skip to Main Content

HOTEL & LEISURE FINANCE

Investments, New Built, Expansion, Re-Structuring

(Any Purpose - Any Amount - Any Background)

HOTEL & LEISURE FINANCE

Investments, New Built, Expansion, Re-Structuring

(Any Purpose - Any Amount - Any Background)

“Hotel & Leisure Finance industry is a very lucrative industry both for the investors and businesses. These include Hotels, Resorts, Apartments Hotels, B&B, Pubs, Night Clubs & Restaurants etc.

We provide Financing for

  • Business Premises Finance (New Built, Purchase or Expansion)
  • Business Finance (Operating Business)
  • Assets & Invoice Financing
  • JV and M&A 
  • Special Situation (Adverse, Turnaround, Restructuring etc )

What makes Esteema Hotel & Leisure Finance ‘DIFFERENT?

  • Hotel & Leisure Industry Expert
  • Syndicate Funding Structure: Lending, Financing & Funds Raising 
  • End to End Funding Structure: Senior Debt, Mezzanine, JV & Equity
  • Exceptional Pool of Funding Line – No Upper Limit
  • Revolving Credit Line for Multiple businesses 
  • 360º Credit Risk Mitigation Underwriting for assured success.

Hotel & Leisure Finance is a complex financing expertise, especially when it needs bespoke structuring and where the traditional method of financing does not work.

Our expertise in ‘Hotel financing, Corporate & legal structuring’ support any financing structure for the special need. We have helped numerous complex matters, where traditional finance cannot be competing with.

Esteema Hotel Finance

Traditional Financing
✓ Any Purpose Finance Purchase, New Built, Investment
M&A, Restructure etc
No
✓ Any Type FinanceShort Term, Medium-term ,Long-Term Loan No
✓ Any type of HospitalityYesNo
✓ Any Borrower (UK & International)YesNo
✓ ANY SPV (UK or Offshore)YesNo
✓ Any Location (UK or Globally)YesNo
✓ Multi-Currency & Cross Border FundingYesNo
✓ Loan SizeNo Upper LimitVery Restricted
✓ LeverageUp to 70% Very Restricted
✓ Interest Ratefrom 1.75% +From 4%+ onward

Key Factors Affecting Hotel & Leisure Finance?

Borrower Profile

✓ Personal & Business profile
✓ A & L & Income profile
✓ Past Experience & Track Record
✓ SPV Structure & Location

Collateral Profile

✓ Hotel Types
✓ Location & Demand
✓ Operating Team
✓ Lease rental terms
.

Financial Appraisal

✓ Past Operating accounts / or rental income
✓ Projected Accounts for new built / expansion or restructuring
✓ Operator /Covenant Financial Strength
✓ Lease terms/break clause

Hotel & Leisure Finance Guide

Hotel & Leisure Finance Documents

Following are the standard documents subject to the purpose of the finance

EXISTING HOTEL FINANCING: The following are the standard documents required for Hotel & Leisure Finance for ‘EXISTING HOTEL FINANCING’. 

BORROWER INFORMATION 

  • KYC: ID, Address proof, Personal & Professional profile about the hotel industry experience, Credit report for all the Borrower, Director, Partners & Major Shareholders
  • Borrowing  Structure:  Personal /Partnership/Corporate structure full detail & flow chart, Directors, Shareholders, UBO, and registered address
  • Money Laundering Documents: Assets & Liability Statements, Income & Expenditures Statements, Equity (deposit) proof

COLLATERAL INFORMATION 

  • Collateral: Full descriptions, brochure, valuation report (if available),
  • Operation Profile:
    • Operator (self-operation or management, full details & terms conditions) or
    • Rental ( Tenancy profile, experience detail, financial strength/profile )
  • Financial:
    • As an owned business/ operator: Past Operating accounts, Projected Accounts & Cashflow for new built / expansion or restructuring.
    • As an investor:  Tenant / Operator profile, experience, team, financial Strength & accounts, Projected Accounts & Cashflow for new built / expansion or restructuring. Lease terms/break clause
  • Purpose:  Purchase, Refinance, Restructure, Investments, Developments, Business purpose, Refurbishments

 

Following are the standard documents subject to the purpose of the finance

NEW BUILT HOTEL / EXPANSION: The following are the additional documents in addition to the above documents,  for the ‘NEW BUILT HOTEL / EXPANSION’  

  • Proposed new hotel/expansion information:  Full detail about the type & location, Planning permission documents, CGI drawing, build & contracting team and their profile. Build cost & professional cost summary
  • Financial Appraisal: Business Plan with full detail on the borrower, Equity investors, Development appraisal, End Value (Gross Development Value )) & Stabilised value appraisal from the chartered surveyor/operator, Potential P & L and cash flow.

Hotel & Leisure Finance FAQ?

How much can I borrow?

This really does depend on the many factors as per the key factor affecting the hotel finance. But in summary, most lender’s decision is based on the experience of the proprietors; security value; track record; business performance, affordability and a good business plan. If strong on all these criteria, 100% financing on very competitive rates is achievable.

 

Can I borrow with an adverse credit report?

Yes, you can. Whilst it is not ideal, we will look to understand your business, overall circumstances and your credit record and advise on the funding options open to you. We would strongly advise to inform us of any outstanding creditors, CCJs, arrears etc at the outset as this can save time, avoid unnecessary costs during the loan application process and position ourselves to place you with the right lender.

 

 I am a first-time investor. Can I get the hotel finance?

Yes, we can help you to get the hotel finance even with no experience. We will advise you for the smooth financing procedure.

 

 I never built the hotel; can I get the hotel finance for the new built?

Yes, we can help you to get the hotel finance even with no building experience. We will advise you for the smooth financing procedure for the new build.

 

Can I get the finance for a closed hotel with no trading historical accounts?

Yes, we can help you to get the hotel finance even with no historical accounts & experience. We will advise you for the smooth financing procedure for such an acquisition.

 

 

Hotel & Leisure Finance Costs

The following costs should be considered at the time of availing the Hotel & Leisure Finance:

  • Arrangement Fee: The arrangement fee or the facility fee, is usually charged by the lender as a set-up fee for the loan
  • Exit Fee: The fee is payable to the lender when repaying the loan
  • Broker Fees: These are the fees payable to the Broker for finding the best lenders and managing the application to completion
  • Valuation Fees: This is the fee that has to be paid to the valuer, who shall be instructed by the lender to furnish a report on the collateral/project
  • Legal Fee: Usually, the borrower would have to pay the legal fee for their own solicitors as well as the lender’s solicitors fee

Completion Timeframe

We always aim to bespoke the ‘Financing Time Plan and Finance T & C, to meet the individual requirement. Our standard indicative timeframe :

  • Initial Finance Terms: We usually provide Initial Finance Terms within 24-48 hours.
  • Emergency Finance:  We can complete the finance within 48 hours in case of any emergency or distressing situation.
  • Standard Finance:   We usually complete Standard Finance within 6-8 weeks.

Notes: Financing time frame & Finance T &C are always subject to providing all satisfactory documentation, full credit underwriting,  valuation and legal.

Jargon Buster

Please refer to the Knowledge Bank section for more information

Esteema Syndicate Funding & Structured Funding Expertise provide the complete peace of mind. Please contact us in confidence for
‘Quick Decision – Quick Financing’

Contact us

Please send us the ‘DETAILED INFORMATION’  for the ‘Quick Decision & Quick Financing’

    Back To Top