RMC Stadium Cinemas Saved with SBA 504 Debt Refinance

Daniel Rogers, owner of RMC Stadium Cinemas in Jacksonville, IL,  has been in the theater business since he was a teenager. Eventually he worked his way up to manager and later worked on the corporate side of a large theater company. After additional opportunities in the private sector, he returned to the theater business in 1996 and built his first theater in Waterloo, IL. In 2001, he built the Jacksonville theater from the ground up. The location includes seven auditoriums, features luxury seating, and an expansive food and drink menu – taking the typical movie going experience to the next level.

In 2018, Rogers connected with SomerCor through his local business banker to utilize the SBA 504 refinance program. This allowed Rogers to re-amortize his current debt into a 20-year below market fixed rate, as well as receive a cash-out portion to help service a variety of expenses. For RMC Stadium Cinemas, this helped to cover inventory, utilities, repairs and wages over the short term. But most importantly, the resulting lower monthly mortgage payment increased business cash flow and lead to significant annual savings. In the case of RMC Stadium Cinemas, the monthly mortgage payment dropped by 23%.

For a business to be eligible for the 504 refinance program, it must meet the following requirements:

• Loan incurred at least 6 months prior to 504 REFI application date
• Loan secured by eligible fixed assets for at least 6 months
• At least 85% of loan proceeds were used toward 504 eligible asset acquisition, construction or improvement – i.e. land, buildings, machinery, and equipment
• Borrower payment history on loan is reviewed during CDC credit analysis process and payment transcripts for the prior 12 months must be submitted with application
• May include debt subject to a federal guarantee, such as an SBA 7(a) or 504 loan – learn more about refinancing government guaranteed debt by downloading SomerCor’s webinar on the enhancements to the REFI program

Download the program flyer and connect with a member of SomerCor’s loan origination team today to learn more!