Commercial Loans with Kyle Bleyenburg



Commercial loans can be very beneficial to businesses but often times there are many questions that revolve around them. Kyle Bleyenburg answered some popular questions around this topic.

What are commercial loans and when are they used?
Commercial loans are made to business entities (corporations, partnerships, sole proprietorship, LLCs) rather than a loan made to an individual. Commercial loans are used to finance real estate, equipment, vehicles, aircraft, and other capital expenses that the business is purchasing. A line of credit to help pay for inventory, working capital needs, and other operational costs is also a common commercial loan.

What separates a commercial loan from other loans?
Commercial loans are different from residential and consumer loans. Commercial loans are made to businesses rather than individual consumers. Commercial loans typically are done at a lower loan-to-value than residential loans. Commercial loans look at the debt service coverage ratio which compares the business net operating income to its annual debt service. It is calculated by dividing the net operating income by the debt service which measures the ability to service the debt.

What are the different types of commercial loans Frontier Bank offers?

  • Commercial Real Estate to purchase commercial property
  • Business LOC
  • Equipment Financing
  • SBA loans
  • Construction loans
  • Aircraft loans
  • Bridge loans
  • Term Loans

What would be an ideal business uses for a commercial loan?
The most common commercial loans that businesses finance at Frontier Bank are real estate, equipment, and lines of credit.

What type of company should consider a commercial loan?
Any business that is looking to fund capital expenses or cover operational costs that they wouldn’t be able to afford. This could be a growing business that needs to purchase a bigger building or a business that needs a line of credit to purchase inventory until they receive payments from their customers.

What does the application process look like?
The application process is as easy as filling out an application which will ask for information about the business, who owns it, what the loan request is for, and the description of the collateral. We then will ask for 3 years of business tax returns and a personal financial statement and 3 years of tax returns from the owners of the business.

What is unique about working with a Frontier Bank Commercial Banker/Lender?
Frontier Bank is a local community bank that spends the time to understand the business and get to know the owners. Frontier Bank will look to structure each loan to help the business succeed. We will look for the best solution for the request and decision-making for each loan is made locally.

What should you look for when picking a Commercial Banker/Lender?
You should look for a banker who has experience and takes the time to understand your business. You will want a banker that you can trust to give all your financial information to and confidentially share what is going on in your business. Also, look for a banker that can give good financial advice and be available to help you succeed.

Contact a commercial loan officer to learn more.

Kyle B

Kyle Bleyenburg

Senior Commercial Banker







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