Knowledge Base

Commercial Loan Knowledge Base

Everything you need to know about commercial financing — from loan types to business growth strategies.

All Alternative Lending Borrower Education Borrower Metrics Bridge Loans CRE Financing DSCR Loans Documents Equipment & Acquisitions FAQ Industrial Loan Process Loan Types Multifamily Process Rates & Market Retail SBA Loans Strategy

43 articles

Loan Types 7 min read

Understanding Your Loan Terms

Interest rates, amortization, and fees explained

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Process 6 min read

How to Strengthen Your Application

Tips for approval and better loan terms

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Loan Types 6 min read

Commercial Real Estate Loan Guide

CRE loan types and requirements

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Loan Types 5 min read

Equipment Financing 101

How equipment loans work for businesses

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Documents 5 min read

What Documents Do You Need?

Common document checklist for commercial loans

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Process 7 min read

The Commercial Loan Process Explained

Step-by-step from application to funding

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FAQ 4 min read

FAQ: Common Borrower Questions

Top 10 borrower questions answered

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Process 5 min read

What Happens After Approval?

Post-approval to closing process

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Borrower Metrics 12 min read

What Is DSCR? The Borrower's Guide

DSCR (Debt Service Coverage Ratio) measures whether a property generates enough income to cover its debt payments. Learn the formula, lender benchmarks by loan type, worked examples, and strategies to improve your ratio.

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Borrower Metrics 11 min read

What Is a Cap Rate?

Cap rate (capitalization rate) measures a property's expected return independent of financing. Learn the formula, current cap rates by property type, how they relate to market conditions, and when cap rate analysis can mislead you.

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Borrower Metrics 12 min read

LTV Ratio Explained

Loan-to-Value (LTV) ratio determines how much a lender will finance relative to a property's appraised value. Learn the formula, regulatory limits, LTV by loan type, and strategies to lower your ratio for better terms.

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Equipment & Acquisitions 12 min read

How to Finance a Business Acquisition

Buying an existing business is one of the most reliable paths to ownership. Learn the four main funding sources, SBA 7(a) details, seller financing mechanics, and a step-by-step acquisition timeline.

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Equipment & Acquisitions 11 min read

Franchise Financing: Loan Options

Franchises are among the easiest businesses to finance thanks to proven models and SBA approval. Learn your loan options, what lenders look for, and the step-by-step path to franchise funding.

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Rates & Market 11 min read

Commercial Loan Rates in 2026

A comprehensive look at where commercial loan rates stand in 2026, what is driving them, and how to lock the best rate for your deal. Updated with current Fed, SOFR, and Treasury benchmarks.

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Rates & Market 12 min read

How the Fed Funds Rate Affects Your Loan

The federal funds rate sets the floor for every commercial loan. Learn how changes ripple through to your interest rate, which loan structures are most affected, and what the Fed is signaling for 2026.

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Rates & Market 13 min read

Fixed vs. Variable Rate: How to Choose

Fixed rates give you certainty. Variable rates give you savings when rates drop. Learn how each works, compare real scenarios on a $1M loan, and use our 5-step decision framework to choose.

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Borrower Education 12 min read

Personal Guarantee on Commercial Loans

Understand what a personal guarantee means for commercial borrowers, the difference between full and limited guarantees, what assets are at risk, and proven strategies to negotiate better terms.

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Borrower Education 14 min read

How to Improve Your Approval Chances

Master the 5 Cs of Credit that every commercial lender evaluates, strengthen each factor with targeted action items, avoid common rejection reasons, and prepare a bulletproof loan application.

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Borrower Education 13 min read

Prepayment Penalties: Defeasance, Yield Maintenance & Step-Downs

Understand the three types of commercial loan prepayment penalties---defeasance, yield maintenance, and step-down---with worked examples, cost comparisons, and strategies to negotiate better terms.

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CRE Financing 11 min read

How to Get a Commercial Real Estate Loan

A step-by-step guide to securing commercial real estate financing, from assessing your financials and choosing a loan type to navigating underwriting and closing.

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CRE Financing 12 min read

Commercial Construction Loans: Rates, Terms & How They Work

Everything you need to know about commercial construction loans: how they differ from permanent financing, current rates, draw schedules, interest-only periods, and construction-to-perm conversion.

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CRE Financing 12 min read

What Is a 1031 Exchange? Commercial Investor's Guide

A comprehensive guide to 1031 exchanges for commercial real estate investors, covering the 5-step process, strict timeline requirements, like-kind rules, boot taxes, and how to combine exchanges with financing.

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Alternative Lending 10 min read

Hard Money Loans: When They Make Sense

Hard money loans offer speed and flexibility when conventional financing falls short. Learn current rates (9.5-15%), typical terms, five scenarios where hard money is the right tool, and how to evaluate the tradeoffs before you sign.

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Alternative Lending 11 min read

Mezzanine Financing Explained

Mezzanine financing fills the gap between senior debt and equity in commercial real estate capital stacks. Learn how mezz works, current terms (10-18%), when to use it, and how it compares to preferred equity.

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Alternative Lending 12 min read

What Is Seller Financing?

Seller financing lets buyers pay the seller directly over time instead of through a bank. Learn how it works, typical terms (8-10% rate, 3-7 year term), how to combine it with SBA loans, and negotiation strategies.

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SBA Loans 6 min read

SBA 504 Loans: Rates, Requirements & How to Qualify in 2026

The SBA 504 loan program offers below-market fixed rates on commercial real estate and heavy equipment. Learn how the 3-party structure works, current May 2026 rates, and whether you qualify.

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Strategy 14 min read

CMBS Loans Explained

Understand how CMBS loans work, from securitization to prepayment. Covers terms, rates, pros and cons, and how CMBS compares to traditional bank financing for commercial real estate.

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Strategy 15 min read

Working Capital Loans for Small Business

Compare 5 working capital financing options for small businesses---SBA 7(a), lines of credit, term loans, invoice factoring, and MCAs---with rates, terms, qualification criteria, and warning signs of predatory products.

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Strategy 15 min read

Bridge-to-Perm Financing

How bridge-to-permanent financing works: the two-phase structure, bridge loan terms, permanent takeout requirements, exit planning, failure modes, and a comparison to standalone financing strategies.

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Multifamily 10 min read

How to Finance a Multifamily Property (5+ Units)

Learn how to finance a multifamily property with 5+ units in 2026. Covers Fannie Mae DUS rates, CMBS loans, DSCR requirements, and agency financing options.

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Retail 10 min read

Retail Property Financing: Loan Options for Strip Malls and Storefronts

Learn how to finance a retail property in 2026. Covers CMBS loans, anchor tenant requirements, cap rates, and strip mall financing options.

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Industrial 10 min read

Industrial & Warehouse Financing: What Lenders Look For in 2026

Learn how to finance an industrial or warehouse property in 2026. Covers CMBS loans, life company loans, DSCR requirements, and industrial market fundamentals.

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SBA Loans 6 min read

SBA 7(a) vs. Conventional Commercial Loans: Which Should You Choose in 2026?

SBA 7(a) loans and conventional commercial loans serve different purposes. This side-by-side comparison covers rates, terms, covenants, down payments, and a decision framework to help you choose the right product.

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SBA Loans 6 min read

SBA Loan Timeline: How Long Does It Really Take in 2026?

SBA loan timelines vary widely by product and lender. Here is a realistic breakdown of how long SBA Express (10-30 days), standard 7(a) (30-90 days), 504 (60-90+ days), and Microloans (14-42 days) actually take — and the 5 things you can do to close faster.

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Loan Process 11 min read

How to Write a Loan Request Letter

A practical guide to writing a compelling loan request letter with a proven 6-part template, example text for each section, and common mistakes to avoid.

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Loan Process 14 min read

What Happens During Underwriting?

A step-by-step breakdown of the commercial loan underwriting process, what underwriters evaluate, common denial reasons, and how long each loan type takes.

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DSCR Loans 16 min read

DSCR Loan Guide: How to Qualify, Calculate, and Use Debt Service Coverage Ratio Financing

The complete guide to DSCR loans — formula explained with examples, benchmarks by property type, qualification requirements (1.20–1.25x minimum, 680+ credit, 20–25% down), 5 strategies to improve your DSCR, and comparison vs. SBA 504.

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Bridge Loans 15 min read

Bridge Loan Guide: How They Work, What They Cost, and When to Use One

The complete guide to commercial bridge loans — costs (8–14%), qualification requirements, close timelines (2–4 weeks), comparison vs. traditional mortgages, and 5 real scenarios where bridge financing makes sense.

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Loan Types 6 min read

SBA 504 vs SBA 7(a): Which One Is Right for You?

Two SBA programs, very different structures. Here's the side-by-side breakdown and the decision framework that tells you which to choose.

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Loan Types 7 min read

How Bridge Loans Work in Commercial Real Estate

Bridge loans fill the gap between acquisition and permanent financing. Here's when they make sense, what they cost, and how to exit safely.

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Loan Types 8 min read

What Is an SBA 7(a) Loan? The Complete Guide

Everything borrowers need to know about the most popular SBA loan — who qualifies, what it costs, and when it's the right move.

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Loan Process 12 min read

Commercial Loan Application Checklist

A complete document checklist for commercial loan applications, organized by category and loan type, so you can submit a clean package the first time.

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Equipment & Acquisitions 10 min read

Equipment Financing vs. Leasing

Should you finance or lease your next equipment purchase? Compare ownership, costs, tax benefits, and monthly payments side by side to make the right call for your business.

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