TMC Financing Administers SBA 504 Loan To Connected Communications to Purchase a Building for its Growing Business
Las Vegas, NV – In a strategic move that underlines the benefits of ownership over leasing, Connected Communications, a dynamic public relations and marketing agency headquartered in Las Vegas, acquired a spacious 2,000-square-foot property earlier this year. This step not only supports the agency’s expanding operations but also solidifies long-term cost stability, showcasing the advantages of property ownership in contrast to leasing arrangements.
Through a calculated approach, Connected Communications harnessed the power of the Small Business Administration’s (SBA) 504 Loan Program, securing a significant 90 percent financing package through a 25-year fixed-rate loan. This financial maneuver enabled the agency to take full advantage of the program’s highly favorable terms, including below-market rates, affirming the potential of building ownership as a sound financial strategy.
Sarah Thornton, the visionary founder of Connected Communications, has successfully steered the agency’s evolution from a one-person freelance PR venture into a true powerhouse within the digital marketing sphere. The agency’s comprehensive service portfolio encompasses public relations, marketing, social media management, website development, and a suite of services tailored to foster meaningful connections between clients and their online audiences.
Since its inception in 2007, the agency’s workforce has tripled in size, underscoring the need for a more expansive and collaborative workspace. Faced with this growth imperative, Thornton embarked on a comprehensive exploration of leasing options, only to encounter the stark financial realities of such arrangements. The costs associated with leasing additional space proved exorbitant, emphasizing the value of ownership to control costs.
Thornton reflected on the situation, stating, “Allocating $2,500 monthly for two 110-square-foot office spaces within an executive suite was no longer tenable. It became evident that acquiring property was not just a fiscally responsible decision, but one that allowed us to unlock the benefits of ownership.”
In the highly competitive landscape of Las Vegas’ real estate market, the pursuit of a property meeting the agency’s criteria was a challenge. However, fortune favored Thornton as the ideal space materialized, prompting her swift and decisive action.
“Its strategic location within a burgeoning and vibrant area was a significant draw. We wasted no time in submitting an offer the very same day we discovered it, owing to its unique attributes. Even before the offer was made, I was convinced that the 504 loan offered the most viable means to secure this location,” Thornton remarked.
Chris Hunter, Senior Vice President of Business Development at TMC Financing, emphasized the strategic advantages of the SBA 504 Loan Program, particularly when juxtaposed with leasing. Hunter noted, “The SBA 504 loan offers a pathway for savvy entrepreneurs like Sarah to transition from leasing to ownership, a move that provides long-term stability and financial control.
“With its low down payment starting at 10 percent, coupled with a fixed, below-market interest rate stretched across a 25-year fully amortized period, ownership emerges as a prudent choice.”
This program’s low down payment requisites not only make ownership accessible but also illustrate its financial wisdom. Thornton echoed this sentiment, saying, “I take immense pride in having acquired the building and facilitating the down payment. This process was not just gratifying, but essential. As a creative agency, a comfortable and conducive environment is pivotal for crafting unique strategies and programs that cater to our clients.”
When asked about her message for fellow business proprietors contemplating the SBA 504 loan, Thornton emphasized trust in the process. “Having unwavering confidence in the process is crucial. Familiarity with TMC Financing’s esteemed reputation alleviated any concerns I may have had. Embrace their guidance throughout the loan journey, and the ultimate outcome will contribute substantial value to your enterprise. It signifies an investment in oneself rather than someone else’s property.”
To learn more about TMC Financing, the nation’s No. 1 provider of SBA 504 commercial real estate loans, please visit www.tmcfinancing.com.
