Build, refinance, or expand your hotel, motel, or resort with hotel financing from NV Capital Corporation in Las Vegas, NV. Before you can welcome guests and bring in profits, you’ll need a funding source that works for you. Many types of commercial loans depend on your credit rating, available assets, and business plans. Hard money private lending might just be the solution you need to act fast on opportunities, even when the banks say no.
SBA Hotel Loans
If you are a highly qualified small business, you may want to start with SBA loans. Because the SBA partially guarantees these loans, banks see them as less risky. This makes them easier to qualify for if you have great credit, want 10, 20, or 25 years to pay it back, and need up to $20 million.
You can usually use these loans to purchase existing hotels, buy land, renovate your business, or refinance your existing hotel loan.
Qualifying For SBA Loans
Requirements to get approved for this type of business lending will depend on whether you apply for an SBA 504/CDC or 7(a) loan.
- Meet SBA’s Size Standards For Small Business By Industry
- Have A Net Worth Less Than $15 million
- Have An Average Net income Less Than $5 million
- Meet Owner-Occupancy Requirements
- Create Or Retain Jobs
- Operate For Profit
- Credit Score Of 650+
- Minimum Business Revenues Of $100,000 Per Year
- Proof Of Profitability
- Debt Service Coverage Ratio Of 1.15 Over $350,000
- Assets Available As Collateral
Business Lines Of Credit
If you want a hotel loan that provides you with a revolving credit pool you can access as needed, you may want to consider a business line of credit. Most of us are familiar with how credit lines work. You can repay what you borrow over a long or short-term, knowing that the longer you take to pay, the more you pay in interest. You can typically borrow between $10K and $1 million and take between six months and five years to pay it back.
- Can Be Better For Less Established Hotel Businesses
- May Be Easier To Qualify For
- Have An Annual Revenue Of At least $180,000
- Have A Credit Score Of 630+
- Be In Business At Least 1 Year
Commercial Real Estate Loans
Traditional bank commercial real estate loans can be easier to qualify for than SBA lending, with more flexibility than a line of credit. If you are approved for a bank hotel loan, you can usually take up to 25 years to pay it back. The bank will want information not only on your creditworthiness but also about the property you plan on buying or building.
Hotel Bridge Loans Or Hard Money Loan
If you’re not sure you’ll qualify for bank or SBA hotel lending and a business line of credit won’t meet your needs, we invite you to consider hotel bridge loans or hard money lending. We may even be able to help you if the bank has already told you no. Private money is easier to apply and qualify for and funds much faster than most traditional commercial real estate funds.
- Buy, Refinance Or Renovate Hotels
- Short-Term Or Interim Financing
- Your Commercial Real Estate Can Serve As Collateral
- Fast Application Process & Funding
- Borrow Up To $20 Million
- Competitive Interest Rates
Direct Hotel Lending In Las Vegas
Don’t let a no from the bank or SBA put your hotel, motel, or resort investments on the back burner. Act fast on opportunities as they arise. Contact us at NV Capital Corporation in Las Vegas, NV today to start your hotel loan application or speak to a loan officer.