Need to finance a digital sign? Do you want to buy easements under your signs? Have you identified a small outdoor company you’d like to acquire. We can help. Here are our lending guidelines for billboard loans.
Loan amount: $20,000 to $2 million.
Loan Use: Digital sign construction, steel monopole construction, outdoor company acquisitions, partner buyouts.
Personal Guarantee: Yes, from business owner.
Debt/Revenue: 3:1 or less.
Debt/Cashflow (EBIDTA): 6:1 of less.
Collateral: All asset of business including an assignment of material agreements and leases.
Other Permitted Debt: None.
Interest Rate: Prime plus 6% floating with a floor at 12%.
Loan Fee: 2% of the loan amount, paid at closing.
Transaction fee: 2% of the loan amount, for lender’s legal and documentation costs, paid on acceptance of loan commitment.
Amortization: 7-20 years withy a 5 year balloon. Shorter for digital signs. Longer for monopoles with long term leases.
