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Procedures for Business Loans After submitting a one page Executive Summary , it has to be reviewed and accepted, also a complete Funding Package must be received. This package includes the business plan, current financial information, and additional supporting documentation. Depending on the detail of the funding package and the type of funding requested, the deal will progress forward with the following procedures. Deals with all the proper documentation: For transactions that do not need assistance with packaging, have provided all the appropriate information, and signed agreements are in place, we will immediately contact our Investors and Funding Sources. Clients need to sign Agreements with The Project Corporation. Clients are responsible for all expenses associated with pre approved costs for property appraisals, business valuations, CPAs, Attorneys, demographic studies, travel, copies, etc. Closing Commissions are 2% unless otherwise stated. When a funding package needs assistance: For deals that have viability and do not have the proper documentation we charge a consulting fee for file build up and our time while assisting with the reworking the documentation to meet funding standards. Our minimum fee, for any project that needs assistance, is $2,500. The amount goes up with the complexity of the project. It is customary that the Client pay for all costs associated with the development and presentation of the plan. How much money have you set aside in your budget for capital acquisition? We understand that Clients resist paying any up front costs. This is usually due to the fear they will pay fees and still not get funded. We understand the point of view and we also understand that the work still must be done to have any chance of a successful funding. Are you serious about receiving funding? Do you understand the process, and know there is a considerable difference between presenting a quality documentation and trying to receive money on a half-baked plan? Since you now know the difference, do you understand that closing commissions do not cover the costs of property appraisals, business valuations, CPAs, Attorneys, demographic studies, travel, etc., just as those commissions do not cover the cost of building an appropriate funding package? Will the funding lead to a more profitable business? Do you prefer to continue to spin your wheels and waste time, or are you ready to move forward with a quality funding package? Are you now ready to have a professional handle the project for you? Closing Commissions are 2% unless otherwise stated. Closing commissions are separate from consulting fees. Consulting fees must be paid on the front end, and commissions are paid at the closing. Fees and commissions collected by The Project Corporation are not part of and do not set, the interest rate, the yield rate, Funder’s closing costs, Due Diligence Fees, third-party consultation fees, or other fees which the Funder, other firms, or other persons may charge. Marketing Blitzes: Many transactions, although viable, have unique qualities and need to be marketed to hundreds of funding sources. The minimum marketing fee is $3,500 plus $50 per package sent. Packages are sent Fed Ex, or similar service, and a follow up call is made to each Investor. Clients are responsible for the printing and supplying the business plans and supporting documentation which are provided to the Investors. The number of packages sent will be dependent on the budget you have set aside for capital acquisition. Clients need to sign Agreements with The Project Corporation. Closing Commissions are 2% unless otherwise stated. Marketing fees must be paid on the front end, and commissions are paid at the closing. Agreements The appropriate agreements will be signed by both the Client and The project Corporation before presentation to the Investor, or Lender. Agreements include: A. Non Circumvent Agreement Moving Forward When the funding package is complete the project will be placed with an appropriate Funder. The Funder will review the initial information and determine the terms and closing costs. A Letter of Interest concerning the project will be issued by the Funder. The Client will verify information concerning the funding source and meet with the Funder. Due Diligence Fees are paid upon request if there is need to confirm data and the soundness of the project. Upon favorable analysis of due diligence, the deal will proceed to closing.
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