Warehouse Facility Explained
If your fintech, financial services, or online lending company is looking to scale up operations and originate more loans or receivables, you […]
What is a Borrowing Base Certificate?
A borrowing base certificate is a report that borrowers send to their lenders detailing the assets that are eligible to collateralize a […]
What are the common Stress Testing Scenarios?
Stress Testing Scenarios While the above portfolio metrics analyze historical performance, lenders also leverage stress testing which models hypothetical economic scenarios to […]
Key Metrics for a Warehouse Facility
Warehouse facilities are one of the most common types across all verticals, from credit cards to auto loans and business financing. Without […]
What is a Deferred Purchase Price?
In asset-backed securitization and warehouse lending arrangements, the deferred purchase price (DPP) refers to a portion of the purchase price that is […]
Priority of Payments in a Warehouse Facility
A warehouse facility is a type of revolving credit facility used to finance assets originated by a company before they are sold […]
Buyback Provisions Explained
Buyback provisions are contractual clauses in asset-backed lending facilities that outline the situations in which the originator or seller of the assets […]
What is a Non-Call Period?
When a company takes out a loan from a lender like a bank, the loan agreement contains many provisions that govern the […]
What is Reserve Amount in a Warehouse Facility?
A reserve amount in a warehouse lending facility refers to a portion of the loan proceeds that is held back by the […]
What is amortization of a debt facility?
When a company takes on debt financing, such as a revolving credit facility, there is typically a set period of time in […]
Loan to Value Ratio Explained
As an early-stage startup seeking funding, one of the most important financial metrics you will encounter is loan-to-value ratio, commonly abbreviated as […]
How to buid a loan tape?
A loan tape is an essential document that provides detailed data on the loans or other assets that are being used to […]