Q: What constitutes a complete underwriting package? A: The following information generally completes our underwriting package. Additional items may be requested to complete due diligence: * Completed and signed application (signed by all owners of the business). * Sample invoice with backup documentation (purchase order, proof of delivery, contract, time sheets, bill of lading, etc.). * Master Customer List. * Current Accounts Receivable aging detail (by invoice date). * Most recent year-end financial statements (income statement and balance sheet) and tax return for business and all owners. * Interim financial statement (income statement and balance sheet). * Copy of Articles of Incorporation/Organization (or registered business name filing). * Copy of Driver license of all business owners/guarantors. * DIP financing will require projections.
Q: Can I still utilize your services even if my personal/business credit is impaired? A: Yes! We focus our primary underwriting on the credit quality of your client (end debtor). This does not mean your clients must be large publicly traded entities. With over 6400 debtors in our database, we work to establish credit for companies of all sizes. Our goal is to enable your responsible growth through diversification of your client mix and reasonable credit exposures.
Q: What if I have IRS liens on my business? A: Endeavor can work with you to provide a funding solution and repayment plan to the IRS. If you are already in a payment plan with the IRS, we have been successful in achieving subordination of IRS liens to enable ongoing funding. It is in the best interest of all creditors, including the IRS, to ensure the ongoing revenue generation of the business entity.
Q: How do you qualify my clients for funding? A: We use a one page credit request form in the instance of a new client. Our credit team will gather all available information on your prospective client from a variety of credit reporting agencies as well as our own database and general internet searches. A credit limit will be established based upon your anticipated volume with the client and overall impact on the diversity of your accounts receivable.
Q: What if my client is declined? A: In the event Endeavor is unable to approve a client of yours for funding, you may continue to do business with the client. Invoices (agings) for the denied debtor will be deducted from eligible borrowing base and or place on the "do not buy" list. If your experience with the debtor is positive and payments are timely, a second review may result in approval. For obvious reasons, we always recommend limited exposure to denied debtors.
Q: What security does Endeavor utilize as collateral for services? A: This depends on the type and extent of funding provided. Typically, Endeavor looks to maintain an all assets filing on the business entity in a senior position. There are situations in which we fund invoices in a junior lien position with cooperation from the senior lien holder. Your unique needs and circumstances will be reviewed by an Endeavor sales manager to determine the appropriate fit to enable your growth and meet the underwriting guidelines of Endeavor.
If your questions are not answered here, please contact us to discuss your unique needs and circumstances.