USDA B&I Loans for Special Event and Wedding Venues
People need places to hold a wide range of gatherings, including weddings, family reunions, fandom celebrations, music shows, business trade expos, and more. However, the COVID-19 pandemic forced everyone to place their plans on hold. Now, as areas are relaxing their restrictions on gatherings and the country as a whole moves past the pandemic, people are looking to rent out venues for those big events once more. At Rushview Commercial Funding, we understand the challenges facing wedding and special event venues as they pertain to securing adequate financing to keep operations running and host gatherings. We provide USDA Business and Industry loans to event venues that can be used for:
- Working capital
- Hiring staff
- Purchasing supplies and inventory
- Maintenance
- Equipment
- Improving cash flow
Our USDA loans for event and wedding venues include:
- Loan amounts up to $25 million
- LTV up to 80% on loans less than $5 million
- LTV up to 70% on loans from $5 million up to $10 million
- LTV up to 60% on loans greater than $10 million
- Up to 80% FMV for real estate
- Up to 70% FMV for equipment and machinery
- Up to 60% of book value for raw inventory and finished goods
- Up to 60% of book value for receivables
Terms:
- Up to 30 years for real estate
- Up to 15 years or the full life-cycle of the equipment, whichever is less
- Up to 7 years for working capital
- Full amortizations
- No balloon payments
- Interest-only payments for the first 3 years
Requirements:
- The ability to repay the loan
- Principals must demonstrate good credit history
- New businesses will be required to provide a feasibility study from a recognized independent source
- New businesses must hold a balance sheet equity position of at least 20% at the time of closing
- Existing businesses must hold a balance sheet equity position of at least 10% at the time of closing
- Corporate and personal guarantees are required from all principals with interest of 20% or greater, with the exception of limited partners
Contact Us
If you own a wedding or special event venue, or you plan on opening one in the near future, contact the team at Rushview Commercial Funding. We will work with you directly to structure a USDA loan tailored to your needs.