By Claude Cohen, Capital Express
Let’s be honest: every week, we meet clients who have equity—often substantial—yet can’t get the financing they need.
Why? Because once you’re outside the bank’s criteria, everything becomes complicated.
Too much consumer debt. A non-traditional income. A separation. Administrative delays.
And yet, these aren’t bad files. They’re just unconventional.
In moments like these, the real question is:
👉 Do you have an alternative to offer, or are you letting the deal die?
At Capital Express, that’s exactly why we’re here.
Dormant Equity: Your Most Underused Asset
Many of your clients own one or more properties.
They’ve built up equity… but aren’t using it. Meanwhile:
- They’re paying 19–24% interest on credit cards
- They’re behind on tax, school, or municipal bills
- They need to buy out a shareholder
- Or stock up on critical inventory before a price spike
➡️ That financial stress slows everything down—their project, their credibility, their peace of mind.
The Solution: A Private Loan Backed by Equity
At Capital Express, we offer structured, fast, and short-term private financing backed by real estate assets.
We look at the asset.
We look at the need.
And above all, we look at the exit plan.
A Few Real Cases We Finance Each Month:
1. The Client Drowning in High-Interest Debt
Scenario: $35,000 in credit card debt, no breathing room.
Solution: $50,000 private loan secured on their primary residence (valued at $625,000)
Result: Debt cleared, breathing space restored, clear plan for refinancing in six months.
2. The Urgent Shareholder Buyout
Scenario: A partner is leaving the company, but corporate financing is taking too long.
Solution: Private loan secured on the company-owned building
Result: Deal closed in under 10 days, business relationship preserved.
3. Strategic Inventory Purchase
Scenario: A merchant wants to buy key stock before a supply shortage
Problem: Line of credit is maxed, bank approval won’t come in time
Solution: $120,000 loan structured over 6 months, to be repaid upon inventory turnover.
⏳ The Exit Plan: Your Key to Speed
A private loan is never a permanent solution.
It buys you time—but that time must be well-defined.
Here are some exit plans we regularly approve:
- Upcoming income tax or GST/QST refund
- Confirmed inheritance
- Sale of a property (in Quebec or abroad)
- Expected bank refinance
- Temporary liquidity demonstration required by another lender
When the plan is clear, dated, and realistic: we move fast.
❌ What You Risk By Doing Nothing
As an intermediary, your role is to guide your clients to a solution.
When you offer nothing, here’s what usually happens:
- The client walks away from the deal
- They turn to someone else (and don’t come back)
- You lose the relationship—and the referral
A well-explained, well-structured private loan lets you stay in the file—and save it.
✅ What We Expect from You
You don’t need to pitch the entire solution.
Your job is to recognize that the file might be viable—just differently.
Then:
- We help structure the case
- We talk with you—or directly with the client (your choice)
- We give a fast answer
- And most importantly: we work in solution mode
🧾 Quick Checklist: When Should You Call Us?
✔ Your client has equity, but no bank approval
✔ The need is urgent (under 30 days)
✔ There’s a clear logic behind the capital use
✔ There’s a realistic (ideally dated) exit strategy
✔ The pressure is rising, and bank delays are holding things back
👉 If you checked 3 of these 5 boxes: Submit the file.
In Conclusion
Debt isn’t always a bad thing.
Used wisely, it can ease the load, create breathing room, buy time—or unlock opportunity.
But it needs to be smart, structured, temporary—and aligned with a clear plan.
At Capital Express, that’s what we’re here for:
- When your client doesn’t fit the bank mold
- When they have assets but no liquidity
- When timing matters more than ratios…
That’s when we become your partner.
Have a case in mind? Let’s talk.
