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Financing -- Loans/fees & statements needed for a commercial loan

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Question
Dear Finance Guy,

Thank you very much for volunteering on this site, especially with your credentials!  

Please tell me what types of fees should expect when applying for a commercial loan?   (I am expecting application fee, origination fees, appraisal fees, underwriting fees.   What other fees would they charge me? ).

What types of financial statements would the bank require of me?

Thank you very much in advance!

Sincerely,

Pablo Durissimo
  Asse

Answer
If your lender is a typical commercial bank, expect total fees between 1 and 1 1/2 percentage points of the amount you wish to borrow.

Remember, you can always negotiate lower fees.

And lastly, competition is your friend.

Never, ever, apply only to one bank.

Apply to at least three that will give you a proposal.

Note:  You may have to apply to more than three to get three proposals.

Also, ALL TERMS and conditions are somewhat negotiable, so play one bank against the others to get the best deal for yourself.

Good luck.

Financing -- Loans

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Finance Guy

Expertise

1. All questions relating to finance 2. All practical aspects of mergers and acquisitions 3. Many general business questions

Experience

Considerable experience in the area consisting of 25 years in both consumer and commercial finance and business management, including 15 years specializing in international Mergers and Acquisitions with over $100 billion in assets acquired Education/Credentials Business administration undergrad Wharton post grad in finance Awards and Honors numerous corporate awards Past/Present clients range from small enterprenurial companies to large multinationals

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