Step One

Complete the Loan Application

Through the loan application, the potential borrower provides the information we need to make a preliminary determination as to whether the transaction satisfies our criteria and is one in which we are interested. In order to properly assess the proposal, we review the following information:

  • Borrower information
  • Property information
  • Loan purpose
  • Information regarding any other collateral
  • Other pertinent information, such as: date of last appraisal, term of any current leases

Upon review, if we determine this transaction makes sense, we will provide a term sheet to the borrower. Execution of the term sheet begins Step 2.

Step Two

Project / Property Assessment

Once the borrower agrees to preliminary terms, we proceed to verifying property information. Documents we request can vary, but at a minimum we will review the following:

  • Title Search
  • Appraisal of the property (in certain situations)
  • Most Recent Property Tax Assessment
  • Lien / Judgment Searches
  • Survey (only if necessary)

Whether an appraisal or survey is needed depends on the loan amount sought as compared to the value of the property. When an issue may exist, we will request an appraisal of the property.

Step Three

Due Diligence

In the process of reviewing property records, we will also assess the validity of the organization or individual seeking the loan. In conducting this phase of the process we will seek the following:

  • Articles of Organization / Incorporation
  • Bylaws / Operating Agreement
  • Amendments to Governance Documents
  • Resolutions
  • Federal / State Business Tax Returns
  • Documents to Verify Identity – Driver’s license / Passport

Additional documents may be requested as determined.

Step Four

Closing and Funding

Upon completion of due diligence, we will proceed to closing and funding the transaction. Closing will generally take place at the title company of the borrower’s choosing. When requested, we can usually provide a recommendation as to title company. We will provide the borrower with specific instructions regarding payment due dates, amounts and location.