VITAL is experienced in financing C&I businesses. We'll help you identify opportunities, analyze financials, and structure the best credit package.
Mitigate risk with loan guarantees through the SBA and USDA. VITAL understands the requirements and standard operating procedures, and our quality control processes protect guarantees for the life of the loan.
Through loan sourcing, origination, underwriting, closing, and servicing - VITAL is your partner every step of the way. We work closely with lenders and provide expert support for each stage of the loan process.
Over time, banks have trended away from C&I loans - loans to businesses that need to invest heavily in equipment and working capital. Commercial real estate (CRE) loans are often favored, and much of this is due to the time lenders have invested into mastering CRE transactions. The opportunity cost is lost know-how when it comes to working with C&I businesses like manufacturing and heavy construction companies.
But, over-concentration in commercial real estate is risky, and diversifying your portfolio with C&I loans is a smart strategy to begin implementing now.
If you haven't been making many C&I loans, it can be difficult to start. But, with VITAL as your partner, we'll bring you solid opportunities and work with you to structure the credit.
Here are some of the most compelling reasons to start expanding your C&I loan portfolio today:
1. Unmet need. The trend away from C&I loans has left a significant gap in the credit marketplace. There are many great opportunities not being captured.
2. Lower competition. With community banks chasing the same real estate deals, margins have gotten thin, and many of the good deals have already been funded. The focus on real estate often means less competition for C&I opportunities.
3. Higher returns. Competition for real estate loans drives down the margins. At VITAL, we have found that C&I borrowers are willing to pay a fair price for credit from a lender willing to understand and work with their businesses. C&I businesses often have ongoing credit needs, and utilize other bank services.
4. Risk mitigation. C&I businesses can be good candidates for loan guarantees through the SBA or USDA.