First Union Chooses CyberLoan.DENVER--(BUSINESS WIRE)--Aug. 16, 1999-- First Union Small Business Capital Now Accepts On-Line Commercial Real Estate Loan Applications Through the CyberLoan System Found at FinancingSources.Com FinancingSources.Com (formerly DataMerge, Inc.), a Denver-based developer of on-line loan submission systems for the commercial real estate industry, today announced that Sacramento, Calif.-based First Union Small Business Capital (NYSE NYSE See: New York Stock Exchange :FTU FTU Foreign Trade University (Hanoi, Vietnam) FTU Federation of Trade Unions (Hong Kong, China) FTU Formal Training Unit FTU Florida Times-Union (newspaper) ) is now participating in its on-line commercial real estate loan submission network, CyberLoan(TM). First Union Small Business Capital was formerly the commercial lending division of The Money Store, Inc. The CyberLoan system is often described as the commercial counterpart to E-Loan, Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :EELN). In other words Adv. 1. in other words - otherwise stated; "in other words, we are broke" put differently , FinancingSources.Com/CyberLoan is to commercial mortgages what E-Loan is to residential mortgages. Like E-Loan, CyberLoan matches incoming loan applications with the underwriting criteria of multiple lenders, then transmits the application to those lenders most likely to finance the property. CyberLoan, however, differs from E-Loan in several respects:
- CyberLoan specializes in processing commercial real estate loans.
E-Loan processes residential loans.
- CyberLoan is larger than E-Loan in terms of loan application
volume and the number of participating lenders. Over 500 lenders
receive loan applications through CyberLoan, compared to 70 or 80
for E-Loan. CyberLoan loan application volume averages $300
million per month, and is growing monthly by 25 percent. E-Loan
volume is significantly lower.
- FinancingSources.Com is a neutral third-party within the system,
not funding loans itself as E-Loan does, but referring them
directly to the participating lending institutions.
Recent events, such as the stellar performance of E-Loan stock following its initial public offering, the announcement by Comps.Com (NASDAQ:CDOT CDOT Colorado Department Of Transportation CDOT Chicago Department of Transportation (Illinois) CDOT California Department of Transportation CDOT Connecticut Department of Transportation ) that it will enter this market by year end, and announcements by FinancingSources.Com that major lending institutions now use CyberLoan, have focused national attention and investor interest in the company. "Response by the investment community has been tremendous," said Spencer Kluesner, chief executive officer at FinancingSources.Com. "We are currently entertaining two offers to acquire us at very tempting multiples, in addition to offers to provide private equity in the $20 million range, to be followed by an initial public offering. We anticipate a decision within the next 30 days." The CyberLoan system went live February 1 and currently processes over $300 million in commercial real estate loan applications each month. CyberLoan is used by more than 500 lending institutions, including GE Capital Real Estate (NYSE:GE), Bank of America
Bank of America (NYSE: BAC TYO: 8648 ) is the largest commercial bank in the United States in terms of deposits, and the largest company of its kind in the world. (NYSE:BAC BAC abbr. blood alcohol concentration ), Heller Financial, Inc. (NYSE:HF), Bank One Corp. (NYSE:ONE), Lehman Brothers Lehman Brothers Holdings Inc. (NYSE: LEH), founded in 1850, is a diversified, global financial services firm. It is a participant in investment banking, equity and fixed income sales, research and trading, investment management, private equity, and private banking. Holdings, Inc. (NYSE:LEH), Merrill Lynch Merrill Lynch & Co., Inc. (NYSE: MER TYO: 8675 ), through its subsidiaries and affiliates, provides capital markets services, investment banking and advisory services, wealth management, asset management, insurance, banking and related products and services on a global basis. Capital Markets (NYSE:MER mer Among the Cheremi and Udmurt peoples of Russia, a sacred grove where people of several villages gathered periodically to hold religious festivals and sacrifice animals to nature gods. ), and Transamerica Corp. (NYSE:TA). Formed in 1989, privately held FinancingSources.Com is led by Spencer Kluesner, a former securities and mergers & acquisitions advisor who today serves as chief executive officer of the 26-person company. The company's products and services are used by customers in North America, Western Europe and Asia. FinancingSources.Com is currently in negotiations for a second round of private equity and an initial public offering. For additional information, visit the company's website at www.financingsources.com or call 800/580-1188. |
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