Kilpatrick and Hart, Ltd, Inc – Commercial Funding Basics

With 25 years of experience, Kilpatrick and Hart, Ltd, Inc, has a database of more than 300 lenders, investors, and investment banking firms for its commercial funding clients. Using an eight-step process to fund projects like apartment buildings, construction loans, and vehicle wash systems, Kilpatrick and Hart works with national and international clients to secure commercial funding.

One of the first and most essential components of any commercial funding application is an effective business plan. It shows lenders that applicants are serious about whatever projects they wish to undertake. In a business plan, an applicant should include a list of objectives and a plan for achieving them. Not only does the identification of goals and objectives by an applicant demonstrate to lenders that thought has been put into future possibilities, but it also helps give lenders a benchmark by which to judge a commercial venture’s progress.

Another important component of a business plan is the funding request section. There, an applicant should include current funding requirements and projected requirements for the next five years. Additionally, the applicant should indicate any strategic financial situation plans for the next five years – for instance, a buyout or the selling of the business. Situations such as those can significantly impact the applicant’s ability to repay the loan.

The Eight-Step Funding Process at Kilpatrick and Hart, Ltd., Inc.

Since 1988, Kilpatrick and Hart, Ltd., Inc., has assisted companies in creating business, financial, and marketing plans. The firm currently focuses on commercial funding both inside and outside the United States.

To do so, an eight-step funding process is used. The firm begins by requiring a prospective client to send in a pre-qualifier worksheet, project or executive summary, or business plan. It then reviews the funding concept, asks for any additional information needed, and creates a fact sheet to forward to potential sources of capital.

Next, Kilpatrick and Hart receives projected terms from the capital source. After the proposal is executed, the applicant receives a Letter of Interest or term sheet from the capital source, at which point the company provides the applicant with a document checklist to prepare for due diligence.

The final steps in the process include formal due diligence, a conditional commitment from the capital source, and final funding of the project. Kilpatrick and Hart, Ltd., Inc., never guarantees funding, but it does guarantee that several steps in the funding process will occur, including the issuance of a term sheet from a capital source.