Small Business Lending
We understand that small businesses are critical to the health of the economy and are at the heart of our communities. They provide goods and services to residents, create jobs, nurture economic opportunity and innovation, and foster a sense of community.
LISC serves small businesses overlooked by traditional financing channels by providing flexible loan options and technical support. Through our suite of commercial and real estate loan products, LISC provides financing to for-profit businesses located in underserved neighborhoods and rural communities where we work. We strategically support businesses in low- and moderate-income communities, and businesses owned by veteran, woman, and minority entrepreneurs. Below are loan products offered by LISC.
LISC Lending Interest Rates
Pricing Effective September 1, 2023
| Term | <=5 Years | >5 & <=10 Years | >10 Years |
Standard Real Estate Products
| Interest Rate | 8.0% | 8.35% | 8.35% |
Specific Real Estate Products
| NMTC Leverage Loans | N/A | 8.10% | N/A |
| LIHTC Perm Loans/Affordable Housing | N/A | N/A | 8.35% |
| Charter Schools Permanent Financing | N/A | N/A | 8.10% |
| FQHC/Healthcare Facilities (Expansion) | N/A | 8.10% | 8.35% |
Standard Small Business Products
| Real Estate Secured | 9.0% | 9.60% | 9.60% |
| Real Estate unsecured | 10.0% | 10.60% | 10.60% |
- Purpose: Working Capital
- Eligible Projects: Commercial and small business
- Loan Amount: $100,000-$500,000
- Interest Rate: 6% -10%
- Term: Up to 3 years
- Repayment: Fully amortizing payments
- Loan Fees: 3% of loan + 3rd party costs + legal fees
- Basic Eligibility: Minimum credit score 600; Business in operation for 3 years; Borrower is incorporated and principal owners are US citizens or permanent residents
- Collateral:
- UCC on all business assets
- Personal guarantees from principals; Corporate guarantees, if applicable
- Purpose: Acquisition, construction
- Eligible Projects: Commercial and mixed-use projects
- Loan Amount: $500,000 - $5,000,000
- Interest Rate: 6% -10%
- >Term: Up to 10 years
- Repayment: Fully amortizing payments based on period up to 10 years; Longer amortizations permitted
- Loan Fees: 3% of loan + 3rd party costs + legal fees
- Basic Eligibility: Minimum credit score 600; Business in operation for 3 years; Borrower is incorporated and principal owners are US citizens or permanent residents
- Collateral:
- UCC on all business assets
- Mortgage on property (including assignment of leases and rents)
- Personal guarantees from principals;Corporate guarantees, if applicable
- Purpose: Leasehold Improvements, Remodel/Expansion, FF&E
- Eligible Projects: Commercial and small business
- Loan Amount: $100,000-$500,000
- Interest Rate: 6% -10%
- Term: Up to 7 years
- Fully amortizing payments
- For LI loans, loan term cannot exceed remaining term of lease
- Loan Fees: 3% of loan + legal fees
- Basic Eligibility: Minimum credit score 600; Business in operation for 3 years; Borrower is incorporated and principal owners are US citizens or permanent residents
- Collateral:
- UCC on all business assets
- Perfected 1st priority lien on equipment
- Leasehold mortgage may be required for loans above $350,000
- Personal guarantees from principals; Corporate guarantees, if applicable
- Purpose: Acquisition, construction
- Eligible Projects: Commercial and multi-tenant maker space projects
- Loan Amount: $500,000 - $3,000,000
- Interest Rate: 6% -10%
- Term: Up to 10 years
- Repayment:Fully amortizing payments based on period up to 10 years; Longer amortizations permitted
- Loan Fees: Up to 1.5% of loan + 3rd party reports + legal fees
- Basic Eligibility: Minimum credit score 600; Business in operation for 3 years; Borrower is incorporated and principal owners are US citizens or permanent residents
- Collateral:
- UCC on all business assets
- Mortgage on property (including assignment of leases and rents)
- Personal guarantees from principals; Corporate guarantees, if applicable.
