Commercial loan onboarding
1. Preliminary Assessment
- Check for required signatures.
- Ensure all sections are filled out.
- Look for any missing documents.
- Confirm the application is dated.
- Verify that the loan type is specified.
- Cross-check with official business registration.
- Validate the business address and contact details.
- Confirm the owner's identity and background.
- Ensure the business structure is clearly defined.
- Look for any discrepancies in information provided.
- Understand the specific use of loan funds.
- Evaluate the requested amount against industry standards.
- Assess the alignment with business goals.
- Determine if the request is reasonable.
- Consider potential risks associated with the loan purpose.
- Request recent profit and loss statements.
- Obtain balance sheets for the last two years.
- Collect cash flow statements.
- Check for any outstanding debts or obligations.
- Ensure documents are prepared and formatted correctly.
2. Documentation Collection
- Prepare a list of required documents.
- Send a formal request to the borrower.
- Specify deadlines for submission.
- Follow up if documentation is not received.
- Request balance sheets, income statements, and cash flow statements.
- Specify the format needed (PDF, Excel, etc.).
- Ensure the statements are audited if required.
- Verify the dates to ensure they cover the last 2-3 years.
- Request federal and state tax returns.
- Specify the years required.
- Confirm the returns are signed and complete.
- Check for any discrepancies in reported income.
- Ask for a detailed business plan or a concise executive summary.
- Specify the required format and length.
- Ensure the document outlines business goals and strategies.
- Request recent updates reflecting current business status.
- Request personal financial statements from all owners.
- Ensure statements include assets, liabilities, and net worth.
- Specify the format needed (PDF, Excel, etc.).
- Confirm the statements are current and accurate.
- Identify potential collateral types (real estate, equipment, etc.).
- Request appraisals or valuations for the collateral.
- Ensure proper documentation proving ownership.
- Verify that collateral documentation is up-to-date.
- Request articles of incorporation or equivalent documents.
- Verify the business's legal structure and registration.
- Ensure documents are current and properly filed.
- Check for any amendments or additional legal agreements.
3. Credit Analysis
4. Loan Structuring
5. Approval Process
6. Closing Preparation
- Draft the loan agreement and promissory note.
- Ensure all terms and conditions are accurately reflected.
- Include signatures and dates where required.
- Prepare additional documents as needed.
- Select a date and time convenient for all parties.
- Book a suitable location for the meeting.
- Confirm availability of key participants.
- Send a calendar invite with details.
- Verify all necessary documents are accounted for.
- Check for any outstanding items or issues.
- Ensure compliance with all regulatory requirements.
- Make any adjustments as necessary.
- Collect valid identification from the borrower.
- Gather all required financial documents.
- Review eligibility criteria to ensure compliance.
- Prepare a summary of findings.
- Review the approval documentation for completeness.
- Confirm that all conditions have been satisfied.
- Document any outstanding items for follow-up.
- Notify relevant parties of compliance.
- Draft required disclosures as per regulations.
- Verify accuracy of all compliance documents.
- Ensure all forms are signed and dated.
- Prepare copies for all parties involved.
- Schedule a meeting with legal counsel.
- Provide all closing documents for review.
- Discuss any legal concerns or changes needed.
- Incorporate feedback into final documents.
- Calculate the final loan amounts and fees.
- Prepare a detailed breakdown for transparency.
- Ensure all figures are accurate and clear.
- Distribute to the borrower before closing.
- Identify required witnesses or notaries by law.
- Contact them to confirm availability.
- Schedule their attendance at the meeting.
- Provide them with necessary documents.
- Confirm funding amounts and timelines.
- Review instructions for disbursement of funds.
- Ensure all parties are clear on processes.
- Document final instructions for record-keeping.
- Draft a reminder email with meeting details.
- Include a list of required documents.
- Send reminders a few days before the meeting.
- Follow up with participants to confirm attendance.
- Draft a comprehensive checklist of post-closing tasks.
- Include timelines for each action item.
- Assign responsibilities to team members.
- Review checklist for completeness.
- Verify that title insurance is secured.
- Check for any additional required insurance policies.
- Ensure all documentation related to insurance is complete.
- Document confirmations for record-keeping.
Use in Manifestly