Commercial Real Estate Financing
While most consumers promptly pay their bills, others appear to have forgotten that they even placed an order. The first down payment required from the consumer is just fifty percent of the total price, with the remaining amount being due upon delivery of the finished product. Payroll was having a hard time keeping up with the employees’ weekly payouts because some of the invoices were overdue by 30 days. If they are unable to continue paying their employees, they may have little choice except to begin declining sales.
The owner wanted to learn more about his available choices for obtaining a loan. They were aware that they had income coming in and that they would be able to pay it back once the invoice was paid, but they lacked the necessary equipment and assets to put down as collateral for the loan, which was a requirement for most loans. They also didn’t want a more extended repayment period that went on for several years.