Your Business Loan Options Are Just Around the Corner
We Are Ready to Work With You!
If you are considering a commercial loan, please consider the following:
- Commercial loans are not backed by a government entity like Fannie Mae.
- Interest Rates are typically higher than conventional rates.
- How will you meet the loan repayment terms?
- How much can or should be borrowed?
- How long will it take to get a commercial loan?
- What type of covenants and conditions are required?
- What kind of documents will be required?
- What if I want to sell the property?
- What are the “hidden” or total costs of the loan?
Bottom line, here at Alt Financial, we shoot for 100% transparency.
Feel free to call us for a FREE commercial loan consultancy. We will work hard to “earn” your business!
How to Apply for a Commercial Loan
Before you apply, gather the right documents. It helps speed things up and avoids delays.
Most lenders ask for:
- Business tax returns (last 2 to 3 years)
- Profit and loss statement (year-to-date)
- Balance sheet
- Bank statements (3 to 6 months)
- Business registration papers (LLC, Corporation, etc.)
- Purchase agreement or lease
- Rent roll (if buying a rental property)
- Personal ID and credit report
Start with clean and updated records. It makes your application easier to review.
What Property Types Can You Finance?
You can use a commercial loan for many types of properties in California. These are the most common:
- Office buildings (for your own business use)
- Mixed-use properties with stores and apartments
- Retail shops and strip malls
- Warehouses or light industrial spaces
- Apartment buildings with 5 or more units
- Auto repair or body shops
- Small motels or boutique hotels (case by case)
If your property is in a big city, it may appraise higher. That often helps with loan terms.
Loan Options Available Through Us
At Alt Financial Network, we offer loan programs that fit different needs and situations. Here’s what we provide:
SBA 504 Loans Ideal for buying a building you’ll use. Requires as little as 10% down. Long terms. Fixed rates.
SBA 7(a) Loans Good for buying, improving, or refinancing property. Can also help with working capital needs.
Traditional Commercial Loans Works well for income-producing properties. Choose from fixed or adjustable rates. Terms range from 5 to 20 years.
Hard Money Loans These close fast. They’re based on the property’s value, not just your credit or income.
Cash-Out Refinance If you own a property, you may pull equity out. Use the cash to grow or restructure.
What California Borrowers Are Financing Right Now
California businesses are using commercial loans to grow, save money, or invest. Here’s what we’re seeing:
- Many are buying buildings instead of renewing expensive leases
- Retailers are refinancing to lower payments or fund new store openings
- Investors are buying multi-family or mixed-use properties with strong rental income
- Borrowers with low credit or tax issues are using hard money to close quickly
Across the U.S., one out of three SBA 504 loans goes toward owner-occupied buildings. That number is higher in California. If your debt service coverage ratio (DSCR) is 1.25 or above, your approval odds improve.
Rates, Terms, and Loan-to-Value (LTV)
| Loan Type | Rate Range | Term | Max Loan-to-Value |
|---|---|---|---|
| SBA 504 | 6.5%–8% | 10–25 years | Up to 90% |
| SBA 7(a) | 7%–10% | Up to 25 years | Up to 85% |
| Traditional Loan | 6%–9% | 5–20 years | Up to 75% |
| Hard Money | 9%–12% | 1–3 years | Up to 70% |
Appraisals differ depending on many factors. These vary from your income, property location, and credit score. San Diego or San Francisco may give you higher appraisals, which can help terms work in your favor.
How to Improve Your Chances of Approval
You don’t need perfect credit to get approved. But doing a few things can help:
- Keep your credit score above 660 if possible
- Ensure that your finances are recent and easy to read
- Reduce extra debt before applying
- Show steady rental income if it’s an investment property
- Be ready with at least 10% to 30% down
- Ask for a pre-qual letter — it shows you’re serious
Being prepared, being organized, and being honest does count. The lenders must see that you’re ready.
Questions We Often Hear
Can I apply if my credit isn’t perfect?
Yes. We have options for borrowers with credit issues or limited income proof.
Can I apply through my business?
Yes. Most commercial loans are issued to LLCs or other business entities.
Can I get pre-qualified before I shop for property?
Yes. Pre-qual letters can be ready in 24–48 hours once we review your documents.
Will rental income help my approval?
Yes. Rental income is often a key part of getting approved for investment properties.
Let’s Plan Your Next Move
If you’re ready to buy, refinance, or expand, our team is here to help. We work with California business owners and investors every day. Let’s talk about your goals and find the best way forward.