South End Capital a division of Stearns Bank, N.A.

What South End Capital a division of Stearns Bank, N.A. does

South End Capital is a nationwide, technology-enabled non-conforming commercial lender operating as a division of Stearns Bank, N.A., a $3.2B FDIC-insured national bank headquartered in St. Cloud, Minnesota. Founded in 2009 by Noah Grayson as South End Capital Corporation (SECC) and acquired into Stearns Bank in June 2021, the company originates commercial real estate, SBA 7(a), term, equipment, business credit line, and working-capital/fast-capital loans ranging from $1,000 to $5M+, with a flagship no-documentation CRE loan product up to $1M and application-only processing up to $500K. The platform architecture combines balance-sheet direct lending (funded on Stearns Bank's books) with a curated marketplace of 75+ third-party financing options accessible through a single application, a Lendflow-powered borrower portal, and an API-enabled partner portal with co-branded landing pages and referral tracking.

The business model generates revenue through three streams: (1) origination fees, closing fees, and ongoing interest income on directly funded loans held on Stearns Bank's $3.2B balance sheet; (2) marketplace commissions on third-party-funded loans facilitated through the platform; and (3) referral fees paid to and earned from a nationwide partner network of brokers, ISOs, CPAs, banks, credit unions, vendors, realtors, and affiliate marketers (up to 3% on direct funding, up to 4% on marketplace funding, up to 30% revenue share on renewals). Go-to-market is hybrid: direct-to-consumer via online prequalification and an inside sales/account executive team, plus channel-led through the referral partner program. The target customer base consists of real estate investors (including ITIN holders, non-profits, raw-land and rural-property buyers), small business owners (including startups and SBA International Trade Loan borrowers), equipment buyers, and 'non-conforming' borrowers rejected by traditional banks. Loan production reached over $1.5B in 2024, up from $1.4B in 2022 across 7,800+ transactions.

Name

South End Capital a division of Stearns Bank, N.A.

Legal name

South End Capital a division of Stearns Bank, N.A.

Website

https://southendcapital.com

Company type

Private

Founded year

2009

Operating status

Operating

Headcount range

251–500 employees

Short description

South End Capital is a nationwide non-conforming commercial lender operating as a division of $3.2B Stearns Bank, N.A., offering no-doc CRE, SBA 7(a), term, equipment, and fast-capital loans from $1K–$5M+ to SMBs and real estate investors across all 50 states through a tech-powered direct-lending and marketplace platform.

Ownership category

akta.pro rank

Product category

Commercial Lending

NAICS

Commercial Banking (522110), Nondepository Credit Intermediation (5222), Real Estate Credit (522292), Mortgage and Nonmortgage Loan Brokers (52231)

SIC

National Commercial Banks (6021), Mortgage Bankers & Loan Correspondents (6162), Short-Term Business Credit Institutions (6153)

akta.pro primary industry

SME Term Loans & Growth Capital (FSAKAGAB)

akta.pro secondary industries

SBA/Government-Backed & Development Finance Loans (FSAKAGAI), SME Commercial Real Estate (CRE) Lending (FSABABAG), Middle-Market Lending (FSANADAI), Balance-Sheet / Portfolio CRE Lending (FSALADAG)

Keywords

• Commercial lending services
• SBA loan programs
• Equipment financing
• Business term loans
• Real estate financing

Headquarters

HQ city

Saint Cloud

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Marketing or Sales, Infrastructure

Revenue model

1. Direct Lending: In-house loan programs funded on the balance sheet as a $3.2B nationwide bank and direct lender. Generates revenue through origination fees, interest income, and closing fees on loans they fund directly.
2. Financing Marketplace: Access to curated financing programs facilitated by the team and funded by select third-party lenders. Revenue generated through referral fees and revenue share arrangements with lending partners.
3. Referral Partner Fees: Earn fees on loans funded directly (up to 3%) and in the marketplace (up to 4%). Additional revenue share of up to 30% on renewals and when referring other partners. Partners can earn up to $50,000 per funded referral.

Pricing tiers

Go-to-market motion3 records

Distribution channels3 records

Marketing channels7 records

Core offering

South End Capital is a technology-powered nationwide commercial lender and financing marketplace that provides no-doc and low-doc commercial real estate loans, SBA 7(a) financing, fixed-rate business term loans, equipment financing, revolving business credit lines, and expedited working capital (FAST Capital) products. The company funds loans directly on the balance sheet of its parent Stearns Bank, N.A. ($3.2B nationwide bank) and also operates a curated marketplace of 75+ third-party financing programs for borrowers whose needs fall outside its in-house programs, serving small business owners, real estate investors, and non-conforming borrowers across all 50 states plus Washington D.C.

Product overview

South End Capital is a technology-powered direct lender and financing marketplace operating as a division of Stearns Bank, N.A. The platform offers a unified suite of eight distinct financing products: REAL ESTATE (no/low-doc CRE loans up to $1M), SBA 7(a) Financing, Term Loans, Equipment Financing, Business Credit Lines, FAST CAPITAL (working capital/MCA), Direct Lending (balance-sheet funded), and a Financing Marketplace (70+ third-party programs). The company also provides Employee Retention Credit services. The architecture combines in-house funded programs with a partner marketplace to deliver capital solutions from $1,000 to $5 million+. The platform features an API-connected partner portal for referral tracking and a borrower portal powered by Lendflow technology.

Differentiator

Problem solved

Functional benefit

Products and services

• Real Estate (No-Doc / Low-Doc CRE Loans) No and low-documentation commercial real estate loans from $50,000 to $1 million, nationwide. Application-only processing up to $500,000 with no bank statements, tax returns, or financials required. Covers raw land, houses of worship, 1-4 family rental property. Accepts U.S. citizens, legal permanent residents, non-profits, and ITIN holders. Entity or personal ownership accepted. Closes in as fast as 2 weeks.
• SBA 7(a) Financing Preferred SBA 7(a) financing from $150,000 to $5 million for purchasing or starting a business, working capital, SBA International Trade Loan financing under the Grocery Guarantee and Made in America programs. Cash-flow based with full documentation. Up to 25-year loan terms, startup financing available, most industries considered, no prepay penalty options. 680 credit minimum.
• Term Loan Fixed-rate, long-term, low documentation business term loans from $20,000 to $500,000 for working capital, debt consolidation, equipment or inventory purchases, and expansion. Fixed for 12 years. 660 credit minimum, no hard collateral required, 2+ years time in business, $20,000 monthly revenue minimum, fixed interest rates from 8.77%.
• Equipment Financing Equipment financing from $30,000 to $5 million for most industries and credit profiles through the nation's top equipment lenders and tech-powered equipment financing marketplace. Approvals in hours, same-day funding available. Application-only financing up to $350,000. 0% down options, up to 84-month terms, financing rates from 8.5%, dealer and private party sales.
• Business Credit Line Revolving business credit line from $1,000 to $500,000+ operating like a credit card with higher credit limits and lower interest rates. Up to 36-month terms, no collateral required, $14,000 monthly revenue minimum, no prepayment penalties, same-day funding available. Cash-flow based with no tax returns required in most cases.
• FAST Capital Expedited and automated small business working capital loans and merchant cash advances up to $500,000. One streamlined application compares multiple financing offers with daily, weekly, and monthly repayment options. Same-day funding available. Can consider borrowers turned down by other lenders. No minimum credit score, no collateral required.
• Financing Marketplace Curated marketplace of 75+ third-party financing programs facilitated by South End Capital and funded by select lending partners, expanding capital reach when internal financing is not the right fit. Access through a single streamlined application.
• Referral Partner Program Referral program for brokers, ISOs, CPAs, lenders, banks, credit unions, marketplaces, vendors, business owners, entrepreneurs, influencers, marketers, media sites, and realtors. Includes comprehensive partner portal with 24/7 lead tracking, real-time status updates, co-branded landing pages, API connectivity, and referral tracking. Referral fees up to 3% on direct funding and up to 4% on marketplace funding, plus up to 30% revenue share on renewals and partner referrals, up to $50,000 per funded referral.

Quantifiable outcome

• Fast closings: Same-day funding available for equipment and business financing
• +4 more outcomes

Named customers10 records

Segments5 records

Ideal customer profiles4 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature4 records

Partnerships

Three partnerships are on record, tiered core and minor.

• Third-Party Lending Partners NetworkcoreChannel Partner/ Reseller/ DistributorStrategic network of technology-efficient lenders with track record of performance that facilitate the marketplace loan programs. SECC administers this cutting-edge, technology-based intermediary loan marketplace to facilitate placement of loans SEC cannot fund in-house.
• Referral Partners (Brokers, ISOs, CPAs, Lenders, Banks)coreChannel Partner/ Reseller/ DistributorNetwork of referral partners including loan brokers, ISOs, CPAs, lenders, banks, credit unions, marketplaces, vendors, business owners, entrepreneurs, influencers, marketers, media sites, and realtors who refer eligible borrowers for potential financing in exchange for competitive referral fees.
• Employee Retention Credit (ERC) Tax PartnerminorStrategic or Co-development PartnerPartnership with an industry-leading Employee Retention Credit tax firm to provide eligible business owners cash refunds up to $26,000 per employee in as little as a few days.

Scale indicators7 records

Recent moves7 records

Expansion highlights5 records

Market position

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• Xx.com/SouthEndCapital

Compliance2 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles4 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about South End Capital a division of Stearns Bank, N.A.