BUSINESS LOAN APPLICATION

Transcription

1 BUSINESS LOAN APPLICATION LOAN APPLICATION PROCEDURES 1. Complete the application and return it with any readily available information that you believe might be helpful in allowing GBH Private Bank to understand how you are proposing to put together your project and how our loan funds will be used within your project. The types of information that we are looking for are financial information about you, your organization and/or project (project budget and at least one or two years prior financial information). A work plan for how the money will be used, detailing any other sources of funds and who will be responsible for doing the work. 2. The staff committee will review any material that you have submitted to determine whether your project qualifies or whether the project falls within our range of capability. If your project is not eligible or there is not sufficient money in our loan Fund at this time to cover your request, you will receive a letter explaining why your request was denied. If your project is eligible and we have sufficient funds, you will be contacted and asked to submit any additional information needed to complete your application. Material prepared for any other purpose, which contains the requested information, is acceptable as long as you highlight the section that is answering one of our questions and identify which question this addresses. 3. The GBH Private Bank Loan Committee will review your application and will approve the loan, deny the loan, or may ask for additional information. 4. A loan agreement is issued by the GBH Private Bank stipulating the terms and conditions of the agreement and requires a signature within a specified amount of time. If GBH Private Bank agrees to provide only a portion of the funds that are needed and the remaining funds need to be secured from another source, we will provide a commitment letter that is time limited to allow you to mobilize the rest of the funds that are needed. 5. Preparation of documents for closing. GBH Private Bank will provide a Loan Agreement and a Promissory Note. When there is collateral to secure the loan, we request that your attorney prepare the necessary security instruments for our review and approval. In some cases exceptions may be made to this policy. 6. Closing will occur as soon as all conditions in the Loan Agreement have been satisfied and the appropriate documents have been prepared. 7. If the project does not qualify (step 2) or the application is not approved by the loan committee (step 3), a denial letter containing the reasons for rejection will be sent. 1

2 LOAN APPLICATION CHECK LIST ADDITIONAL INFORMATION AND DOCUMENTATION MAY BE REQUIRED FOR FINAL LOAN APPROVAL AND CLOSING REQUIRED OF ALL APPLICANTS: Completed Loan Application Written Business Plan Resumes from owners and key managers, with emphasis on industry experience and management background. Written description of the project, including details on how the project will benefit your business. Please include number and type of current full-time-equivalent jobs now and two years after project completion. Proposed project amount and break down of project costs: land, building, equipment, working capital, etc. For construction projects, include initial cost estimates from contractor. Please indicate the amount and source of cash from the business or the owners that will go into the project. Financial Projections for at least 1 year by month (Income Statement, Balance Sheet, Cash Flow and list of key assumptions) Personal Financial Statements (current within 30 days from everyone who owns 20% or more of the business) Personal Income Tax Return (past 3 years from everyone who owns 20% or more of the business) Copy of Personal ID or Passport If any of the owners also owns 20% or more of another business: List and explanation of ownership Business tax returns for the past two years Financial statements current within 60 days EXISTING BUSINESSES ARE ALSO REQUIRED TO PROVIDE: Business Financial Statements including Income Statement, Balance Sheet, and Cash Flow (current within 30 days and from the past two years) Please attach a separate sheet that shows details on all business loans- lender, original date, collateral, interest rate, length of loan, monthly payments. This includes all owner notes to the business. Also include a summary aging of accounts receivable and payable. Business Income Tax Returns (past 3 years) Copy of Certificate of Incorporation, Bylaws and Business Licences Written history of the business- include details of how the business was started, type of products and customers, marketing and competition 2

3 BUSINESS LOAN APPLICATION AGREEMENT Between GBH Private Bank Ltd And of (address) The loan applicant, including all individuals, partners, partnerships, corporations, limited liability companies, and other affiliated entities, is hereinafter referred to collectively as Client. 1. Loan Application Client agrees to promptly and accurately supply all information requested in the loan application. However, additional information beyond that listed in the loan application may also be required by GBH Private Bank, depending upon project circumstances. Client understands and agrees that a loan cannot be considered if Client does not provide GBH Private Bank with all requested information. 2. Project Financing GBH Private Bank will seek financing for Client if it determines, in its sole discretion, that Client s project is within GBH Private Bank eligibility criteria, the project is likely to be approved by the appropriate governing body(s), and other elements of the complete project can also be financed. 3. No SCOEDD Liability Project financing is dependent upon many factors which GBH Private Bank cannot control. Accordingly, GBH Private Bank does not promise that Client will obtain a loan. Client agrees that GBH Private Bank shall not be responsible in any manner or liable to the Client or any other person in the event that financial assistance is not obtained from GBH Private Bank or from any private or public financing sources. 4. Loan Fees If a loan is approved, Client agrees to pay GBH Private Bank a loan fee equal to one and one-half percent (1.5%) of the loan amount, due at loan closing if the loan from the Export Bank. If the loan is directly from the GBH Private Bank, the loan application fee is 200 USD. 5. Business and Credit Information Client agrees that GBH Private Bank may receive confidential business, financial and credit information about Client from financial institutions, credit reporting agencies, or other sources. GBH Private Bank agrees that all confidential information received will be held in confidence and not divulged to persons or agencies other than prospective lenders or guarantors, Client s attorney and accountant, and other persons designated by Client. However, this is subject to UK laws relating to disclosure of certain information by public agencies. 6. Change of Circumstances Client agrees to notify GBH Private Bank immediately in writing of any materially adverse change in Client s financial or other conditions since the date of application. The absence of such notification shall be considered a continuing statement that no such adverse change has occurred. 7. Voluntary Discharge Notwithstanding the provisions above, Client agrees to allow GBH Private Bank to disclose the following information upon loan approval: business name, general project description, city where project is located, loan amount, total project amount, and the number of jobs expected to be created or retained as a result of the project. By signing below, Client concurs with all the terms and conditions of this Business Loan Application Agreement. Client certifies that the persons signing on behalf of Client are authorized to do so by the individuals, partnerships, partners, corporations, limited liability companies, or other entities that are to be assisted under this agreement. Printed Name and Title Signature Date Printed Name and Title Signature Date 3

4 BUSINESS LOAN APPLICATION GENERAL INFORMATION SHEET The application will be complete for processing when the information sheet, supporting attachments (included in the check list), lender commitments and application fee are received by the GBH Private Bank Limited Loan Committee Staff is available to meet in a pre-application conference to discuss loan requests if applicant desires. If additional room is needed to answer a question, please attach an additional sheet and label accordingly. I. Borrower Information Company Contact Title Telephone Name of Business Street Address City Zip County address _ Corporation _ LTD _ Government Body _ Partnership _ PLC _ Charity _ LLC Corporation _ Nonprofit Corp _ Other Date Established Date Incorporated Country of Incorporation Registered Number VAT Registered Number 4

5 II. Company Principals Proprietor, partners, officers, directors and all holders of outstanding stock- 100% of ownership must be shown. Name+Surname, Title and Personal ID or Passport No.: * % Owned Date of Birth Name+Surname, Title and Personal ID or Passport No.: * % Owned Date of Birth Name+Surname, Title and Personal ID or Passport No.: * % Owned Date of Birth Passport is preferred. If no passport please submit ID number. III. Purpose of Loan A. Use of Proceeds Project Costs Land Acquisition Building Acquisition Equipment Acquisition New Construction Renovation Working Capital Product Inventory Other (specify) Total Please be specific about proposed uses of loan proceeds B. Sources of Financing: Please attach copies of commitment of each source of financing. Name of Lender Purpose Amount Rate Term TOTAL $ Note: Total use of proceeds (A) must equal total sources of financing (B). Source of Equity 5

6 IV. Guaranties Offered Identify personal and corporate guaranties: (if no guarantee, you can apply for Foreign Guarantee Insurance Scheme) Yes I/we apply for the FGIS V. Employment Information A. Current and projected (at the end of two years) employees in various job categories. Current # Average Wage Rate Projected # Average Wage Rate Managerial Office Sales Tech/Professional Production Other B. Projected number of new full-time employees (FTE) positions created or saved as a result of assistance. Created Saved First Year Second Year Third Year VI. Business Affiliations Banker Name Address Phone Years of Affiliation Attorney Name Address Phone Years of Affiliation 6

7 Accountant Name Address Phone Years of Affiliation NOTICE The Following information is requested by the Law and our Loan Committee. You are not required to furnish this information, but are encouraged to do so. This information will not be used in evaluating your application or to discriminate against you in any way. Please check the category which applies to you: CHECK YES OR NO TO THE FOLLOWING QUESTIONS: 1. Are you or your business involved in any pending lawsuits? Yes No 2. Has applicant or any officer of the applicant ever been in receivership or adjudicated as bankrupt? Yes No 3. Have any owners of the business ever been arrested or convicted for any criminal offense other than a minor vehicle violation? Yes No 4. Have you previously received financing from GBH Private Bank or Export Bank? Yes No 5. Is any owner or officer of the company, or members of your immediate families, currently employees of the GBH Private Bank or Export Bank? Yes No 6. Are all owners of the business U.S. or EU citizens? Yes No If you answered "YES" to question 1, 2, 3, 4, or 5 please explain: If you answered "NO" to question 6 please explain: 7

8 SCHEDULE OF POTENTIAL COLLATERAL Form: GBH0030 Applicant List all collateral that may be used as security for this loan Section I.- Real Estate If available, attach a copy of the deed(s) containing a full legal description of the land and show the location (street address) and city where the deed(s) is recorded. Following the address below, give a brief description of the improvements, such as size, type of construction, use and present condition (use additional sheets if more space is required). Address Year Acquired Original Cost Market Value Amount of Lien Name and Address of Lien holder Section II.- Personal Property All items listed herein must show manufacturer or make, model, year, and serial number. Items with no serial number must be clearly identified (use additional sheets if more space is required). Description- show manufacturer, model, Serial # Year Acquired Original Cost Market Value Current Lien Balance Name of Lien holder 8

9 Loan Application Supporting Information Checklist The following lists outline the kinds of information that we will be looking for in order to make a decision about your loan request. Not all of these things will apply to you. Please send us any of the following that you have and we will work with you to complete any missing pieces. Please feel free to send material that you have prepared for other purposes and highlight and label the sections that respond to items listed below. A. Organizational Information Description of legal and organizational structure Membership information (eligibility criteria, number of current members, extent to which they are representative of the community) Description of staff and management History of the organization and of key people in it, including brochures and/or press clippings Description of current programs Account of real estate holdings Account of other assets Account of current indebtedness Operating budget for at least the current year Financial statements for the previous two or three years Statement of sources of funding If incorporated, a copy of the Articles of Incorporation, Bylaws, and Certificate of Incorporation B. Project Information Description of project and the development team Explanation of who, and how many, will be served, and the level of their need Explanation of how the project relates to ongoing development efforts Ultimate ownership or management plan for the project Business or development plan, with timeline Project budget List the sources and uses of money for the development of the project and note which are in-hand, which are conditional and which are uncommitted. Please discuss particular challenges of this project and an account of any unsuccessful efforts to get financing from other sources. Description of the type and value of the collateral (or other security) offered. Description of current and future technical assistance needs and who, if anyone, is presently providing assistance 9