|
Most companies seeking business loans
routinely start with the bank that provides them with basic business banking
services, but the business loans market is far greater than the reach of most
commercial banks. Whether you are seeking a SBA business loan, a permanent
mortgage loan or a development loan, there are some intervening steps between
you starting to solicit banks and other commercial firms for financing firms and
completing the underwriting and escrow closing. Your due diligence
documentation has to be updated and ready for delivery via electronic
file. Most clients post the documents in a secure directory and then
provide access to lenders, brokers or bankers on an as-needed basis. Your
audience is (potentially) quite diverse, so your documents must be polished and
ready for review. You should take advantage of legal counsel as
business lending does not offer the same protections as home mortgage lending or
consumer credit lending (car loans, credit cards, etc.). A good attorney
will keep you out of most of the real hot water. Don't go to the attorney
until you have your due
diligence documents in order and the proposed capital
funding plan is in its final draft form. If you aren't sure how to
proceed with your proposal, then contact a Rainmaker consultant and take
advantage of a free initial consultation. If you think you are ready,
then carefully review your documentation to make sure the following documents
are in the package (we are assuming a commercial real estate development
financing - the most complicated for these purposes):
-
Updated & Audited Financial Statements (last three (3) years).
-
Updated Federal Income Tax Filings (last three (3) years).
-
Title Policy (with all schedules).
-
Environmental Phase I report.
-
Articles of Incorporation.
-
By-Laws or Operating Agreement.
-
Shareholder Disclosure.
-
Title (or Site Control Agreement, as the case may be).
-
Evidence of Zoning & Permitting (construction projects).
-
Soil Tests.
-
Project Development Plat (final filed version).
-
Structural Engineering Report.
-
Architectural Schematic Phase Design Documents.
-
Schematic Phase Outline Construction Specifications.
-
Contractor Profile, Financial Statements & Bonding Capacity
Letter.
-
Architect Profile & Contract.
-
MEP Firm Profile & Contract.
-
Property Management Agreement.
-
Project Development Management Agreement.
-
Utility "Will-Serve" Letters.
Obviously, this list is not limited. There could be specialty
consultants required to provide reports, the project's investment incentive
entitlements must be clearly documented. If you aren't sure about how to
proceed, then please contact a Rainmaker consultant and have the matter more
fully explained for your benefit.
|
