Our Case Studies


Manufacturer With Lender Fatigue

R&D Advisory Group was engaged by a family-owned manufacturer who was having some difficulty with their existing lender. Their manufacturing business was a client of this large banking institution for more than 10 years, and over that time had five different assigned commercial lenders. With each lender, the client felt further and further removed from the banking institution to the point where their loan was ultimately sold off to a third party as part of a loan portfolio sale. The acquirer of the loan pool quickly decided that they didn’t want to be in the small balance commercial real estate market, and decided to make the banking relationship uncomfortable for our client. Initially, the business owner started to reach out to the various local banks in an attempt to refinance their existing line of credit and real estate mortgage, but struggled to satisfy the never-ending list of bank reporting requirements to even complete the loan applications. They realized they needed help. They reached out to R&D Advisory Group to help assist with the bank packaging process so they could spend their time focusing on operating a profitable business. Our team worked closely with the office manager and controller to collect the necessary financial information to build a business plan that highlighted the business’s long history of success and clearly articulated its owner’s vision toward increased revenues and profitability. We put together a real estate asset report that highlighted the strengths of their property and why it was critically important to the success of their operating business.

The strong bank package we assembled was in turn used to finish the various bank applications that initially overwhelmed our client. As a result, the thorough bank package, and quality underwriting it contained, secured our client financing offers from three different banks. The business was able to leverage the three loan offers against each other, there by lowering the business’ borrowing costs by over 100 base points (bps), while also establishing a new banking relationship with a local banking institution that it could grow with moving forward.


Out-of-State Multifamily Purchase

Due to our ability to assist clients across the country, R&D Advisory Group was engaged as a real estate consultant to assist an experienced real estate investor group in analyzing a potential investment in a multifamily asset located in different state. The investor group had three generations of experience in the commercial real estate arena, but had not owned or managed a multifamily asset in more than 20 years. While we were initially engaged to review a few target properties and underwrite the expected value of each asset based on local market dynamics and property performance, the relationship quickly evolved. The client’s borrower group was based in another state-a great distance from the potential purchase property-creating the need for bank packaging services. R&D Advisory Group assisted the borrower in creating a fully-underwritten package for the client, and putting that package in front of one of our established lending contacts to secure an agency execution on the purchase of the asset.

Our client ultimately received a non-recourse loan for the purchase of the property at 80% leverage and at a below-market fixed rate on a 30-year amortization schedule. R&D Advisory Group worked with the lender directly-from application through to closing so that all the borrower had to worry about was flying in for the loan closing and to receive the keys to their new investment property.


Family Owned Business Startup

R&D Advisory Group was engaged as a full-service advisor for a new family entertainment business concept. We worked with a strong management team to take what was a very well-devised idea and helped them transform it into a successful, thriving business. Our team worked with this ownership group to craft the business plan, identify equipment and service vendors, and source and structure their capital funding. To support the commercial real estate aspect of the venture, we completed a market feasibility study to ensure their first space was located in an area populated by the appropriate target demographic and co-tenants. We also supported the real estate selection process and made introductions to a local commercial real estate brokerage firm that specialized in industrial flex leases. We worked with our client’s architect, engineers, and general contractor to space plan and design the layout of the facility and ensured that our client’s desires were met while also staying within their budget.

Once the permits were received and the build-out was started our team worked with the ownership team to build a marketing plan and develop sales scripts for their business development efforts. While we were initially engaged to get this business up and running, our relationship was so successful that we have been retained to consult with the owners on a monthly basis with forecasting sales and budgeting of expenses. We also review prior month’s sales against projections and identify factors which may have led to any variance from the original budget, whether positive or negative. We are also working with the group to ensure that they are staying on the path to ensure a successful exit from the business whenever the time is right.


Cramped Automation Manufacturer

When an automation manufacturer reached out to his personal banker at a super-regional bank asking for real estate advice, his banker immediately referred him to R&D Advisory Group knowing we had the expertise to help. The manufacturer explained to us that his current commercial space was too small to grow his business and support additional projects that could increase revenues.

We knew we needed to first understand his current financial position before knowing whether or not expansion was feasible. We conducted an analysis of the client’s sales and profitability, and determined that there was in fact ample cash flow to support additional rent or mortgage expenses. Our team made an introduction to a local commercial real estate broker who specialized in manufacturing properties, and together we identified a 12,000-square-foot bank-owned (REO) industrial building. We worked with the broker to assess the property value and advised the client on making a purchase offer. The client was able to purchase the property at a below-market price, and through our SBA packaging services, assembled a loan package that secured an SBA 504 mortgage from the same super-regional bank that made our introduction.

The borrower was able to get a very attractive 25-year SBA loan with a fully-fixed rate in the low 4s. in addition to the mortgage, our team’s banking experience and credit training helped us to identify our client’s need for a working capital line of credit to accommodate the increased sales and receivables that would accompany their expansion. We referred this opportunity back to his personal banker, and he was able to refer it internally to their business banker, earning him an internal referral compensation for identifying the opportunity and bringing it to his team. Lastly, the real estate broker we introduced to our client was also able to sell the existing 2,000-square-foot industrial condo, relieving the business of the burden of debt on two properties.