Hard asset secured lender’s fundings nearly doubled prior year’s performance
LOS ANGELES, CALIF. (Jan. 22, 2024) – Maxim Commercial Capital (“Maxim”) announced strong results for the year 2023. The hard asset secured lender reported an 86% increase in funded deals during the year as compared to 2022. Maxim is a national provider of loans and leases from $10,000 to $3 million collateralized by class 6 and 8 trucks, trailers, heavy equipment, and real estate.
Maxim also announced Michael Kianmahd has been promoted to Chief Executive Officer, effective January 1, 2024. He previously served as the company’s Executive Vice President for 12 years and succeeds Maxim’s Founder, Behzad Kianmahd, who remains as Chairman.
“Michael has been instrumental in the company’s successful growth,” noted Behzad Kianmahd. “He has spearheaded efforts to institutionalize our operations, including key projects in underwriting, collections, corporate development, and human resources. We are proud of his accomplishments thus far and the team he has built, and excited for him to lead the company into the future.”
Maxim’s growth during 2023 resulted from broadening its credit window as heavy-duty truck prices normalized after the extraordinary post-Covid run-up, increased demand from small business owners for growth capital, and less competition from alternative and conventional lenders.
Notable real estate-secured, cash-out financings funded during the year included a $100,000 term loan for a Florida-based optician with 35 years’ experience, enabling him to relocate to a larger store in a better location and providing working capital. The loan is secured by a junior lien on the borrower’s residence behind a favorably priced first mortgage. Maxim also closed a creatively structured $280,000 term loan for an entrepreneur to fund working capital for a startup business without diluting his equity. The loan is secured by a junior lien on a leased single-family home in Venice, CA owned by the entrepreneur.
Truck financings during the period included loans and leases for experienced and startup owner operators in 39 states across the U.S. Transactions included purchase financing for: an experienced owner-operator with good credit to buy a 2020 Volvo VNL64T740 with 516K miles for $67,500; a startup owner-operator with challenged credit to buy a 2018 Freightliner Cascadia with 557K miles for $43,308; and an experienced owner-operator with challenged credit to buy a 2018 Freightliner Cascadia 125 with 556K miles for $46,565.
“I am humbled and honored to be part of this great team as its new CEO and look forward to continuing to build Maxim into the future,” said Michael Kianmahd. “We are optimistic for a strong 2024 given the general expectation that the economy will avoid a deep recession, inflation appears to be subsiding, and interest rates will normalize. On-shoring and near-shoring trends should positively impact our customer and referral bases. And, as banks continue to retreat given portfolio challenges, Maxim will be in pole position to provide alternative financing solutions to the market.”
About Maxim Commercial Capital
Maxim Commercial Capital helps small and mid-sized business owners nationwide by providing loans and leases (“financing”) from $10,000 to $3 million secured by trucks, trailers, heavy equipment, and real estate. It funds equipment purchase financings and leases, working capital, and debt consolidations. Maxim’s more creative financing structures leverage equity in real estate and owned heavy equipment to facilitate growth and preserve customers’ cash. As a leading provider of transportation equipment financing, Maxim supports startup and experienced owner-operators and non-CDL small fleet owners by funding loans and leases for class 8 and class 6 trucks, trailers, and reefers. Learn more at www.maximcc.com or by calling 877-776-2946.