Credit card debt can often get out of hand for small business owners, and when that happens, banks are not always able to assist.
When a friendly banker was unable to help a local liquor store obtain a credit card debt refinance to lower the liquor store owner’s rate, the banker gave Radix Financial Group a call. We saw the potential immediately. Not only were we able to refinance $106,000 worth of credit card debt, but we were able to help the borrower obtain $19,000 in working capital as well!
While most banks looked at the borrower’s recent divorce and saw a major red flag, Radix was able to appreciate the business’ underlying value. The liquor store is a longstanding community fixture, and has turned a profit for five years running.
Further, we saw that the borrower would be able to free up some much needed cash flow with an SBA express refinance. Previously, the borrower was paying off his credit card debt with a minimum monthly payment of $3,443. With a new interest rate of 6.75%, we lowered his monthly payment to $1,388, thus freeing up nearly $25,000 for the tavern owner to invest in making his business more profitable on an annual basis.
To learn more about the different financing options we offer, contact a Radix representative today.
4/21/2017 08:35:02 am
Financial advisers exist in order to inform and direct the wealth management of individuals and occasionally businesses. This is a highly useful service for many people who might have one way or another amassed a large amount of wealth but are not necessarily aware of how best to invest it or spend it. This is often the case particularly for those who come across large amounts of money over a very short period of time - perhaps as an inheritance, as a divorce settlement, as a retirement package, or even as winnings. In such a situation there are countless things you can do with your money and it pays - literally - to get some professional advice on which route to go down.
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