US Technical Ceramics, a small business manufacturer in Morgan Hill, CA, needed a solution for a looming balloon payment on a commercial loan debt. The company manufactures structural ceramics for a variety of industries and was looking for capital to expand.
The company decided to enlist the help of CDC Small Business Finance for assistance with refinancing their existing business debt to secure a lower interest rate and better terms, effectively lowering monthly payments. CDC achieved this for the business by providing an SBA 504 Refinance Loan.
“The SBA 504 refinance program came at the right time. We were facing a significant balloon payment with our old loan. The refi offered a fixed rate over 20 years. It gives us more financial flexibility and allows us to allocate more dollars to initiative that will help the company grow and create new jobs.”
The total debt refinancing project cost was $3.7 million, with 90% refinancing and 10% injection from equity in the property.
CDC Small Business Finance offers refinancing of commercial debt to business owners looking to lower their monthly payments, boost cash flow and grow their business. CDC will work with you from start to finish – through navigating refinancing terms, securing approval and finalizing your loan – to ensure you receive the best financing for your needs. Learn more here, or contact the local CDC Loan Expert in your area to discuss your business goals.