Maxim Commercial Capital, a provider of loans and leases from $10,000 to $3 million collateralized by Class 6 and Class 8 trucks, trailers, heavy equipment and real estate, reported an 86% increase in funded deals during 2023 compared to 2022. The company also promoted Michael Kianmahd to CEO, effective Jan. 1.
Kianmahd previously served as the company’s executive vice president for 12 years and succeeded the company’s founder, Behzad Kianmahd, who remains chairman of the organization.
“Michael has been instrumental in the company’s successful growth,” Behzad Kianmahd said. “He has spearheaded efforts to institutionalize our operations, including key projects in underwriting, collections, corporate development and human resources. We are proud of his accomplishments thus far and the team he has built and excited for him to lead the company into the future.”
Maxim Commercial Capital widened its credit window in 2023 as heavy-duty truck prices normalized after the extraordinary post-COVID-19 pandemic run-up, demand increased from small business owners for growth capital, and competition lessened from alternative and conventional lenders.
During the year, the company’s real estate-secured, cash-out financings funded during the year included a $100,000 term loan for a Florida-based optician with 35 years of experience, enabling the optician to relocate to a larger store while providing working capital. The loan is secured by a junior lien on the borrower’s residence behind a first mortgage. Maxim Commercial Capital also closed a $280,000 term loan for an entrepreneur to fund working capital for a startup business without diluting their equity. The loan is secured by a junior lien on a leased single-family home in Venice, CA, owned by the entrepreneur.
In 2023, Maxim Commercial Capital’s truck financings included loans and leases for experienced and 2018 Freightliner Cascadia 125 startup owner-operators in 39 states across the U.S. Such transactions included purchase financing for an experienced owner-operator with good credit to buy a 2020 Volvo VNL64T740 with 516,000 miles for $67,500; a startup owner-operator with challenged credit to buy a 2018 Freightliner Cascadia with 557,00 miles for $43,308; and an experienced owner-operator with challenged credit to buy a 2018 Freightliner Cascadia 125 with 556,000 miles for $46,565.
“I am humbled and honored to be part of this great team as its new CEO and look forward to continuing to build Maxim into the future,” Michael Kianmahd said. “We are optimistic for a strong 2024 given the general expectation that the economy will avoid a deep recession, inflation appears to be subsiding, and interest rates will normalize. Onshoring and nearshoring trends should positively impact our customer and referral bases. And as banks continue to retreat given portfolio challenges, Maxim will be in pole position to provide alternative financing solutions to the market.”
