Huntington Coast Capital Secures $1,000,000 Equipment Loan For A Distributor Of Water Station Vending Machines

Huntington Coast Capital Secures $1,000,000 Equipment Loan For A Distributor Of Water Station Vending Machines

Huntington Beach, CA: A company specializing in alkaline water vending machines was searching for an equipment loan to build the inventory required to meet new customer contracts.

Their water stations are designed for commercial and residential use. Their flagship commercial product is the WST-700 is a state-of-the-art water dispensing system that purifies drinking water to a very high standard and percolates it through layers of natural minerals to produce a soft, silky water in one, three and five gallon increments.

On the consumer side, the WST-100 is the first compact reverse osmosis water purifer with a built-in alkaline mineral cartridge. It percolates water through five beds of minerals to produce alkaline water in a very natural way.

Demand for their products has been increasing steadily over the past few months on both the consumer and commercial side. Huntington Coast Capital secured them an arrangement with a consumer lease company to manage the credit review, approval and management of the products sold directly to household users and an equipment loan purchase line to manage and fund their commercial business. Without the equipment loan products delivered by Huntington Coast Capital, they would have to turn away a lot of business and stall the company’s growth.

If traditional banks have declined your company’s equipment loan request, call us. Most business loans are approved through the private sector. If your search for financing has ended in a dead end, give us a call.

To your success!

Patrick

HCC Funds $1,300,000 In Business Loans In The Month Of December

HCC Funds $1,300,000 In Business Loans In The Month Of December

Huntington Beach, CA.  During the month of December Huntington Coast Capital secured a $650,000 equipment loan and two SBA loans for $500,000 and $150,000 for a total of $1,300,000 in business loans! The scenarios are outlined below:

  1. $650,000 equipment loan for a southern California contractor – The company was paying a high rate of interest on the equipment they used in their day to day operations – The high cost of financing was impacting their cash flow. They engaged Huntington Coast Capital for their equipment loan needs and we were able to reduce their financing costs by almost half, saving them thousands in monthly finance expense.
  2. $500,000 SBA loan for a growing company in the stencil business – The company produces custom stencils for any design and application. The company had an existing SBA loan and were looking to borrow an additional $350,000 to purchase additional equipment to meet growth demands. Huntington Coast Capital secured a $500,000 SBA loan to cover the equipment costs and refinance the existing SBA loan.
  3. $150,000 SBA Express Loan for a custom glass manufacturer – An established custom glass manufacturer was looking for additional funds for advertising and marketing to break in to new markets and broaden their customer base. They have a profitable business serving general contractors and are looking to expand in to direct commercial work.

Whether your business loan needs are for equipment purchases, inventory or general working capital demands, we can assist. We serve companies of all sizes from startup to established.

Business Loans And Knowing The Right Mechanic

Business Loans And Knowing The Right Mechanic

Huntington Beach, CA: My trip to the mechanic made me think about why it is important to have a business loan broker in your corner.

My car recently started misfiring and I took it to the local, large regional mechanic shop (name held anonymous out of professional courtesy) to have them take a look at it. This particular mechanic occupies a lot of space in a high rent district, offers coffee and cookies in the waiting area and an overall professional and sterile atmosphere. The mechanic bays where the specialists operate and solve problems for sick cars looks like it was created by Boeing itself.

After the expert diagnosis was delivered (my car needed new spark plugs and two ignition coils replaced) they provided the cost estimate. I thought to myself, “this is going to be steep” and I wasn’t disappointed. Total cost $682.17. Seeing that I need my car and can’t go more than a few hours without it, I reluctantly agreed. Their courtesy shuttle drove me home and would later pick me up.

When I returned to the shop, the mechanic came out and said, “your car is all done, but you really should replace the other ignition coils and your timing belt is showing cracks and can break at any second.” He went on to say, “the timing belt is a big expense costing roughly $1,200 and then of course the cost of the other coils would bring use to around $1,800 with labor.” I said I would bring it back as I needed to pick up my kids from school.

As I was driving to my kids’ school, my head still in a fog having gone through the surreal experience of knowing that you are not getting the whole story, but not having the knowledge to know for sure, I remembered my trusted Volvo mechanic. I went to this fancy mechanic because they can service the car the same day and I was in a urgent need to have my car back. Now that I had the time, I called my Volvo specialist and booked an appointment.

He replaced the timing belt and also took care of some other minor repairs that weren’t urgent but nice to have done (one of running lights was out, there was a slow leak in my right front tire, and an issue with the passenger side door handle). The short story was that all these repairs had a total cost of $365.00! This was the timing belt that was going to cost me $1,200 according to the fancy mechanic. By the way, the other engine coils didn’t need to be replaced and if they happen to misfire, you can take the car in at your leisure within 100-200 miles of running the car like that. Quite a different story than the high priced mechanic gave me.

Where am I going with this? I saved a few bucks and that is a great win for me personally, but what does it have to do with securing capital and business loans? A lot actually. You see, the high priced guys would never tell me about their competitor working out of a little industrial box charging 1/3 the cost. They would never tell me that replacing the other ignition coils wasn’t necessary (on the contrary, they urged me to). I saved a lot of money by remembering who else was out there, offering similar service and quality work for less.

Business owners in the market for equipment loans, purchase order financing, SBA loans or any other type of loan often enter the process blind. This exposes them to being taken advantage of and subject to convincing, yet biased, opinions of how to handle their funding needs. Direct lenders are experts at explaining the benefits of their financing, but would never tell you where to go to get a competitive quote.

As unbiased business loan consultants, we provide our clients with the confidence to explore their funding needs knowing that we, with our industry experience, knowledge and contacts, are working on their behalf. Do you know if you are about to pay three times more than you should? Is the loan structure being offered by your lender truly the best for your business?

Save yourself the time, energy and frustration of exploring your business loan options and leave it to us. We work with business owners and funding sources on a daily basis and have our fingers on the pulse of the debt markets. Give us a call and let us discuss your capital needs 714-719-8966

To your success,

Patrick Zazueta | Founder
Huntington Coast Capital, Inc.

Equipment financing, inventory financing, and working capital loans are easy to find right? Not if you’re in one of these two scenarios…

Equipment financing, inventory financing, and working capital loans are easy to find right? Not if you’re in one of these two scenarios…

Huntington Beach, CA: Business owners looking to obtain a business loan for equipment financing, inventory financing or working capital have many options to choose from. Capital is plentiful for companies on the rise and in need of financing to meet their growth potential. In fact, most of our clients come to us with equipment financing, purchase order financing, inventory financing, and working capital loan needs. Huntington Coast Capital has a extremely high success ratio in placing these loan requests.

However, there are a couple of situations where this may not be so easy. On a rare occasion we will get a funding request for a company in the medicinal marijuana industry. While the selling of marijuana is legal in some states, there is still a stigma attached to it, even if it is legitimately prescribed by a doctor. As you can imagine, obtaining funding for the growers and distributors in this industry, even if completely legitimate, is very difficult to secure. Some lenders simply do not lend in this industry and lump it together with other unsavory industries like gambling and adult content distribution. Is this fair? I have no idea. This article isn’t about providing an opinion on what the lender’s moral compass should be when analyzing loan requests in this industry. I can say, however, that finding a lender to fund your expansion in this business is very difficult. In fact, even with our extensive contacts in the industry, we only know of one. That’s right one. However, we were happy to have this contact when we received a call from a company in Colorado inquiring about an equipment loan along with funding for tenant improvements for his budding (no pun intended) business. The fact is that his cash flow and profit margins are extremely strong and his business could grow substantially with the right capital partner. Looks like we found them a solution after months of searching on their own in vain. A satisfying moment for us indeed. Now his Cannabis business is set to catapult to the next level!

The second difficult spot to be in is when you are looking for accounts receivable financing for consumer accounts receivable. The market is flooded with options for financing accounts receivable when you are selling business to business, but business to consumer is a ghost town. Most all lenders have the perspective that financing against these debt pools is risky and the credit process for business credit and personal credit is much more subjective and difficult to manage. I have to say, that I agree. To manage risk in this area requires having a specialty and sole dedication to the industry. Like other types of lending, you need to manage losses through diversifying the risk over several separate exposures and minimize credit to any one debt holder. However, this said, it is possible, just not popular among the lending community. As before, we have only one lender in this industry! We don’t come across these requests too often, but when we do, it is satisfying to say, “we may have a solution.”

Do you have a difficult loan request? Has everyone told you “no” because you fit one of the scenarios above? If so, we would like to speak with you!

Be on the lookout for our next blog article that features auto mechanics and why that experience also requires a knowledge of the options! I think we can all agree that we are paying too much for our cars to be serviced in most cases and it pays to know who else can do it for less!

Contact us 714-719-8966

HCC Now Active in Government Backed Business and Industry Loans

HCC Now Active in Government Backed Business and Industry Loans

Huntington Coast Capital is now offering Business and Industry Loans (B&I Loans) for rural communities.

The purpose of the B&I Guaranteed Loan Program is to improve, develop, or finance business and industry, create employment and improve the economic and environmental climate in rural communities.

Citizenship Requirement Individual borrowers must be citizens of the United States (U.S) or have been legally admitted for permanent residence. Corporations or other nonpublic body organization must be at least 51 percent owned by persons who are either citizens of the U. S. or reside in the U.S. and have been legally admitted for permanent residence.

An area must be rural to be eligible for the B&I Guaranteed Loan Program. A rural area is defined as any area other than a city or town that has a population greater than 50,000 and the urbanized area contiguous and adjacent to such a city or town. You can verify an address for rural area eligibility at http://www.rurdev.usda.gov/rbs/ and going to ERS-Rural Area Determination hyper-link.

Feasibility Studies are required for start-ups or if the project will significantly affect the borrower’s operation. Feasibility studies must be completed by a qualified independent consultant.

Collateral must have documented value sufficient to protect the interest of the Lender and the Agency. The collateral discounted value will normally be at least equal to the loan amount. Lenders will discount collateral consistent with sound loan-to-value policy.

For complete information on the program click this government website link: http://www.rd.usda.gov/.

For information on lenders participating in the program, visit us here.