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Business Owner Saves 40% on Monthly Debt Repayment

Jun 19, 2020 8:21:04 AM / by LendXP

Minnesota Valley Transport, New Ulm, Minn.



Dan had purchased a trucking company, Minnesota Valley Transport, three years earlier. From the purchase, he had a seller’s note and equipment debt, and the short-term repayment was straining the business despite its good cash flow. He needed a long-term credit package that would provide manageable repayment for all of his financing needs.




Conventional loans for truck equipment are typically 3-6 years. Because Dan also needed to incorporate the seller’s note, a loan with 10-year terms would provide a more ideal solution. A longer-term option wasn’t available through conventional credit.


Solution and Results


LendXP found a lender willing to refinance the company’s debt with a 10-year SBA 7a loan. The credit facility saved the business a significant 40% on its monthly debt payments. This allowed the trucking company to retain more of its profits and pay for equipment with cash instead of adding additional debt.

Topics: Lenders, Borrowers

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