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Commercial Lending Center Suite
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Multiple Collateral Types

Collaterals lie at the core of the Commercial Lending Management System, in which different collateral types can be blended in any combination to support a loan balance. Currently, thirteen asset classes are supported that can be added to your system over time as you diversify your portfolio and as the market evolves.

Each collateral typeis valued and monitored in a discreet process designed for that particular asset class, allowing for closer scrutiny, more accurate valuation, and tighter control.

Available asset classes include:

Bulk A/R – traditional borrowing base that manages the collateral valuation method in bulk by tracking ineligibles and applying an advance rate to determine the lending threshold. The user defines the ineligible categories and the frequency of certificate postings.

Detail A/R - asset class most closely associated with factoring thatmanages the vast amount of detail associated with processing clients' invoices (accounts receivable). Extensive fee, interest floor, and ceiling options support the most complicated of asset purchase deals.

A/R Aging – manages accounts receivable collateral by creating and posting summary aging and applying discount and advance rates at the bucket age level to establish availability. Setting options include limits and rates for each aging bucket and an aging ineligible calculation for each posting.

Multi-Class – a multi-dimensional A/R that allows for specialized treatment of different asset classifications. It is useful for industries where different asset classes have different liquidation values based on historical collection activities.

Medical Receivables – most commonly used in healthcare lending, this asset class establishes user defined categories and assigns historic cash discount rates to convert the reported value to net collectable value. The system generates aged ineligibles, summarizes the adjusted category values, and calculates collateral availability.

Inventory Bulk – allows users to update the inventory balances into the updated values by posting new purchases, new returns and adjustments, and reductions for sold inventory.

Inventory Summary – provides an alternative method for valuing single inventory classes used in borrowing bases. Established using a variety of control techniques and tracked by user-defined categories, along with individual category settings for advance rates and limits. Includes the ability to convert cost basis value to a secondary valuation basis that more closely represents the expected market- or net-realizable value.

Equipment – manages equipment as additional collateral used as support for a line of credit or term loan. Users can itemize by individual piece or category. The availability is based on the reported value discounted by the established advance rate. The availability can be reserved further by selecting a user defined schedule that automatically depreciates the collateral value over the useful life of the asset.

Real Estate – incorporates real estate asset values as calculated loan security. The availability calculates based on the reported value discounted by the advance rate. Additional information for this type of borrowing base includes cost and appraised values, description and location, and relevant dates.

Purchase Orders – uses purchase orders as additional collateral to support loans. Availability calculates based on reported value discounted by the advance rate. Additional information captured includes order number, supplier, purchase terms, and relevant dates.

Loan-Backed Detail – used for tracking details of a generic asset class that is used as a borrowing base by uploading details on assets/loans in a portfolio and automatically calculating and posting the current value and current ineligibles.

Securities – manages Over-the-Counter traded securities as additional collateral to support a loan. The availability calculates based on the current (real-time) trading value per share and is discounted by the advance rate.

Generic – handles assets that don’t fit the other available categories. User defined advance rates and general controls are applied against the asset to calculate availability.​​

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