We continue to grow here at MCC and want to keep you informed of our progress!  This month we closed five loans, two of our employees changed roles, and we re-hired a Vice-President of Business Development for the South Florida market!  Please read on to find out more about our latest news and our company's expansions to better serve our clients and referral sources.

The following article was published in the Restaurant Finance Monitor on July 20, 2005:

Mercantile   Commercial   Capital   Focuses   on   504   Transactions   “We think this is a far-superior product for small operators that is underutilized,” said Chris Hurn, president/CEO of Mercantile Commercial Capital, a lender that focuses on the SBA’s 504 program for franchises. The SBA’s 504 program guarantees loans that are long-term with fixed rates, and are financing major fixed assets such as land, buildings and equipment.   “When borrowers need financing to acquire or construct stand-alone restaurant buildings, it makes logical sense for the entrepreneur to put real estate and equipment in a 504,” he said.  “They have a longer loan amortization and the longest fixed rate available—20 years.”   Hurn and Geof Longstaff, chairman of Mercantile, founded the company 30 months ago.  Longstaff himself has been in the banking industry for about 30 years, founding First Mercantile National Bank, a community bank in Florida that was later sold to a large bank holding company.  Hurn’s background includes tenure at GE Capital, where he focused on small business financing for several years.  He also spent time with Heller Financial, before GE acquired them.  The two founders met while at NAI Realvest, the second largest commercial real estate brokerage firm in Central Florida: Hurn was CFO, while Longstaff was COO—Longstaff still holds the title of partner with the firm.   “The only thing we focus on is the 504 and we’re the only lender nationwide to solely do this,” said Hurn. “We like real estate, we know real estate, and that’s why franchised stand-alone restaurants are great for us.”  Mercantile can offer most franchised businesses up to 85 percent loan to cost, possibly 90 percent in some cases, which according to Hurn allows borrowers to put less money down and open more locations faster. They have concentrated on their home base of Florida, and recently completed deals with Uno’s Chicago Grill, the Melting Pot, Baskin Robbins/Dunkin Donuts, Quaker Steak and Lube and RJ Gators. Their next step is to expand outside the Southeast, and currently are working on restaurant loans in Chicago, Michigan, South Carolina and Georgia. Typical deal size is between $3 million to $4 million.