ABL Services

In addition to its lending activities, Lighthouse provides a number of services for banks, other asset based lenders, private equity groups, investment banks or other financial institutions in need of assistance assessing, monitoring, or managing asset based collateral.  These services include:

  • Straight Referrals – When a bank or other capital provider cannot continue to service a client or serve a prospective client due to loan size, credit standards, historical cash flow deficiencies, or other credit parameters, Lighthouse many times can structure a transaction based on the client’s assets that will fit the client.  Lighthouse pays referral fees for closed transactions.

  • Participations – Lighthouse will consider participating in transactions where a bank or other capital provider does not want the full credit exposure.  Lighthouse will lead manage the credit, and the bank or other capital provider will participate in the deal.  This structure permits a financial institution to maintain a relationship with the borrower until it is in a position to re-assume the full credit exposure.  The bank or other capital provider will receive detailed periodic reporting, and the client will benefit from a lower overall financing cost as a result of a blended interest rate.

Through Lighthouse’s operating subsidiary, Verification Management Company (VMC), Lighthouse can assist banks and capital providers with the following services:

  • Collateral Assessments – VMC can perform an analysis of the collateral assets of a specific existing or prospective loan or an entire portfolio of working capital loans and prepare a detailed report outlining the collateral position of the loan and make loan structure recommendations to reduce risk.

  • Initial Due Diligence – VMC can perform an initial due diligence investigation for a prospective loan and prepare a report with recommendations for loan structuring and credit approval conditions.  The capital provider closes and funds the loan.

  • Collateral Monitoring – Following funding of a loan or for an existing loan, a capital provider retains VMC to provide ongoing monitoring of the collateral and management of the loan. VMC provides the capital provider with appropriate periodic reporting on the credit. VMC can also perform Field Examinations based on availability.

Compensation for Services -VMC is compensated for the service it provides based on either a daily rate (field examinations), an hourly rate, or a monthly fee.

For more information on services and fees. please call

336-272-8709 direct

or 888-208-9676 toll free