KPC Project Finance

KPC Project Finance
7 Stages of Funding

Funding will consist of 7 stages. The process by which a project gets funded must follow these 7 stages. We believe it’s important to understand these stages so that the process is followed, and expectations met for everyone.

Stage 1.

Stage 1. Pre-Underwriting

  • Submission from the client, with Application and Checklist of Documents
  • The project goes through the Predictive Scoring Underwriting Model.
  • Pre-Underwriting either sends the client a denial or a pre-approval letter

Stage 2.

Stage 2. Underwriting

  • Internal approval with partners
  • Waiting for the client to send the rest of requested documentation required to get a term sheet
  • After all the documents provided by the client, a term sheet will be issued.

Stage 3.

Stage 3. Final Underwriting

  • After term sheet is agreed upon by all parties, Final Underwriting will send out all additional needed documents that were not provided previously.

Stage 4.

Stage 4. Contract Stage

  • After Final Underwriting approves the Project Risk Management then takes over.
  • Legal will start working on the loan agreements and documents.
  • After contracts are agreed upon and signed by the client, risk management gives final approval.
  • After all internal approvals from risk management, legal and Loan Documents are signed by all parties, Loan Documents are lodged with Custodian and Escrow Attorney.

Stage 5.

Stage 5. Custodian Engagement

  • References of previous clients, verification of Family Office and Custodian is done at this stage. 
  • Custodian sends a letter to the client, Escrow Attorney, and Capital Provider, confirming that all parties can perform, based on the signed Loan Agreements.

Stage 6.

Stage 6. Closing

  • Client follows instructions of the Escrow Attorney/Custodian and transfers Cash Collateral to the Custodian.
  • Custodian confirms to the client, Escrow Attorney, and Capital Provider that all parties have completed their initial responsibilities.

Stage 7.

Stage 7. Post-Closing

  • Custodian/Capital Provider follows the draw schedule stated in the Loan Documents and provides the draws to the client.
  • Capital Provider collects interest-only payments and principal payments based in the Loan Documents.
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