I played high school football. My primary position was defensive line. As many can attest, football is a rigid sport. It forces its players to work within a structured environment allowing for very little freedom, especially for linemen. I didn’t have much freedom and was expected to do the same thing over and over. Despite these restrictions, I loved the physical nature of the sport and didn’t think too much about other possibilities.
Then I found rugby. It was liberating to me. Suddenly, I could participate in all different parts of the game. I played offense, defense, I could run with the ball, kick it, pass it, score, punt, and tackle. I could even jump in the scrum or play in the backline. Rugby is every lineman’s dream. The game was fluid and allowed me opportunities to participate in phases of sport I never imagined before. It gave me freedom. Rugby is what alternative funding has become in the finance world. The sky is the limit; the possibilities are endless. As a private lender, I have the flexibility to lend based first on equity, then I can take everything else into consideration. Is the borrower a good credit risk? Does he have reserves, partners, income? I can take it all into consideration and then based on my risk-return analysis decide to lend or borrow and what to charge or pay.
I know banks have a place. If you have an 800 credit score, large down payment, great income, and a solid project you will get your low-interest loan. Just like football, this can work for many, but alternative lending gives the underappreciated linemen the ball and tells them to run with it. For millions of entrepreneurs, alternative lenders may be the only way they can qualify for a loan. The experienced alternative lender is like a rugby player, they have the freedom to do anything in the game of finance. This paves a new way for businesses to expand and achieve success.
As most brokers know, alternative lending is a nice way of saying hard money. I have been in the business all my life and have grown accustomed to the term hard money. To me, it represents a potential for the little guy and seasoned investor to achieve their dreams. I have used the freedom of alternative lending to achieve my goals and now provide it to others so they can do the same.
