Industries:

Radio, Newsletters, Billboards, Towers.

Loan Purpose:

Bridge financing, equipment, recapitalizations, acquisitions.

Loan Size:

$100,000 to $2 million.

Guarantees:

Required from managers owning a majority of stock.

Underwriting Guidelines:

Cashflow (income before interest, depreciation and amortization) sufficient to cover debt service.

Closing Debt/Cashflow of 5.0 times or less.

Loan to value not in excess of 75%.

Collateral:

First security interest in all assets including UCC filing on receivables, inventory and equipment, an assignment of material agreements and a pledge of equity.

Amortization:

5-15 years with balloon at the end of 5 years.

Fees:

Loan fee of 2%, paid at closing and legal fee of 1-2% paid at acceptance of commitment.

Interest Rate:

Prime plus 4-6%, depending on loan size and leverage, with an interest rate floor at 12%.

Discouraged Transactions:

Radio stick loans, loans to companies without cashflow, subordinated loans, mezzanine loans.