Childcare Brokers can improve approval rates, lower interest rates, and better the loan terms for the borrowers. We knock down the hurdles that most experience at the local bank. We only do business loans for childcare centers. We help clients nationally.
To orchestrate a large financial transaction like the refinancing or financing of a childcare center requires an advisor who completely understands the business aspects of a childcare center and address the requirements that lenders have in deciding to give a loan. Childcare Brokers believes that you should use a specialist in financing childcare centers to refinance your childcare center.
Choosing the lender:
There are thousands of banks and lenders that make loans. But, it is difficult to know if they like the childcare center industry or not. We hand-pick lenders with lending guidelines capable of approving your loan. We have trusted relationships with aggressive lenders throughout the nation that finance childcare centers on a national basis. We have a database of every single SBA loan ever issued since 1990 so to find the SBA lenders that will provide the lowest interest rates. (To identify lenders who don’t like childcare centers, we also know all the SBA childcare center loans that have been charged off by lenders since 1990.) We also know the details on 90% of all commercial loans issued to childcare centers.
We know lenders. Since 1993, we have seen many bank and non-bank lenders come and go. We have seen many changes to lending policies and regulations. We have seen many of the people who are the commercial bank lending officers change from one lender to another lender multiple times.
Compelling Loan Request Proposal
Childcare Brokers prepares a comprehensive Loan Request Proposal detailing all the factors (on both your center and the childcare industry in general) in a compelling manner that increase values so the lender focuses on these factors.
- It shows the lender that the childcare owner is prepared and serious in refinancing, and positions the center favorably in getting the best rates and terms.
- It explains opportunities that could increase profits. These opportunities include both opportunities that the borrower knows of, and opportunities that Childcare Brokers brings to the table because of what we have seen to be successful at other childcare centers.
- It enables the childcare center to disclose weaknesses and address them, thereby preventing them from becoming issues that could increase lender agreed upon interest rates.
- We prepare the childcare center owner for discussions with the lender.
Identify Profit Improvements
We know the childcare industry, and have provided profit improvement consulting to many childcare centers that identified profit improvements by $20k to $30k, and up to $100k. We can show the potential lenders that profits could be higher in the future than they had been in the past. (Which is an additional reason to get a low interest rate.)
You likely know just about everything about your business, except how much it is worth, and how a lender views your business from their perspective! A new lender will require a business appraisal on all new SBA and USDA B&I loans. The results of the appraisal helps determine the interest rate offered by lenders. In addition to financing childcare centers, Childcare Brokers also specializes in selling childcare centers and has sold 35 childcare centers. We are experts in valuing childcare centers.
We target those lenders that provide low interest rates and good terms to the childcare industry, and to provide compelling information on our client’s childcare center so to lower those targeted lender’s assessment of the risks associated with repayment… of course, the lower the risks, the lower the interest rates! We help:
- Speed the application and approval process.
- Clients develop realistic projections using our expertise with childcare center financials.
- Provide the best financing solutions to clients, even if that solution doesn’t include us.
- Put the client’s best interest first.
- Assist clients throughout the financing process until closing.
We understand the complicated SBA guidelines and the SBA’s ever-changing standard operating procedures (SOPs). We know what can be done and how to get it done.