Probably the most confusing piece of any financing puzzle, is the required documentation piece, since it is so diverse and deal-dependent. While it would be easy to try to fit every transaction into a shell, it is really impossible to do. For the same reason there are so many makes and models of automobiles, there are just as many options in assembling the loan package that is best curtailed to your needs and specifications.For the sake of ease, we will be more than happy to outline the basic ABC's ofloan documentation, but will continue to stress the importance of treating each file like it is completely different from the last and from the next. Please see the starting summation below:
- Letter detailing the transaction including the amount requested and the precise use of funds
- Completed and executed loan application (one separate for each principal)
- History of the borrowing company and management team
- Last two fiscal year financial records including taxe returns, Profit & Loss Statements and Balance Sheets as well as the latest Interim Statement
- Last two years personal tax returns for each principal/guarantor
- Personal Financial Statement for each principal/guarantor prepared within the last 90 days
- Summary of current financing terms in place
- Bank references and executed Verification of Deposit forms
- Articles of Incoroporation and Certificate of Good Standing
- Business Plan, if available
- Company brochures, web addresses, and marketing materials, if available
- Digital photographs of the subject property (interior and exterior)
- Appraisals or any supporting documents that could be construed as helpful in understanding the transaction
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