Billboard Loan Terms

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.

 

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