At Semper it seems that our sweet spot is loans from $2,000,000 to $10,000,000. We can offer lower sums or higher sums but this is the range in which most of our loans sit.
Our favorite loans are short term bridging loans with a prearranged exits, where the interest component is built in to the loan sum, or 1-5 year commercial term loans where borrowers pay interest monthly.
Our rates of interest and fee are usually quite a bit lower than that of our competition. What’s more important is that we are flexible to deal with and understanding in default.
- Wealthy clients with waterfront property selling a valuable commercial asset that did not have a verifiable regular income, which prevented them from bank borrowing.
Semper provided a $5 million second mortgage for 9 months, behind a $10 million first to allow them time to market additional assets for sale.
- A developer sought $4,000,000 to settle a option prior to obtaining development finance
Semper provided the funds required to affect the acquisition and additional capital to fund pre-sale the completion of civil works and marketing to enable the developer to position himself for bank funding.
Commercial Term Loans
- A business forced into receivership by the bank that had provided $9 million in P&E loans amortized over three years (killing business cash-flow).
Semper provided a loan secured against real property in an alternate business to settle bank debt, on more reasonable terms.
- A company sought to improve cash flow by reducing its reliance on a debtor finance company that had started reducing the number o0f invoices they would finance.
The business owners held the commercial business premises in their Super Fund but as they were of retirement age Semper provided a loan to buy the property out of the Super Fund and release $600,000 in working capital.