| Borrower | Industrial contracting company |
| Property | Unfinished office/warehouse facility |
| Location | Rural Louisiana |
| Required value | $8.5M |
| Request | ~$6.75M |
| Product | Construction-completion bridge, then USDA B&I |
The problem
About $1.7M of merchant cash advances, a roughly $658K payroll-tax liability on a payment plan, a rural location, and a building that wasn't finished.
How we structured it
- Bridge first. A conditional approval for a $4.5M completion bridge: 10.25% interest-only, 24 months, non-recourse with standard carve-outs, about 53% of the required value.
- USDA for the long term. A USDA Business & Industry guaranteed loan of about $6.75M, with the guarantee requiring full-loan insurance coverage and subordination of an existing equipment lien.
- Re-placed when the bank walked. Days before closing, the bank backed out. We moved the package to a specialist USDA lender instead of starting over, and the loan closed.
What this means for you
MCAs and tax debt don't rule out government-backed financing if the collateral and the plan are solid. Expect it to take months, and expect setbacks. Persistence is part of the job.
In a similar spot? Get soft numbers on your deal
Why this deal was hard
Each one links to a full guide on how it gets solved.
Existing MCA debtHow stacked MCAs affect approval, why lenders worry, and how to build the payoff into a longer-term loan.How it gets solvedIRS or tax lienHow tax liens affect a new loan and how to pay off or subordinate them at closing.How it gets solvedUnfinished buildingWhy standard loans won't touch partially built property and how construction-completion loans work.How it gets solvedLender backed outWhy late fall-throughs happen and how to re-place a deal without starting over.How it gets solvedRural propertyWhy rural property gets declined or lower leverage, and the lenders and programs built for it.How it gets solved
Anonymized; amounts may be rounded. Terms as issued by the lender.