Creative Financing and Tailored Program Allow Private Money Lender to Meet Growing Capital Demand
A Conversation with Adam Kehl, Vice President, Capital Management, Capital Fund 1, LLC
Capital Fund 1 is a private money lender that partners with real estate investors to provide critical capital. CF1 offers bridge, acquisition and construction loan programs for land, residential and commercial real estate investments.
Founder, CEO & Principal
How has working with Enterprise Bank & Trust helped your lending business?
Enterprise has helped us find a partner to create creative financing that would not be expected from a bank. They worked to tailor a program that fit the needs of a portion of our collateral pool at a lower cost than other capital groups while expediently working through increases as our capital demands increased.
What unique aspects of Enterprise’s line of credit structure are most helpful to you?
Our line of credit can permit in-house evaluations on small loan sizes where other firms require third-party valuations. This gives us a lower capital cost and higher flexibility for loans that typically pay off more quickly than the rest of our portfolio. As we have expanded into other markets, the Enterprise team has swiftly approved these markets for our line of credit, increased the maximum balance on the line and communicated regularly to resolve any of our concerns.
What part of the process is the most beneficial to you when compared to other relationships you have?
We partner with other banks and private capital, but the advantage of working with Enterprise is its flexibility. Capital markets have become challenging, with more private and public offerings forcing hoops to jump through. However, Enterprise continues to be a smooth monthly update with no structural changes to its operations.
How have your main contacts at Enterprise added value to this relationship?
Ryan Parker and Mark Jury on the Private Lender Finance team are proactive individuals who emphasize communication. They keep us updated through each stage of a line of credit adjustment or audit, letting us know exactly where we are without prompting.
Is there anything about Enterprise, aside from the people and specifics of the line of credit and process, that appeals to you?
Enterprise hosts entrepreneurial meet-ups, which I have attended and had the chance to meet other clients. These have opened up some networking opportunities for potential investors or clients.