RainStar Capital Group is a national advisory group that consists of over two hundred lenders for clients that require financing. This Michigan-based firm is a multi-strategy private equity firm that invests in distressed debt portfolios, commercial and residential real estate, and business merchant advances. RainStar capital considers its utmost priority to serve its companies and clients and increases its portfolio acquisitions.
RainStar Capital Group was founded in January 2014 by its chief executive officer, Kurt Nederveld. To launch the group, Mr. Nederved combined his vast experience in commercial real estate, corporate financing, and capital markets. By March 2014, RainStar had launched its first subsidiary, DebtStar Capital, which aimed to provide the citizens of Michigan solutions for distressed debt.
Through their services, the group evaluated companies' and residents' securities defaulting or under protection for bankruptcy. By 2016, DebtStar Capital had finished its activities in distressed mortgages due to a local policy change.
The firm strategizes increasing capital growth and fixed-income investments by acquiring bulk-REO packages and commercial real estate. In 2014, RainStar Capital Group began a debt advisory platform with over two hundred lenders that provided commercial real estate, equipment financing, and corporate finance advisory services.
With its diverse portfolio, RainStar Capital group offers specialized solutions to its clients that help them achieve their targets. It also customizes its offerings for companies that may require specific targeted solutions unique to their companies.
RainStar Capital Group provides funding to small businesses and Merchant Cash Advances. The company invests in firms seeking MCA products and other Fintech lenders through its direct internal funding program.
Also, the program allows RainStar Capital Group to acquire portfolios of distressed merchant cash advance funder’s portfolios. The group has formed an internal sub-division in which its senior specialists work with clients to provide them with expert funding solutions.
RainStar Capital Group’s Services
Commercial Real Estate Financing
RainStar Capital Group has formed a comprehensive platform to allow borrowers to seek commercial real estate financing for loans anywhere between $100,000 and $100,000,000. With its team of over a hundred lenders, the group is fully capable of handling financing requests for large sums of capital.
Lenders partnered with RainStar Capital Group offer unique solutions to borrowers, such as mortgage loans that follow the CMBS securitization market standards. Fixed-rate loans focus on assets with stable cash flows and follow a traditional structure including reserves, moderate loan to value ratios, and substantial debt yields.
Another program allows businesses seeking loans to scale their businesses to access funds which will provide them with funding for stabilized rental properties. Over sixty lenders offer many more solutions with flexible terms allowing borrowers to attain their required budget.
The commercial real estate financing division offers multiple lender programs for small and large balances. Each program has a specific requirement to be met before funding is approved. Before applying for a loan, potential borrowers need to select a lender whose criteria they have met.
Usually, commercial real estate transactions are rejected because the borrower’s cash flow is not enough per the lender’s requirements. A small down payment and bad credit score disincentivize lenders from investing their funds. Finally, properties that require extensive repair work or are in a tertiary market also risk not getting approved.
Asset Based Lending
RainStar Capital Group offers businesses the ability to apply for loans secured by collateral. This form of lending is best for businesses unable to receive funds from traditional lenders and banks. Companies with large quantities of fixed assets can put them to use and quickly secure a loan or line of credit.
It also provides the borrower with flexibility since they do not have to sell their valuable assets for money. Instead, they borrow against the asset, and if their asset appreciates, it increases the funding as the value of your asset increases. Since asset-based lending is cheaper than most financing solutions, they are popular amongst established firms.
For the collateral to qualify for a loan, it must be a valuable asset with a low depreciation rate and easily convertible into cash. Typically, firms do not hesitate to provide an asset-based loan since the lender can take over the asset if the borrower defaults. If your company requires quick funding through an investment, RainStar Capital Group’s asset-based loan may be for you.
“With an offer of 100+ lenders, RainStar Capital also provides flexible terms, and access to business growth to finance the right commercial truck”
Commercial Truck Financing
RainStar Capital provides borrowers a variety of lenders to choose from, flexible terms, and access to business growth which allows clients to finance the right commercial truck that meets their company’s requirements. The company also offers 100+ lenders for buyers to choose from. Commercial truck financing involves obtaining a vehicle that meets their company’s needs and specialty financing allows business owners to purchase multiple vehicles without investing all of their capital.
There are two types of commercial truck financing: equipment leasing and equipment loaning. If a business chooses to lease a vehicle, the borrower will pay monthly payments to the lender till the end of the lease. While this does not include obtaining vehicle ownership, it has many benefits.
Leasing typically does not require down payments and helps companies receive new trucks. For companies seeking to expand their business, leasing is a good option since they do not have to worry about depreciation of their expensive asset or maintenance costs.
Since leasing usually involves new vehicles, the business gets the best vehicle with maximum cost efficiency. At the end of the lease, RainStar’s clients may choose to renew their lease with new vehicles, which will ensure they always have a modern fleet, saving maintenance costs. Clients will also have the ability to purchase the vehicle they were leasing and upgrade their truck or replace it.
On the other hand, if a business chooses to loan a vehicle, the borrower will receive 100% of the required funds for purchasing their vehicle. Monthly installments are made with the addition of interest payments.
The significant advantage of loaning a vehicle is that it allows you to claim ownership of a vehicle at the end of the loan term. Also, loans can be used to purchase used vehicles too. However, most lenders often require some down payment or collateral to offer loans.
Who Should Apply for Commercial Truck Financing with RainStar Capital Group?
Small businesses often struggle to secure financing deals from the traditional banking sector due to the size of their business, credit score, cash flow, or inability to provide collateral. Furthermore, the banking sector also refrains from offering commercial truck financing services since it carries significant risk and is still considered a niche in the industry.
If they convince a bank to lend them money, the large amount of paperwork, fees, and inflexible terms are often enough to scare potential borrowers. RainStar Capital understands the value in small businesses and offers financing solutions with the help of their partner lenders.
If a business owner is considering purchasing a commercial truck but is unclear if they should buy or finance it, they should consider the following. Financing through RainStar allows them to benefit from lower monthly payments, the most significant advantage of truck financing. The business will receive a better vehicle with the cost being spread out. The monthly payments are fixed, making costs easily predictable.
Buying a commercial truck is often expensive and unaffordable for small businesses, which causes a firm’s growth to slow down, hindering its expansion ability. During the COVID-19 pandemic, the transport industry saw a massive increase in demand because of eCommerce's sharp growth.
Business owners struggled to meet demand and would often encounter logistics issues due to the volume of work. Through financing, they could quickly expand their fleet of vehicles to meet the increased demand, increase their revenues and boost their profits. Since they were not using all their financial capacity to expand their fleet, they could use the money on other essential things such as investing in new technology.
Financing a commercial truck through RainStar also has non-monetary benefits to the company. Business Owners in the US can obtain a tax credit through funding their commercial vehicles. Since financing deals also come with value-added services such as maintenance and driver awareness, businesses enjoy lower costs.
Furthermore, financing also allows companies to build their credit. If the business has a good track record of making their payments on time, they will see an increase in their credit score, which could help them finance other business operations and mortgages in the future.
“While a good credit score may seem necessary for attaining a financing deal, that is not the case with RainStar Capital Group”
How Do You Qualify for RainStar Capital Group’s Commercial Truck Financing?
RainStar Capital group has developed an advisory platform that enables borrowers to contact partner lenders on their website. Every lender has its unique requirements for financing, and it is the borrower’s task to choose one that suits their company the best.
Generally, to qualify for commercial truck financing at RainStar, borrowers must ensure they have the strong cash flow to meet their lender’s requirements. A strong down-payment may also be required for some lenders. Moreover, borrowers must confirm the truck’s age they want to finance is in line with their lender’s requirements since old equipment is susceptible to failure and poses a potential risk for the lender.
While a good credit score may seem necessary for attaining a financing deal, that is not the case with RainStar Capital Group. RainStar has multiple lending partners who cater to a large variety of people. Numerous lenders offer commercial truck financing deals to borrowers with bad credit by removing credit checks and minimum income requirements.
According to their CEO, borrowers must remember the three C’s of financing: cash, capital, and credit. Individuals who lack credit may fill the gap by holding cash or giving capital as collateral.
RainStar Capital provides solutions to everyone, whether individuals who have established businesses looking to expand or businesses that need access to much-needed cash.
RainStar Capital Group Loan Application Process
RainStar Capital group is renowned for providing its clients ease of doing business. Individuals interested in financing their trucks have to complete a simple documentation procedure. RainStar requires borrowers have certain documents to apply for a loan:
- A signed application
- Bank statements of the previous six months
- Invoices and business quotations
- Credit reports
- List of equipment owned by the company
Once the documents are ready, a borrower must follow the following steps to apply for a loan:
1. Go through RainStar Capital Groups platform and select a lender
RainStar Capital group has over 200 registered lenders on its platform with varying requirements for commercial truck financing. Clients should go through all the lenders and consider different options.
Choosing a lender based on a client’s needs or risk of being rejected is essential. Once potential lenders have been picked out, select a lender you think is the best fit for you.
2. Apply for the program directly through their website
RainStar Capital Group’s platform allows borrowers to apply directly to lenders. To make the process quicker, borrowers should ensure their applications are convincing to the lender. Submitting all the documents the lender requires is essential for a borrower to attain financing.
RainStar Capital Group Commercial Truck Financing Rates
RainStar Capital Group provides an inclusive platform for clients seeking solutions to financing from $5000 to $50,000,000. Their in-house lending platform consisting of 100+ lenders ensures it could offer solutions to everyone.
Clients may skim through the profiles of their lending partners and choose which partner suits them. Here are some of their profiles.
Top 10 Lender Profiles For Funding Under $300,000
(As listed in RainStar Capital Group’s website)
This lender operates in the United States and does not require a strong cash flow for financing. They offer leases and loans to potential clients, and the sizes vary from $20,000 to $300,000. Rates range from 3-12%
This lender caters to transactions that make sense but do not receive funding from traditional banks. It accepts requests from new businesses that may require new or used vehicles. The lender offers loans and leases between $10,000 and $250,000 for multi-industry equipment at varying rates from 0.03795 for Fair Market Value leases and 0.4040 for Equipment Finance Agreements.
This lender offers financing programs for construction, agricultural, and manufacturing companies within the United States. It offers Sale-Leaseback, working capital, and purchasing solutions for sizes between $20,000 and $500,000. There are no requirements for credit, and rates are dependent on the deal. The lender requires collateral and a strong cash flow with a 50% Loan-to-Value
This lender provides equipment financing to 4-hour, a business financing company based in Plano, Texas. They give the borrowers cheap rates and cover multiple types of equipment. Its services include equipment finance agreements for equipment that ranges from $100,000 and $500,00 with rates from 7% to 16%. A credit score of 620 is required to apply for a loan.
Moreover, it prefers financing farming equipment but is not limited to that since they also service restricted industries, including bars, ATMs, and satellites.
This lender requires substantial collateral with no credit requirement for borrowers. The collateral must be around 40% to 50% of the loan, a modest loan to value ratio. They offer to lease for equipment costs between $10,000 and $400,000 at varying rates between 0.265% and 0.0561% depending on the terms agreed and the lease’s length.
They offer to lease for various types of equipment and can approve requests within 8 hours, which allows them to release funds within a day of receiving completed documentation.
This lender is perfect for startups since it offers meager rates. For a truck, trailer, and title vehicle financing, rates go as low as 8%. They operate within the United States and can cater to anyone apart from Louisiana. They offer loans for equipment such as trucks, trailers, machinery, and other commercial equipment costs up to $125,000.
At the same time, rates depend on the financial strength of their borrower’s business, and the firm can typically process requests for financing within 24 hours.
This lender specializes in servicing small, local businesses and large corporations. It provides financing, loans, and lines of credit for all sorts of companies. The majority of its borrowers are from the trucking industry within the United States. Borrowers must have a credit score of at least 670 to apply for loans varying from $20,000 and $300,000. Their rates are fixed at 10.25%
This lender strives to provide its clients with maximum flexibility on various financial solutions. It offers accounts receivables, inventory, and equipment solutions, including commercial truck financing. Loans are offered between $15,000 and $15,000,000 at rates that vary by the company since it provides customized financing deals.
By evaluating the borrower’s credit strength, the lender sets a financing limit, rate, and flexible terms to ensure all clients are served, regardless of the size of their business.
A flexible lender capable of providing financing for both private and commercial vehicles in the Mid-Atlantic regions. They offer leases and loans between $5000 and $300,000 for equipment in construction, office furniture, computer systems, communication networks, and commercial trucks.
The extensive range helps them cater to all sorts of businesses regardless of size. The lender provides borrowers with specialized solutions with case-wise credit scores and rates.
This lender provides direct funding of lease transactions to all kinds of businesses. They operate within the United States and provide loans to equipment valued above $10,000. As it specializes in commercial financing trucks, fitness equipment, and hardware, borrowers have access to flexible terms since credit scores and rates depend on the size of the business.
The lender processes financing requests quickly, and the borrower can secure funding within a day of submitting the required documents.
Top 5 Lender Profiles For Funding Over $300,000
(As listed in RainStar Capital Group’s website)
The lender collaborates with financial institutions worldwide to provide solutions for equipment financing to businesses in the United States. It offers many services such as advisory and a leasing facility for loan sizes that range from $500,000 to $25,000,000.
They specialize in catering to well-established large firms looking for financing to take them to the next level. Their signature service, full-service equipment, allows firms to have an operating lease that includes maintenance.
For the trucking industry, this means the leaser can benefit from the lender taking over most of the operations regarding the truck, easing their work so they can focus on expanding their business. The addition of maintenance helps the firm keep its cost down.
This lender specializes in providing solutions to finance trucks and trailers. They offer loans and leases over $250,000 to large companies in the trucking industry. A minimum credit score of 620 is required to work with this lender, and the rates start at 4.74%. New and used vehicles in the United States can be financed through this firm.
This lender provides financing to corporations needing to acquire possession of equipment quickly while preserving capital for other purposes. The firm provides loans and leases from $500,000 to $100,000,000. Due to the flexibility of its services, the lender does require collateral for a borrower to access its financing. The firm focuses on the mid-cap market and provides advisory and funding to help elevate its clients to higher levels.
If your company requires funding at the quickest time possible, the following lender is for you. The firm offers rapid response times, some as little as 2 hours. They provide loans and leases to firms from all industries at competitive rates with flexible terms. It has no preference for equipment, and if the equipment is profitable, it will receive financing. The rates are dependent on the deal and size of the loan, and a credit check is not required.
This lender primarily provides financing for commercial equipment in trucking, construction, drilling, and manufacturing industries. They provide leases between $10,000 and $1,000,000.
If you have been looking for a company that can provide you with the best financing options for your business, they are here to help. They offer an easy application process and flexible terms to get the most out of your purchase.
The required credit score and the rate for the lease are dependent on the deal. This lender is ideal for firms looking for a sizable lease to expand their businesses and fleet significantly.