Permanent financing refers to long-term funding for a business or commercial real estate project. It often replaces or follows interim or short-term financing used during the construction or acquisition phase of a commercial property. This type of loan is intended to be in place for an extended period, typically for the life of the asset or a significant portion of it, and provides stability and predictability for borrowers. Interest rates for permanent loans can either be variable or fixed.

Whether you are building a commercial property from the ground up, renovating an existing structure, or developing raw land, our construction and development loan programs have you covered. These loans are considered interim financing and short-term in nature. Loan payments are often interest-only during construction, and once completed, the loan either automatically converts to a permanent loan (“construction-to-perm”) or is refinanced into long-term debt – often based on the higher, as-complete value of the project.

Bridge loans are short-term financing solutions for those seeking quick access to funds for commercial real estate transactions or projects. They are known for their quick approval and funding process, making them suitable for time-sensitive transactions where traditional financing may either take too long to secure or for which the project may not yet be eligible. Interest rates for bridge loans are typically higher than those for traditional financing, reflecting the short-term and higher-risk nature of these loans.

Looking to acquire or expand an existing business? Interested in either launching a start-up or opening a franchise? Our business funding solutions are available for businesses across all industries to facilitate their growth plans. Business loan types include conventional loans, business lines of credit, government-guaranteed financing (SBA & USDA), equipment financing, and more.

Dixon Link Capital is experienced in helping borrowers navigate government-guaranteed financing, such as SBA and USDA loan programs, which can offer competitive financing terms for the right projects.

SBA loans are designed to support small businesses by providing access to financing for various purposes, including starting a new business, expanding an existing one, purchasing equipment, or acquiring real estate. The SBA offers various loan programs, including the 7(a) Loan Program (general-purpose loans), 504 Loan Program (for real estate and equipment), and microloans (small amounts for startup and expansion). Read our deep dive on SBA loans here.

USDA loans, specifically the Business & Industry (B&I) Loan Guarantee Program, aim to support rural businesses by providing financing for various purposes, including business development, expansion, and job creation. USDA loans can be used for a variety of purposes, such as purchasing land, buildings, equipment, and working capital. Loan terms and conditions depend on the specific project being financed. To qualify for USDA loans, the business must be in a designated rural area. Click here to see if your project is in an eligible area.

Hard money loans can be a valuable tool for real estate investors, developers, and businesses needing swift and flexible financing. Hard money loans are short-term, asset-based loans typically provided by private lenders or investors. These loans are known for their quick approval and funding processes, making them suitable for borrowers who need rapid access to capital and may have difficulty securing traditional financing due to credit issues, liquidity shortages, or the unconventional nature of their real estate projects. Interest rates on hard money loans are generally higher than those on traditional loans, which is why we help borrowers formulate a clear exit strategy, whether it be refinancing into permanent debt or selling the property.

Agency loans are provided or guaranteed by government-sponsored entities (GSEs), including Fannie Mae and Freddie Mac. These agencies play a crucial role in providing liquidity to the commercial real estate market and promoting the availability of affordable financing. Agency loans are able to offer larger loan amounts than what may be available through traditional financing, making them a great option for mid-large scale commercial properties. Interest rates on agency loans are competitive and available at either a variable or fixed rate.

Mezzanine financing is used in commercial real estate transactions to provide a layer of subordinate debt or equity that falls between senior debt and common equity in the capital stack. Our mezzanine programs help bridge the gap between the senior loan (often provided by a traditional lender) and the owner’s equity, offering additional capital for real estate projects.