Hard Money Loans For SBA Take-Out Transactions

To schedule a free loan consultation, please call (254) 230-0012 (for loans in Texas) or (503) 222-4466 (for loans in Oregon and other states).

SBA loans take time, and that might be time you don’t have. If you need money quickly, a hard money loan can provide the funds you need while you wait for your SBA loan to get approved and funded.

SBA Take-Out Transactions

An SBA take-out transaction is a financing strategy that’s commonly used in commercial real estate and small business development. Initial or interim financing is provided by a private lender, to speed up buying a property, renovation, equipment acquisition, or some other business goal. As the borrower, you would apply for an SBA loan in parallel with getting your short-term loan or shortly after. Once your SBA loan is approved and funded, you would use the proceeds to pay off (or “take-out”) the short-term loan. This allows you to convert your short-term loan into long-term, lower-interest, SBA-backed financing.

Long Turnaround Time For SBA Loans

The SBA take-out strategy is becoming increasingly popular, because SBA 504 loans and SBA 7(a) loans can take 45-90 days or longer to get approved and funded. That’s because the bank and the SBA require strict documentation, appraisals, environmental reviews, and underwriting reviews.

Short Turnaround Time For TriTalent Hard Money Loans

At TriTalent Funding, as a private lender, we’re uniquely positioned to quickly approve and fund bridge loans. We can typically provide loan approval in as little as 1 day and funding in as little as 7 days.

Hard Money Loans Flexibility

We don’t require the extensive documentation that the SBA and banks do, and we’re also able to fund unconventional deals.

Hard Money Loans For Construction Or Renovation

If you’re building or renovating a property, an SBA 504 loan will only fund after the project has been completed and fully documented. Our hard money loan, on the other hand, can cover the initial phase of construction and then be paid off by an SBA loan, once the required milestones have been met.

Hard Money Loans For Non-Financeable Assets (Initially)

You can also use our hard money loan to purchase a property that won’t qualify for SBA financing, initially. Once you’ve made improvements to the property (e.g. cured title issues, solved permit issues, secured additional leases), the property could then potentially qualify for an SBA take-out transaction.

The Advantages Of Hard Money Loans And SBA Loans

By combining the advantages of our hard money loan (fast funding) and an SBA loan (longer terms and lower rates), you’ll have the best of both worlds!

Types Of Hard Money Loans / SBA Loans

Our hard money loans, designed as an SBA take-out strategy, are often used for:

• real estate purchases
• machinery or equipment acquisitions
• business expansions
• business acquisitions

About TriTalent Funding Group

At TriTalent Funding Group, we’ve been providing private loans since 2004. Typically, our loans are for 1 year, with monthly payments (interest only) and no prepayment penalty. We can fund loans from $75,000 to $7 million.

For more information about hard money loans and SBA take-out transaction, or to schedule a free loan consultation, please call (254) 230-0012 (for loans in Texas) or (503) 222-4466 (for loans in Portland, Oregon, and other states).

Please note that we provide hard money loans throughout Texas, including: Dallas-Fort Worth, Austin, Waco, and San Antonio. We also provide hard money loans in Oregon (including the Portland area), Washington, California, Nevada, and Arizona.