Maxim Commercial Capital (“Maxim”) saw increased demand across all lending programs during the third quarter 2021. Contractors nationwide are purchasing heavy equipment in response to a surge in infrastructure projects and the active construction industry. Entrepreneurs owning residential, commercial and industrial real estate are leveraging properties to fund immediate business opportunities, and owner-operators of class 8 trucks are upgrading and adding equipment to fulfill strong contracts.
“The private lending market is normalizing now that the PPP financing program is over and COVID-19 infection rates are declining in most markets,” said Michael Kianmahd, Executive Vice President. “With most students back in school and improving vaccination rates, it’s a very different world than a year ago. We are very optimistic for a stable Q4 and busy 2022.”
Maxim funded numerous truck purchases for start-up and non-CDL buyers with good credit and experienced owner-operators with challenged credit during the quarter. Representative transactions included a 2018 Freightliner Cascadia with 418,000 miles purchased for $70,200 by a start-up owner-operator with an 819 FICO; a 2017 International ProStar with 390,000 miles purchased for $58,570 by a non-CDL owner with a 795 FICO and his partner, with an experienced driver with bad credit; and, a 2015 Peterbilt 579 with 456,000 miles purchased for $53,374 by a newer owner-operator with fair credit.
Transactions for construction equipment included a $103,000 loan to a former client to purchase a 2015 Peterbilt 365 dump truck to expand his business. The borrower minimized his down payment by pledging his paid-off 2010 Peterbilt 365 dump truck as additional collateral. Other representative fundings were $39,400 loan to a Colorado-based contractor with challenged credit to purchase a 2014 Hitachi AX350 LC5 excavator, and a $105,300, 54-month loan to a start-up trucking and hauling company in Florida to buy a 2022 Kenworth T800 Tri-Axle dump truck, thereby eliminating its $3,000 weekly rental expense.
“Our borrowers’ demand for financing provides a good barometer for the post-pandemic recovery,” said Behzad Kianmahd, Chairman and CEO. “They are securing strong contracts, adding employees, and investing in additional equipment to grow their businesses. We are on a mission and very pleased to help them achieve the American dream of entrepreneurship.”
About Maxim Commercial Capital
Maxim Commercial Capital helps small and mid-sized business owners seize opportunity by providing financing in amounts from $10,000 to $3,000,000 secured by heavy equipment and real estate. Maxim facilitates equipment purchases, provides working capital, and refinances debt for companies across all industries located nationwide. Through Maxim’s tailored financing programs, businesses unlock capital tied up in underleveraged assets, often replacing expensive short-term debt and daily repayment working capital loans with longer term capital. As a leading provider of transportation equipment finance, Maxim funds up to 75% of the acquisition cost of class 8 and class 6 trucks, trailers and reefers for owner-operators and small businesses. Learn more at www.maximcc.com or by calling 877-776-2946.