leasing company leases the equipment back to the business. This creates a significant amount of cash for the business (which is paid at closing) and then the payments can be spread out over 60 months. It is important that the business be able to support the lease payments so there has to be good cash flow for this to work. This can be done for many types of industries, not just restaurants, so if your business needs quick capital and to take advantage of a great opportunity, we can help. This is program has certain restrictions and limitations, so if you are interested in learning more, please contact us using our Contact Us page and we will call you to discuss the program and how we can possibly help.

Equipment Cost $10,000 To $15,000:
Parameters: Minimum Standard
Time in business: Start-ups will be reviewed based on borrower’s strength
Bank Average Balance: Low 4 figure (never required if FICO > 700
or > 5 years confirmed time in business)
FICO Score: 620

Equipment Cost $15,001 to $25,000:
Parameters: Minimum Standard
Time in business: Start-ups will be reviewed based on borrower’s strength
Bank Average Balance: Medium 4 figure (never required if FICO > 700
or > 5 years confirmed time in business)
FICO Score: 620

Equipment Cost Up To $25,001 to $50,000:
Time in business: Start-ups will be reviewed based on borrower’s strength
Parameters: Minimum Standard
Time in business: 4 Years
Bank Average Balance: Low 5
FICO Score: 640

Equipment Cost > $50,000 up to $100,000:
Parameters: Minimum Standard
Time in business: Start-ups will be reviewed based on borrower’s strength
Bank Average Balance: Medium 5
One commercial lease/loan reference Comparable to application amount
Lessee should be D & B listed Minimum paydex of 70
FICO Score: 640
Financial Statements may be requested

Click Here to Apply Online

The Small Business Administration (SBA) 504 loan program was created to help small to mid-sized business owners acquire commercial property without the financial hassles. While this program is less-used and very little understood, in order to qualify, over half (51%) of the property must be occupied by the borrowers within one year of ownership. To qualify for this program, U.S. citizens or permanent residents must hold a majority of the ownership of the operating companies and the holding company.

A 504 project includes a loan secured with a senior lien from a private-sector lender covering up to 50 percent of the project cost, a loan secured with a junior lien from the CDC (backed by a 100 percent SBA-guaranteed debenture) covering up to 40 percent of the cost, and a contribution of at least 10 percent equity from the small business owner.

Proceeds from 504 loans must be used for fixed asset projects such as: purchasing land and improvements, including existing buildings, grading, street improvements, utilities, parking lots and landscaping; construction of new facilities, or modernizing, renovating or converting existing facilities; or purchasing long-term machinery and equipment. The 504 Program cannot be used for working capital or inventory, consolidating or repaying debt, or refinancing

Interest rates on 504 loans are pegged to an increment above the current market rate for five-year and 10-year U.S. Treasury issues. Maturities of 10 and 20 years are available. Fees total approximately three (3) percent of the debenture and may be financed with the loan.

The project assets being financed are used as collateral. Personal guaranties of the principal owners are also required.

To be eligible, the business must be operated for profit and fall within the size standards set by the SBA. Under the 504 Program, the business qualifies as small if it does not have a tangible net worth in excess of $7.5 million and does not have an average net income in excess of $2.5 million after taxes for the preceding two years. Loans cannot be made to businesses engaged in speculation or investment in rental real estate.

As specified by our lender, the following is a list of when a borrower is eligible and ineligible SBA 504 product

SBA 504 Loans: How to Qualify for 504 Loan Program

Eligible Borrowers:

• For-profit, non-publicly traded businesses.
• Tangible business net worth (including affiliates) not to exceed $7.0 million.
• Average net income of the business not to exceed $2.5 million over the previous two years.
• Personal liquidity of each principal/guarantor not to exceed the total project costs of the proposed 504 loan.
• Ownership must be comprised of 51% U.S. citizens or resident aliens (Legal Permanent Residents).

Ineligible Borrowers:

• Non-profits (except sheltered workshops).
• Passive holders of real estate and/or personal property.
• Lending institutions (mortgage brokers and correspondent lenders are eligible).
• Life insurance companies (however, franchised agents are eligible).
• Businesses located in a foreign country or owned by aliens.
• Businesses selling products/services through a pyramid plan.
• Illegal businesses.
• Gambling concerns.
• Businesses which restrict patronage.
• Government owned entities (excluding Native American Tribes).
• Businesses engaged in promoting religion.
• Consumer and marketing cooperatives (producer cooperatives are eligible).
• Businesses engaged in loan packaging.
• Businesses owned by persons of poor character.
• Businesses providing prurient sexual material.
• Businesses that have previously defaulted on a Federal loan.
• Businesses engaged in political or lobbying activities.
• Speculative businesses.

If your business didn’t make this list, then it’s probably acceptable.

Ineligible Use of Funds: (talk with us about using a SBA 7a product)

• Refinancing (unless debt has been in place for less than 9 months)
• Working capital.
• Inventory.
• Rolling stock.
• Business "good will" (common in business acquisition financing).

1. Aspire Funding Group will work with the borrower to help them understand the process with a personal touch while keeping close communication on the progress of the loan. We are entrepreneurs, so we know how frustrating this process can be, we’ve been in “your shoes”.
2. Our lender can extend Ninety Percent (90%) Financing of the total project costs for commercial real estate purchases.
3. Business owners can save on interest expenses by not accepting market interest rates when below market, fixed interest rates are available with this 504 loan program.
4. Longer loan amortizations allow for smaller monthly payments, which have less impact on business cash flow. Furthermore, since prepayments are always allowed (generally up to 20% of the principal balance during the first ten years), business owners can have the best of both worlds — smaller monthly payments for when times are tight, but able to prepay when excess cash is on hand.
5. When the business owner puts in 10% equity, they are able to get below market interest rates and longer loan amortization versus traditional lending. This means that the business owner has more cash flow to work with.
6. There are benefits to owning commercial real estate instead of leasing. Owning typically has an immediate reduction of up to forty percent (40%) on real estate expenses.
7. Financing closing and other soft costs with our 504 loan helps keep out-of-pocket expenses to a true ten percent (10%) minimum in order to preserve more capital for other uses.
8. No balloon payments, or calls enable borrowers to have more control, more peace of mind.
9. Closing in as little as 45 days allows business owners to take possession of their new asset and start reaping the advantages.
10. Our lender does not require other banking products or services in conjunction with the 504 loans. Our lender is a non-depository financial

As specified by our lender, the following is an explanation of each portion of an SBA 504 loan.  Below that are examples of SBA 504 Loan Project Costs and Loan Structures provided by our lender:

Project Cost and Structure Example:

SBA 504 Loan Structure Example:

The following is a detailed comparison of the two largest SBA financing programs.

Click To Apply for 504 SBA Loan