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COMMERCIAL LOAN REQUEST FOR RATES AND TERMS WITH JUST THE BASIC LOAN SCENARIO JUST DOESN'T CUT IT.

Whether you are an experienced or inexperienced commercial or residential loan officer or broker seeking financing for you clients loan request, please keep in mind that no two commercial projects are the same. With that said, it is almost impossible to accurately quote a commercial loan rate with just a loan scenario. Unlike residential loan scenario's, commercial loans are structured completely differently. There are no black and white factors. This is because of the vast array of commercial products available today.  There are various ways in which to structure the financing for the loan project in order to meet investor's qualifying guidelines. And in most cases, loan request's can not be accurately quoted with just a scenario.  Sure, you can call a commercial lender or broker and give a scenario as you would residential, and if quoted a rate with terms, don't be surprised when time for closing is only hours away, and the loan program changes and is not what you thought you secured as well as qouted to your client and now your are faced with the reality of NOW WHAT!!!  And then it happens, there it is, oh yah!, the unbearable stress factor that comes in to play and quite heavily at that as you swipe the sweat beads that are forming on your forehead as you scramble through the mounds of matrices from the many commercial lending institutes that you hoarded for this very reason, and oh what a mess it is, the papers and matrices that are muddled all over and in your desk.

Well that maybe a bit over dramatic, but none the less, this happens.
Unfortunately this seems to happen much to often in commercial lending and most of this is due to lack of complete information and documents supplied at time of quote.

The end result, you lost a client as well as many more that could have been obtained by this client from referrals. Not to mention you and your companies reputation is also at stake. 

The commercial lending arena is a small one and you do not want to be black listed as a broker or loan officer and marked as one who does not know how to structure the commercial loan process correctly.

To ensure this does not happen to you and your company, make sure when you call your commercial lender for a loan request you ask what information and/or forms are needed in order to submit your loan request.  Most have this available online through their website. 

So when you place that next call to the commercial lender and ask for a rate quote based on your scenario, and they advise you to fill out the loan request or executive summary forms with as much complete information as possible, you will now know why this is so important. 
And, if by chance you are quoted  a rate over the phone, be cautious with what information you receive and proceed with caution carefully when and if you advise your client.

Your Commercial Finance Consultant.