LOS ANGELES, CALIF. (October 13, 2020) – Maxim Commercial Capital is pleased to report it funded hard asset-secured financings for small and mid-sized businesses (SMBs) in 32 states during the third quarter of 2020. Despite the year’s exceptional challenges, Maxim has not wavered in its commitment to support the capital needs of existing and prospective borrowers. Maxim lends from $10,000 to $3,000,000 to SMBs nationwide, secured by heavy equipment and real estate, to facilitate asset purchases, working capital and to refinance expensive short-term debt.
“We are indebted to our loyal customers, equipment vendors and finance brokers for their support in these trying times,” said Behzad Kianmahd, Chairman and CEO. “Through our committed staff and managers’ great teamwork, we are continuing to fulfill the needs of our customers while also improving operations through technology investments and new policies and procedures. We leveraged the work-from-home conditions to accelerate these initiatives, benefitting our team and the communities we serve.”
While the credit markets remained tight during the period, Maxim experienced stabilized funding volume while maintaining its credit discipline. Additionally, the company’s delinquencies neared historically low levels as the country emerged from the shelter-in-place orders mandated in response to the COVID-19 pandemic.
Transactions funded in the third quarter included a $52,100 app-only loan secured by a 2019 Chevy 6500HD Rollback Tow Truck; $33,750 for the purchase of a 2016 Case 580 Super N Excavator; $30,600 for a Utah-based owner-operator to replace his truck with a 2016 Freightliner Cascadia; and, $35,600 for a California-based owner operator with a 458 FICO and 12 collection accounts to purchase a 217 Kenworth T680.
A substantial increase in retail prices of quality used trucks, caused in part by wholesalers / EOMs withholding inventory, has created an inventory shortage. Maxim believes current discrepancies between the retail and fair value of used trucks will stabilize in the fourth quarter, with financing volumes returning to pre-COVID 19 levels in early 2021.
“We welcomed the return of cautious optimism in the third quarter,” said Michael Kianmahd, Executive Vice President. “While concerns around the pandemic drove behavior in Q1 and Q2, our customers, many of whom are in essential industries, think the worst is behind us. As we continue toward a strong year end, we maintain our commitment to our customers, referral partners and team members, and look forward to 2021.”
About Maxim Commercial Capital
Maxim Commercial Capital helps small and mid-sized business owners seize opportunity by providing financing in amounts up to $3,000,000 secured by heavy equipment and real estate. Maxim facilitates equipment purchases, provides working capital and refinances debt for companies across all industries located nationwide. Through Maxim’s tailored financing programs, businesses unlock capital tied up in underleveraged assets, often replacing expensive short-term debt and daily repayment working capital loans with longer term capital. As a leading provider of transportation equipment finance, Maxim funds up to 75% of the acquisition cost of class 8 and class 6 trucks, trailers and reefers for owner-operators and small businesses. Learn more at www.maximcc.com or by calling 877-776-2946.
Maxim Commercial Capital