Frequently Asked Questions

Here are some answers to frequently asked questions about getting a loan, and working with CapitalSource Small Business Lending.

• How long will it take for me to get my loan?
• How much will it cost me to get my loan?
• How much cash will I need to get my loan?
• Do I need to be a United States Citizen to obtain a SBA loan?
• Is CapitalSource Small Business Lending a broker or a direct lender?
• Is CapitalSource Small Business Lending a bank? Will I need to have my accounts and deposits with you to get a loan?
• How do I start the process? Whom do I contact?
• Does CapitalSource Small Business Lending lend everywhere in the USA?
• Can I deal directly with CapitalSource Small Business Lending, or do I need to go through a broker?
• Do you work with Brokers?
• I have had a bankruptcy in my past. Can I still get a loan?
• I hear the Fed has changed interest rates; when will my interest rate change?

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How long will it take for me to get my loan?

We pride ourselves on moving fast and efficiently. CapitalSource Small Business Lending can complete the transaction in as little as two weeks. However, it usually takes 30 to 45 days from signed commitment letter. But, it depends on several factors.

• Borrower responsiveness. The more responsive the borrower or broker is at providing us necessary information, the faster we can move
• Third party reports, like appraisals and environmental reports, typically take 30 days to complete. CapitalSource Small Business Lending is not in control of this. We will do everything we can to speed them along
• Sometimes we need to transfer licenses or obtain other government approvals for a sale or a business startup. This can take some time

How much will it cost me to get my loan?

Costs of origination vary depending on the loan type and structure. You will need to get an appraisal, and an environmental report. There are other costs like attorneys fees, etc. Closing Costs can usually be rolled into your loan. Your costs will be outlined in your commitment letter, and can be explained by your CapitalSource Small Business Lending representative.

How much cash will I need to get my loan?

This will depend on the loan type. In some cases, you may need no cash at all. For a purchase, you will need to contribute a portion of the loan amount in cash, and this will usually be between 10% and 25%. Your CapitalSource Small Business Lending Loan officer will help you structure the loan so it best fits your financial situation

Do I need to be a United States Citizen to obtain a SBA loan?

No, you do not need to be a U.S. Citizen. You must have legal residency status.

Is CapitalSource Small Business Lending a broker or a direct lender?

CapitalSource Small Business Lending is not a broker. We are a direct lender. We lend our own money directly to borrowers. There are no middlemen. We keep the loans we make in our own loan portfolio, and we will be servicing your loan the whole time we have it. So you will always deal directly with us.

Is CapitalSource Small Business Lending a bank? Will I need to have my accounts and deposits with you to get a loan?

No. You can keep your deposits wherever you like and keep your regular banking relationship.

How do I start the process? Whom do I contact?

You should contact a Business Development Officer in your area, or use the contact information on this web site. We will get back to you right away to talk about your requirement. You can also call 866.675.0101 to speak with someone directly.

Does CapitalSource Small Business Lending lend everywhere in the USA?

Yes, we are a national lender. We make SBA 7(a), SBA 504 loans, as well as conventional small business loans. We are a “preferred lender,” which means we can underwrite and close loans on behalf of the SBA anywhere in the USA. This is the highest level of authority any institution can earn from the Small Business Administration. It allows us to get your loan completed faster!

Can I deal directly with CapitalSource Small Business Lending, or do I need to go through a broker?

Yes, we are happy to deal directly with borrowers. More than half of our borrowers deal directly with us.

Do you work with brokers and other referral sources?

Yes, we are happy to work with brokers and other who refer loans to us. CapitalSource Small Business Lending provides a written fee agreement to brokers and guarantees their fee will be paid. We pride ourselves on paying brokers quickly when a transaction closes. All we ask of our broker affiliates is that they allow us to work directly with the borrower in the closing process. We have found that this allows us to close loans much faster and more efficiently because we can get necessary paperwork completed faster.

I have had a bankruptcy in my past. Can I still get a loan?

Yes! We will review your credit history, and work with you to understand the reason you had a bankruptcy. A bankruptcy does not exclude you from obtaining a loan if you have valid reasons, and if you have taken good care of your credit in recent years.

I hear the Fed has changed interest rates; when will my interest rate change?

All interest rates are adjusted on the first of the month, to the current interest rate as of that date. For example, if the WSJ Prime or LIBOR index changes on September 18th, the rate on your loan will change October 1st to the rate that is current rate as of October 1st, and your payment will change November 1st (once the new rate has been reflected on your loan). Your interest rate will only change on the first of the month, rather than changing whenever the indices change.