How do you acquire a business line of credit using equity in a commercial property as collateral?

June 2, 2006 10:02 PM

I have recently acquired a commercial property. I want to obtain a line of credit against the down payment I put on the property. Obviously, I have not done this in the past. But, I envision the transaction being similar to a home equity line of credit. Is there anyone out there that can point me to the right direction. FYI, the commercial property was acquired via a new LLC of which I own 100%.
posted by yorja to Work & Money (3 answers total)

Your LTV is going to make all the difference on this subject. What is it?
posted by 517 at 11:10 PM on June 2, 2006

Not being flip but personally I'd just go to my bank or accountant and ask them. If you don't have a bank or accountant you feel comfortable with asking, that might be a good place to start.
posted by unSane at 7:09 AM on June 3, 2006

Just remember that *you* are not obtaining a line of credit, your LLC is. Don't confuse the two or mix and match money from the two.

That said, if you own 100% of the LLC then you are the corporate officer, so just go walk into the bank and ask like unSane said.
posted by falconred at 8:06 AM on June 3, 2006