- Conventional Loans
- Bridge Loans
- Financing Programs
- Apartment Loans
- Commercial Mortgage Refinance
- Office Buildings
- Working Capital Loans
- Construction Financing
- FHA Commercial Loans
- Equipment Financing
- Hard Money Loans
- Fix And Flip Loans
- SBA Loans
- USDA Commercial Loans
- Commercial Real Estate Loans
- Business Real Estate Loans
FINANCIAL GUARANTY PROGRAM
Greenlight Commercial Funding, LLC, (GCF) has a program offering qualified clients a cash-backed Financial Guaranty (FG) and financing for terms of up to 5 years.
BRIEF OVERVIEW:
The Client has a Project that requires a capital infusion. Through a Preferred Equity Agreement, GCF will make an Investment into the Client which can be used as a
Financial Guaranty to secure a private placement debt offering. The Client sells its corporate notes to investors, thereby raising the needed capital for its Project.
Normally, a corporate bond offering will be oversubscribed, thus raising capital over the cash backing the FG. Should there be a failure, the funds backing the FG will be used to repurchase the failed corporate bonds from participating investors. This structure and outcome are subject to the risk management analysis, terms, and conditions.
CLIENT REQUIREMENTS:
• Risk Management Assessment of the Project
• Corporate Guaranty: Yes
• Personal Guaranty: To Be Determined
• Pledged Assets Requirements: To Be Determined
• Participating in Third-Party Commercial Lender
• Detailed Use of Proceeds
• Provision of Certified Financial Statements at the appropriate time
TERMS:
• Range: $/€10 million to $/€500 million.
• For requests over $/€500 million, please contact us.
• Term: FGs are issued for 15, 39, or 63 months.
• Non-Refundable Allocation fee: 2.00%
PHASE III: EXECUTION
1. The Borrower executes and delivers to GFC the Common Equity Participation or Profit
Participation Agreement (TO BE NEGOTIATED).
2. The Borrower must file any securities offerings with the SEC.
3. The Borrower’s chosen third-party commercial lender performs risk management
analysis of the Borrower and its Project.
4. GFC, the Lender, and the Borrower collectively negotiate the terms and conditions of the
Loan.
5. The Borrower must include the payment of the Note as part of the loan proceeds.
6. Lender issues loan commitment.
7. The Borrower issues a press release announcing the Investment.
8. The Borrower implements its business plan.
9. The Borrower remits Administrative & Allocation Fee payments to GFC. Within 90 days before the loan term, the Client must present to GFC the repayment
options for the Loan. If the Client needs to refinance with the Lender, and collateral is still needed, this request must be made in writing to GFC within 60 days before the Loan term. In the unlikely event of a default, it must be agreed that the participating lender transfer ownership of the debt obligation to GFC in exchange for the liquidation of the Collateral.
For more information on how your company can qualify for GCF's Financial Guaranty Program, please contact us at info@greenlightcommericalfunding.com or
(770-990-7939)