It has just occurred to us that we are one of the only short-term business lenders that capitalises interest beyond a one month term. So we’d like to explain to you our rational behind why it’s so beneficial for your client to have the option of Capitalising Interest (sometimes known as preparing interest) for the term of the loan...
As an example, if your small business client were to borrow $500,000 for four months to complete a building project, we think it’s fair to say that it would ruin their cash flow if they had to pay monthly interest payments on the short term business loan, plus pay their first mortgage.
For a project of this nature, you make your profit at the end once you’ve completed works, sold or refinanced. We all know that the number one reason businesses go broke is because of cash flow issues, and capitalising interest alleviates the strain on a business’s cash flow.
As an Added Bonus To Your Clients (Something That Only HomeSec Offer):-
Coming back to our original example, if your client has capitalised the interest for four months and they pay us back three months, then we will rebate 1 months interest back to them! How fair is that! :-)
This is why we get so much repeat business, and what it comes down to is common sense lending, which unfortunately isn’t all that common!
But at the end of the day, we want your client to THRIVE, not merely survive, and our product is here to help businesses profit and expand, and we have no desire to fund loan that isn’t going to serve your clients.