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The SBA 504 Experts Announce Merger…
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We issued a press release this morning about some very big news for us. I think you’ll find it interesting, so I decided to post it here for you to read. It may raise some questions, so please leave a comment below. I’ll probably post another message tomorrow about the news below, so let me know what you think and what questions you have, and I’ll do my best to explain everything tomorrow.

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NEWS RELEASE

OLD FLORIDA NATIONAL BANK AND MERCANTILE CAPITAL CORPORATION ANNOUNCE MERGER AGREEMENT

ORLANDO, Fla. — Old Florida National Bank and Mercantile Capital Corporation have entered into a Merger Agreement. Old Florida National Bank (Old Florida), headquartered in downtown Orlando, expects the merger to be finalized in the late fourth quarter or early first quarter of 2011.
Randy Burden, chairman of Old Florida, and Geof Longstaff, chairman of Mercantile, jointly announced the merger.

Old Florida National Bank, formed in 1982, currently operates eight (8) full-service retail banking facilities throughout Central Florida and Inverness, Florida and boasts over $375 million in assets.

Mercantile, the seven-year old Altamonte Springs firm that specializes in U.S. Small Business Administration (SBA) 504 loans for owners of small to mid-sized businesses who want to acquire or develop their own facilities, has provided commercial loans in 30 states and Puerto Rico for more than $513 million in total project costs since it opened as Mercantile Commercial Capital, LLC in late 2002.
“The merger substantially extends Old Florida’s capacity to engage in commercial lending,” Randy Burden said.

“Mercantile ranks as one of the largest and best known providers of SBA-504 lending in the nation,” Burden said. “They have succeeded in developing a well-known and well-respected brand with a solid reputation in the small business community,” Burden added.

Longstaff, who has served as President of three banks in the area over the past three decades, said the merger brings substantial resources to bear on Mercantile’s effort to serve small business owners nationwide.

John Burden, President of Old Florida, said “the merger creates a strong, cohesive banking organization squarely focused on serving consumers, professionals and the small business sector.”

“Old Florida National Bank is a home-town bank well known for personal service to our customers and a smart, reliable approach to banking,” Burden said.

“We are very pleased to offer Mercantile’s services to our customers and to further our service to Central Florida’s small business community,” he said.

Christopher G. Hurn, chief executive officer of Mercantile Capital Corporation, said “the merger enables Mercantile to expand its services and to help more small business owners nationally.”

“Our merger substantially expands the capital resources we can bring to the small business sector of the U.S. economy,” said Hurn.

Mercantile Capital Corporation will operate as a wholly-owned subsidiary of Old Florida National Bank. The combined entities are estimated to have nearly $400 million in total assets upon completion of their merger, making Old Florida one of the largest Orlando-based community banks.

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Again, I’ll write more tomorrow to explain everything, but I want you to know right away that this is good news for us and will allow us to do more of what we’ve always done: Fulfill Dreams with Smarter Financing.

Dedicated to Your Continued Success,

Chris

P.S. Thanks for keeping up with us on this blog, and also on Facebook, Twitter and LinkedIn. If you’re not connected to us through these other social media, be sure to go there and like/fan/follow/connect/whatever so we can get you the most up-to-date news about our fair company and the state of small business lending.

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26 Comments

  1. Howard Levine says:

    Chris,

    Congratulations. Any chance you’ll be doing 7(a) loans?

    Howard

  2. Jim Ferrell says:

    This should be a great merger for everyone in Central Florida.
    Congratulations for a very good deal!

  3. Rob Kampen says:

    Congratulations, its wonderful to see one of our clients (OFNB) join together with a leading small business lender. We look forward to a mutually rewarding relationship in the future. President NDG.

  4. Clifford Kearns says:

    Chris

    That is great news on your merger with the bank!

    Mid-Atlantic Commercial Capital

  5. Braudis Pegram says:

    Congratulations Chris!

    “the merger enables Mercantile to expand its services and to help more small business owners nationally.”

    “Our merger substantially expands the capital resources we can bring to the small business sector of the U.S. economy,”

    Does this mean you’ll finally be able to do some well qualified deals in MI and New Mexico?

  6. Owen Garratt says:

    Hey now! Next stop: The Maple Curtain!

  7. Ray Bedolla says:

    Chris, Congratulations!!! I am so glad to see your expansion. Your move is showing all Captains of industry, that you have showing DIRECTION TO LEAD. Mark my words, today Florida. Tomorrow the rest of the United States. With LEADERS like you I’ll work for you anywhere in the USA. Once again, Best of luck!!!
    Ray

  8. Nigel Worrall says:

    Congratulations to everyone involved. Now go and make a difference…

  9. Sharon Bramlett says:

    Great news and a testimonial to your continuing contribution to US innovation and economic success. Thank you, ENVIROLOGIC.

  10. Chris Hurn says:

    Thanks for ALL the well-wishes everyone!

    Now to answer some of your comments:

    We’ll probably do some 7(a) loans in the near future, but don’t immediately count on them being outside of Central Florida.

    Lending in MI still isn’t looking good, but NM has never been “off the map” for us.

  11. Larry Lane says:

    Great news for the small business owners. Congratulations on the merger and to all of the businesses that will benefit from this event.

  12. Charles Stewart says:

    Wow: Congratulations Chris you have it going on. This is really great new for the small business sector and long overdue. Look forward to more news about the merger.

  13. Steve Pickering says:

    Congratulations, Chris. I know you have worked mightily to build MCC, and hope that with the merger you will realize the rewards due to all entrepreneurs. Perhaps you will have a little more time to spend with your family and other pursuits that interest you.

    Thanks for all that you do for the community of entrepreneurs and Greater Orlando.

  14. Jason Charles says:

    Congratulations on the merger. I know you guys were working on that for a while. I’m glad to see it happen. All the best with the new platform!

  15. Ann Hutchens says:

    Thanks for the update! It’s great to hear good news about you.

  16. Marilyn Pullen says:

    Incredible news and great for business.

  17. Zach Baker says:

    That’s great news, Chris! Congrats to you and your team!

  18. Ann Hutchens says:

    Great article; congratulations upon your bank! 🙂

  19. Natvar Nana says:

    Congratulations!

  20. Joe Welnack says:

    Very good news Chris. Do you think that your partnership with this bank will make “start-ups” any easier to do?

    Also, having a good lending partner for the 7a product in Central Florida is something we may approach you with.

    Best wishes in your new venture.

    Can you tell us what the Fitch Rating is with your new partner bank?

  21. Joe Deitz says:

    Geoff, I just read last week’s article in the Sentinel! Congratulations to you and your firm on the merger with Old Florida National Bank. The bank will add SBA financing at a time which is needed by many old and new organizations! Sincere congratulations and best of luck!

  22. Craig Francis says:

    I heard you bought a bank. Kudos to your acquisition.

  23. Eunice Choi says:

    Congratulations on your merger agreement with Old Florida National Bank!

  24. Mark E. Lacasse says:

    I saw the article in the Orlando Sentinel on your merger.

    Congratulations.

    I hope this finds you well.

  25. Curt Roese says:

    Congrats on the merger – I hope it is a successful venture for you!

  26. Zenia Birdie says:

    I read about MCC’s Merger with Old Florida National Bank and I’d like to express my sincere Congratulations! I wish you and everyone involved all the best. I can’t wait to hear about all your other endeavors.

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