CHICAGO--(BUSINESS WIRE)--May 10, 2005--Charles H. Luck Envelope, a business in the suburbs of Chicago, specializes in adhesive solutions. They don't make envelopes; they don't make glue; they simply apply the glue to envelopes for printers and other businesses.
Charles H. Luck started the company in 1896 and it changed hands several times before the new owner's father bought it 66 years later, maintaining the focus of the business.
Tim Kennedy, who took over for his father in 2000, and co-owner Kevin Dean found it necessary to move the company from its Forest Park, Ill. location to a bigger warehouse in nearby Franklin Park.
"Our old building was being torn down, so naturally we needed to relocate," says Kennedy. "Securing and moving to a new location was going to require significant financing."
Kennedy moved the company, its 20 employees, and all of its supplies and equipment to the new warehouse. As he sought financing for the project, he contacted several banks, but could not secure a fixed rate on a loan for a term longer than five years.
On a recommendation from his commercial real estate broker, he contacted GE Commercial Finance, Business Property. They were able to offer him a 504 SBA fixed-rate loan with a 20-year term, requiring only 10 percent down. The financing totaled $675,000.
"Banks were able to offer me four guaranteed term renewals, but who knows what rates could have been like at that time," says Kennedy. "GE Business Property was organized and efficient to work with, making it a simple process to secure financing for our move."
GE Business Property is one of the premier providers of 504 SBA loans, which are ideal finance solutions for small businesses that need real estate but also need cash flow to keep their businesses moving and growing. Scott Wicks, the GE Business Property account executive who worked with Charles H. Luck Envelope on their financing, says the 504 SBA loan allows small businesses to retain access to capital as they move forward.
"The long terms we are able to offer with fixed-rates work well for small businesses," says Wicks. "Not only do we offer the stability of a fixed rate for 20 years or more, we also offer the resources and experience of GE. As a result, we are able to complete the loan without requiring much effort on the part of the customer."
With their financial needs addressed, Charles H. Luck Envelope can return to the business they know best -- providing adhesive solutions for their clients.
GE Commercial Finance, Business Property is a leading provider of single tenant/owner-occupied commercial real estate financing in the United States. With assets of more than $13B, the business serves commercial real estate owners, investors, developers, and brokers. Business Property offers conventional debt and SBA loans, as well as flexible, structured products tailored to meet the capital needs of small to middle market businesses in diverse industries. More information is available at www.gebusinessproperty.com or by calling toll-free 888-335-4372.
GE Commercial Finance, which offers businesses around the globe an array of financial products and services, has assets of more than US$230B and is headquartered in Stamford, Conn., USA.
GE (NYSE: GE) is Imagination at Work -- a diversified technology, media and financial services company focused on solving some of the world's toughest problems. With products and services ranging from aircraft engines, power generation, water processing, and security technology to medical imaging, business and consumer financing, media content, and advanced materials, GE serves customers in more than 100 countries and employs more than 300,000 people worldwide. For more information, visit www.ge.com.
Contacts
GE Commercial Finance, Business Property
Nancy Nyikes, 314-205-3540
[email protected]
or
Tag Team Global, Chicago
Gini Dietrich, 312-787-7249
[email protected]
Jeff Wilson
GE Capital Corporate Finance
[email protected]
1-203-749-6340