As we are out in the field talking to businesses and property owners, we are continuously looking for the right opportunities for our clients. Also, as prices for industrial properties continue to drop, striving businesses are getting excited about the opportunities to acquire property at discounted prices.
In the mean-time, while businesses are positioning themselves to obtain financing for these discounted buildings, many questions start to arise and much consideration must be factored in when choosing a bank to finance a building.
Therefore, we sat down with one of our preferred bankers, Jesus H. Leon, a Relationship Manager with Community Bank, to get a better understanding of what our clients need to consider when choosing a bank and what our client's should expect.
Mr. Leon stated that lending fundamentals at Community Bank have not changed, and that although some banks have pulled back due to various factors related to the current economic climate, Community Bank continues to lend money to qualified borrowers.
Some of the main things a business owner needs to consider when looking for a bank to provide financing are not only interest rates and fees, but also the bank's other services, capitalization, and liquidity. It is important that the bank provide a full array of banking services to take care of all your business banking needs, in addition to financing. Community Bank is specifically focused on meeting the needs of small to mid-sized businesses and is well capitalized to weather the current economic climate.
A business owner should know that today's interest rates are likely to be in the 7% range, a minimum down payment of 25% will be required for purchase financing without utilizing lower down payment SBA options, and that banks are less likely to fix their interest rate for more than 5 years.
The FDIC has compiled a list of private companies to provide independent ratings of financial institutions. To check your banks ratings, two of the agencies are listed below with their web links.
For more information please contact Gary Martinez at (714) 680-5102 ext. #12 firstname.lastname@example.org
Jesus H. Leon is Vice President and Relationship Manager with Community Bank. Jesus focuses on building longstanding commercial banking relationships with small to mid-size businesses in Orange County. He provides complete banking solutions, including lending, deposit, and cash management services. Jesus can be reached at (714) 704-2369 or at email@example.com.
Community Bank (www.cbank.com) is a Regional Business Bank, founded in 1945, proudly serving a broad range of Southern California clients with 13 offices located throughout Southern California. As one of the oldest and most respected banks in California, our business philosophy of "Partnership Banking" has helped us provide quality financial services to our clients throughout the years.