Dennis Dahlberg - It Can't Get Better Than This!

Saturday, April 6, 2019

Colorado Private Money Lenders: Institutional Versus Non-Institutional Lending

Colorado Private Money Lenders are investors. In order to invest, they pool together large sums of money, multi-million-dollar sums or greater. Some private investors have access to personal wealth and invest individually, other private investors are part of an investment group who together pool sufficient funds in order to lend. Whether an individual or a group, the concept is the same: a non-institutional source of money to be invested in monetary ventures.

To understand non-institutional money, let’s start with what institutional is. Institutional money is money lent out by banks and credit unions. Institutional lenders receive money from the Federal Reserve. Since this money comes from an institution, it is heavily regulated. Regulations, for example the Dodd-Frank Act after the last recession, determine under what conditions and to whom can banks lend out institutional money. This culminates in the stress of applying for loans: institutional money entails stringent checks on income, credit worthiness, credit history, equity, loan-to-value, debt-to-income, et al.

For many individuals in need of loans, sizing up to institutional mandates can be intimidating or even momentarily impossible. This is why Colorado Private Money Lenders serve a twofold purpose: First, they invest in individual or commercial ventures in order to secure monetary returns in the form of interest. Second, they offer a line of credit in a variety of situations for those who need it.

Get Non-Institutional Funds from Colorado Private Money Lenders

Colorado Private Money Lenders are considered non-institutional because their funds do not come from the Federal Reserve, but rather the pockets of individual investors. Due to this being the case, Colorado Private Money Lenders are less restricted by federal mandates. With fewer restrictions, they can loan to individuals with rotten credit, nonconventional income, bankruptcy delinquencies, and foreclosure history. Other benefits of Colorado Hard Money Lenders are that they increase local investment and economic activity, they help to build communities and family incomes, they help individuals enter into real estate investment and secure long-term returns. This and much, much more.

“Access funds directly from Colorado Private Money Lenders—Talk to your broker at Level 4 Funding today!”

If the banks have turned you down and you need a helping hand, talk to your broker at level 4 funding. Level 4 Funding has access to a variety of Colorado Private Money Lenders and is able to get you the funding that you need. Level 4 Funding has a long history of helping individuals interested in real estate investment, home acquisition, home refurbishment, Colorado Bridge Loans, and commercial lending. Get in touch today. Interest rates start as low as 5.99% APR.

Dennis Dahlber Broker Ri CEO Level 4 Funding LLC Dennis Dahlberg
Broker/RI/CEO/MLO
Level 4 Funding LLC
Hard Money Lender
Hard Money Loans
Hard Money Loan
Arizona Tel: (623) 582-4444
Texas Tel: (512) 516-1177
Dennis@level4funding.com
Dennis Dahlberg Broker/RI/CEO

About the Author: Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 43 years. They have 2 beautiful daughters and 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.

Why Arizona Hard Money Lenders Can Finance Your Dispensary

Arizona Hard Money Lenders are the main answer to the financial woes of Arizona’s cannabis industry. Just as they have helped countless businesses establish a foothold in the market, Arizona Hard Money Lenders are here to help individuals reap the benefits of the cannabis industry. Rates for dispensary financing start as low as 7.99% APR. No begging the banks, no lines, no bureaucracy, and no credit required. Consult your broker who knows the ins-and-outs of cannabis in Arizona.

The potential of cannabis in the United States is legion. Frankly, already, the industry’s multi-billion transcendence has baffled many on Wall Street. Why is it here, where did it come from, where is it going? Well, according to recent market suggestions, its going threw the roof, the heavens, and to the Nirvana of all investments.

While many states are still debating the ins-and-outs of legal, medicinal, and recreational regulation, many businesses are raking in over a million per dispensary. Not a bad chunk of change. That being said, there are varying difficulties getting into the game: acknowledging that medical marijuana is only accepted on a state level in Arizona while remaining illegal federally, jumping through the costly and bureaucratic hoops to start a medicinal cannabis dispensary, locating optimal real estate options, and finally finding the funding for a commercial and legal grey area.

Of all of these, funding may be one of the greatest challenges when it comes to cannabis dispensary startups. Most businesses need money to set the wheel in motion. Many individuals have significant funds saved away, but not an overwhelming amount needed to purchase real estate, inventory, and pay various employees at the inception of a commercial operation. Adding to these challenges are conventional lenders. While taking out a business loan from conventional lenders can be a challenge for even conventional business archetypes, it is a hundredfold in regard to cannabis. Frankly, banks will not lend to medical cannabis dispensaries because federally they are considered illegal while regional they are not. Risk.

You Can Get Financed Now Through Cannabis Hard Money Lenders

So, who lends to cannabis dispensaries, especially within the state of Arizona. Answer: Arizona Hard Money Lenders. Arizona Hard Money Lenders are the main answer to the financial woes of Arizona’s cannabis industry. Just as they have helped countless businesses establish a foothold in the market, Arizona Hard Money Lenders are here to help individuals reap the benefits of the cannabis industry.

“Consult your broker who knows the ins-and-outs of cannabis in Arizona. Apply today and start the business you have always dreamed of creating with Level 4 Funding.”

Level 4 Funding has years of experience and representatives with extensive experience in the cannabis industry. Rates for dispensary financing start as low as 7.99% APR. No begging the banks, no lines, no bureaucracy, and no credit required. Consult your broker who knows the ins-and-outs of cannabis. Apply today, find Arizona Hard Money Lenders, and start the business you have always dreamed of creating with Level 4 Funding.

Establish a Foothold in the Cannabis Industry with Arizona Hard Money Loans

With a cannabis business plan, a location, and an idea of possible returns, securing the money is the next big step. However, if financing is needed, the banks will say no. Arizona Hard Money Loans are the best option for cannabis dispensaries in Arizona.

As of 2011 with the Medical Marijuana Act in effect, the ADHS (Arizona Department of Health Services) began to accept applicants care givers and card recipients. Nearly a year later in 2012, state-regulated dispensaries began to appear. Currently, there are more than 150 dispensaries in Arizona. Dispensary applicants must pay an application fee of $5000, must have three years of Arizona residency minimum, must employ a licensed doctor, and must only be affiliated with one dispensary.

According to ADHS’s Medical Marijuana Report, 121,915 pounds of marijuana were sold in 2018 in Arizona alone. The estimated value of Arizona’s medical marijuana market surpasses $400 million dollars, and it only continues to grow. This growth is enticing many to invest in a market of growing returns, despite the legal grey area and inherent risks associated. Marijuana could possibly be the new Mecca of investment. Trends suggest increasing use per capita, growing consumption of current medical marijuana users, and increasing lobbying to mitigate state and possibly federal regulation. The takeaway is that cannabis is a $400 million industry on a state level and a multi-billion-dollar industry on a national level. Despite the legal hurdles and the state versus federal conundrum, getting into the legal cannabis business today could equate to undreamt earning potential in the future.

Planning, research and funds play a huge role in the medical cannabis industry. First of what, where, and when. What is the business’s focus? Is it focused primarily on cultivation, clinical consultation, or retail. Where? Locating an area in accordance with the ADHS’s CHAA regional guidelines can be a challenge. Where will your dispensary find the right niche to sell its products, what type of real estate is needed, and where will the funds come from to purchase the dispensary’s infrastructure.

Arizona Hard Money Loans Can Help Grow Your Cannabis Dispensary

Though the application cost is only $5000, other financial elements should be established beforehand. With a business plan, a location, and an idea of possible returns, securing the money to put things into motion should come to mind. If financing is needed, the banks will say no. Arizona Hard Money Loans are the best option for a dispensary in Arizona.

“For Arizona Hard Money Loans, talk to a broker at Level 4 Funding today!”

Arizona Hard Money Loans are available through a hard money broker. Find the financing options that are right for your cannabis dispensary. For Arizona Hard Money Loans, talk to a broker at Level 4 Funding today!

Friday, April 5, 2019

Start a Legal Cannabis Business with Arizona Hard Money Loans

The future is green. The sale of legal cannabis in the US is a multibillion-dollar industry poised to become an economic titan. Revenues from medicinal marijuana continue to grow. Take advantage with Colorado Hard Money Loans.

Here’s a quick history lesson: In 1937, the Federal Government passed the Marijuana Tax Act banning recreational use of cannabis, not necessarily medicinal. By 1970, the feds passed the Controlled Substances Act federally banning both recreational or medicinal use of marijuana. Between the 1970s to now, the year of our Lord MMXIX, cannabis laws have seen astronomical changes. Namely, many states have decriminalized, legalized, or medicinally permitted cannabis. Depending upon the states, varying levels of laws may exist ranging from criminal to permissible.

Now that we’ve covered the general scope, let’s talk about the near and dear State of Arizona. Though weed was outlawed federally in 1970, in 1996, Proposition 200 passed allowing doctors to prescribe cannabis to patients. After a few months, this proposition was repealed by state legislation. In 2002, Proposition 203 failed to legalize cannabis with just 42.7% of vote-approval. Finally, by 2010, medical marijuana was made legal with the passing of prop 203 with 50.1% vote-approval. Some argue that recreational use of marijuana is a strong possibility. This is based on the fact that in 2016 Proposition 205, intended to legalize recreational cannabis, failed to pass by just 48.7%. All in all, 50 years has brought a considerable amount of change in Arizona’s cannabis laws.

Welcome to the present. The sale of legal cannabis in the US is a multibillion-dollar industry poised to become an economic titan. Arizona is a medicinal cannabis state possibly poised to become a recreational cannabis state. In the meantime, however the market is medicinal. Being that this is the case, what types of business opportunities are available in this type of market? How do you start?

Arizona Hard Money Loans Help Grow Your Cannabis Business

Set up a business plan and structure. Find out if licensing for a legal marijuana business is available in your state, county, and city. Next, according to cannabusinessplans.com, apply for licensing through the Arizona Department of Health Services to “produce, process, test, and/or retail medicinal cannabis. Dispensaries must be licensed by the ADHS to legally operate. Dispensaries must have … a licensed doctor on staff.” Application fee is $5,000.

“Level 4 Funding offers Arizona Hard Money Loans to get your cannabis business up and running.”

Arizona Hard Money Loans are a means to help you start your medicinal cannabis business in Arizona. With the licensing and approval you need, Arizona Hard Money Loans can help you establish your dispensary, clinic, cultivation, or retail inventory. Get the financial backing you need to secure the licensing and business plan of your dreams. Talk to your broker at Level 4 Funding to secure Arizona Hard Money Loans that are right for you!

Pros and Cons of a Colorado Bridge Loan

Conventional lenders take ages to guarantee financing. Sometimes, a long time is too much time. A Colorado Bridge Loan is acquisition power. Get it—and get it fast!

A Colorado Bridge Loan is a short-term loan. For the most part, it helps individuals secure a new home before their old home sells. For example, in a favorable housing market, the Smiths need to sell their home and move to a new area. They search for new homes. It just so happens, they find the perfect house in the perfect neighborhood. Near work. Next to the kids’ school. Great, right? Maybe. It’s a coveted area –they think. Many other people may be vying over the property. How can they secure it?

Well, the answer is a Colorado Bridge Loan. A Colorado Bridge Loan is acquisition power. Get it, and get it fast! Conventional lenders take a long time to guarantee financing. Sometimes a long time is too much time. The Smiths want that home. They have a good credit score, a considerable amount of home equity, and a seller’s market. They do not have to wait months for the banks to come around—The Force of metaphysical lending is on their side. They talk to a hard money broker or Colorado Private Money Lender. As stipulated, the Smiths use their current home’s equity or cash down as collateral to secure the newer home. Within a week, they have the money and the purchasing power.

The (hypothetical) Smiths understand that a Colorado Bridge Loan is temporary, lasting generally anywhere from 3 to 12 months. A Colorado Bridge Loan is not a means of long-term financing, but rather a means of providing needed and short-term cash flow to complete a financial objective or acquire an asset until conventional lending is made available, most often at a lower rate. Thus, the loan loan “bridges” between short-term and long-term financing, and respectively high-interest to low-interest rates.

Risks of a Colorado Bridge Loan

As stated above, one of the main benefits of a Colorado Bridge Loan is that it’s a quick arsenal of purchasing power. Good deals and hot commodities are coveted. Money is required to lock down assets. Hard money Colorado Bridge Loans are a means to such an end. Along with this, a Colorado Bridge Loan offers comfort—buy a new home, move in to it, and comfortably wait for the old home to sell. This is more appealing than sell, rush out, find temporary housing till the new home’s financing closes. On top of this, homes empty of the clutter of the previous occupant may look better lending possibly to a quicker sale.

A Colorado Bridge Loan is an arsenal of purchasing power.

With the pros in mind, let’s move to the cons. First, time is an issue. If individuals reach the end of your Colorado Bridge Loans finance period without selling the older home, they will need to refinance the Colorado Bridge Loan. Unforeseeable difficulties such as market downturns and local variables can hamper the selling process of homes in a given area and thus use up the limited time of the bridge financing. Second, home value is a market variable, and equity is tied to such a variable. Should you have any questions or concerns, talk to your hard money broker at Level 4 Funding to asses benefit and risk in order to see if a Colorado Bridge Loan is right for you.

How to Get Financing for Cannabis Marijuana Business Loans

The number of borrowers searching for Cannabis marijuana business loans is at an all the high. Understand the market and your options before stepping into this slightly perilous, though very lucrative, market.

If you are a startup business, adequate financing is a requirement to succeed in your target market. If you are a liquor store or restaurant, you may seek financing from a traditional bank or credit union. However, if you are venturing into a marijuana related business and the ambiguous legal status of the marijuana federally, banks have been prohibited to open accounts for these types of businesses. Do not get discouraged, some traditional banks have started offering merchant services and lines of credit and even some Cannabis marijuana business loans. To fill this gap, Arizona Hard Money Lenders have swooped in to offer their lending services.

The Federal Deposit Insurance Corporation (FDIC), a federal agency that guarantees banking institutions, will not insure banks that are providing Cannabis marijuana business loans. Banks would rather avoid making loans to a marijuana business since they view it as aiding and abetting activities that are felonies under Federal Law. Traditional banking institutions accepting deposits from marijuana businesses could be looked at as money laundering. The Department of Justice has decided not to prosecute banks, but if political winds change, as they are prone to do, the banks that have opted to allocate funds for these types of businesses could be in serious trouble.

To fill the space that is left behind by traditional banks that are not willing to provide Cannabis loans, private investors have moved in. Some of these include venture capital and private equity, angel investors, high interest loans provided by private investors, and marijuana consulting firms that offer loans through private funds they manage. And, of course, Arizona Hard Money Lenders. Some of the requirements for private equity firms to offer financing are: be incorporated, have a checking account in the business name, be in the marijuana business as a dispensary or grower for at least six months, monthly gross of at least $10,000, and have a personal credit score of 500. There are a number of public companies that acquire and invest primarily in medical marijuana ventures. A company may take a significant ownership stake (equity) in exchange for funding. The company, after the investment, still maintains operational control. Canada has just approved legislation making all marijuana legal.

Merchant Service

Marijuana businesses need a way to deposit money and write checks to pay bills, pay employees, and distribute profits to partners. If you want to use a traditional bank, you may not want to fully advise the bank what type of business you are in. Of course, do not cover up the type of business by making the banker think you are in some sort of different business as this is bank fraud and you do not need the headache.

Marijuana business financing is difficult, but the rewards are huge. The laws are constantly changing, making it beneficial to contact an attorney to learn the latest laws and any new revisions that have occurred.

At Level 4 Funding, we offer rates as low as 7.99%. We work with hundreds of direct hard money private lenders, some of which specialize in the Cannabis business field. No credit required and no surprise front or junk fees added to the loan. Call us for a no-obligation quote.

About the Author: Dennis has been working in the real estate industry in some capacity for the last 40 years. He purchased his first property when he was just 18 years old. He quickly learned about the amazing investment opportunities provided by trust deed investing and hard money loans. His desire to help others make money in real estate investing led him to specialize in alternative funding for real estate investors who may have trouble getting a traditional bank loan. Dennis is passionate about alternative funding sources and sharing his knowledge with others to help make their dreams come true. Dennis has been married to his wonderful wife for 43 years. They have 2 beautiful daughters 5 amazing grandchildren. Dennis has been an Arizona resident for the past 40 years.