An Interesting Meeting in Denver! tagged:

An Interesting Meeting in Denver!

Posted by in Brian's Blog, Commercial Real Estate

One of my corporate relationships I have developed is with Firehouse Subs.  They are quickly growing across the country and I have become a favorite of their corporate office and many of their regional directors.  My goal is to fund 30% of their new store openings for this entire year.  Based on my current pipeline and the pace of new deals they have been sending, I believe I will hit it.

Well, they invited me to a corporate shindig in Denver and I took advantage of it to turn it into a long weekend.  At the event Thursday night, there was the founder of Firehouse, the head of franchising, CFO, etc.  There were a lot of potential recruits and there were 4 local banks with representatives there.  Well, I worked the room, met everyone and had some one on one time with each of these bank representatives.  WHAT I FOUND OUT CONFIRMED THE GREAT OPPORTUNITY WE HAVE IN FRONT OF US-not ONE of these banks, once I drilled them with hard questions, were willing to lend on a start up business only loan EVEN with a tier one franchise like Firehouse and even with the SBA guarantee on the 7A program!  One of these lenders was one of the top banks in the country-you all know their name.  Now here is the irony, ALMOST ALL FIREHOUSE SUBS LOANS ARE BUSINESS ONLY LOANS.  That means that there were 4 banks in the room and me and the ONLY ONE CAPABLE OF FUNDING A LOAN FOR THE POTENTIAL PEOPLE IN THAT ROOM WAS ME.  I fund these all the time, have one closing this week. 

You may ask, well why are they there if they really can not fund the loans?  Because most bank reps are salaried, they need to make it look like they are marketing and selling.  When a local business owner invites you to a networking event why not?  But the bottom line, these guys were NOT lending.  Only in very selected cases.  And this is our great opportunity in commercial.  Let me ask you this, residential loan officers….have you ever been to a networking meeting with 4 other LO’s and not one of them can possibly fund the deal?  Of course not, they have the same products as you. NOT SO IN COMMERCIAL.  Our top competition, the local banks, are on the sidelines and most reports make it clear that they will stay sidelined for the rest of this year….I saw this report just last week as reported in MarketWatch by Josh Lipton….

Commercial Loans Jeopardize Banks
The Congressional Oversight Panel reported Wednesday that commercial real estate loan failures could jeopardize bank stability.

The panel said most of the bad loans were made at the height of the real estate bubble and are concentrated at smaller banks, which make 40 percent of all small business loans.

“We haven’t seen the worst of the problems yet in terms of loan defaults. This is a large issue for a major portion of the banks out there,” said Matthew Anderson, a partner at research firm Foresight Analytics, which provided data for the report.

The banks being sidelined is GREAT news for us because we HAVE lenders that are lending.  There ARE SOME banks that are lending and some of them are beginning to open up and we have access to them.  So while the local banks struggle, we can make hay and garner HUGE market share.  Do you see it?  Do you see the opportunity?  You owe it to yourself to at least consider adding commercial as a revenue stream.  And I am here to help you. I provide a great tool for helping you explode in commercial, my .  On it you there is a live help desk (me) that helps you find a home for your commercial loans saving you hours, days and even weeks.  We tell you who can fund the deal and give you the name and number of the rep at that institution-this is a HUGE benefit.  In addition, there is training, marketing tools, even a bi-monthly tip to send out to commercial Realtors and clients.  All for just $199 a month!  It is a phenomenal price and the conference calls and tools can save you months and even years of getting acclimated in commercial.  I can even help close your loan for you, something I do not offer any more to brokers but my commercial hotline clients can take advantage of  this feature and we just split the fees at closing.  If closing commercial loans matters to you, you may want to check this website out.  Just click on the link below and explore it for yourself, if you have any questions, just give me a call at 866-355-1244.

Be blessed!