Managing a Borrower's Business Through a Loan Agreement
On-Demand Webinar
StreamedAug 9, 2022Duration90 minutes
- Unlimited & shareable access starting two business days after live stream
- Available on desktop, mobile & tablet devices 24/7
- Take-away toolkit
- Ability to download webinar video
- Presenter's contact info for questions
Love them or hate them… loan agreements can protect your financial institution, especially with business loans.
Learn
the details and objectives of these important agreements.
AFTER
THIS WEBINAR YOU’LL BE ABLE TO:
- Define the loan agreement
- Know when a loan agreement is required to monitor a borrower’s activities
- Understand the rights afforded by the loan agreement
- Identify the key covenants to insert to monitor a borrower’s financial condition
- Discern the relationship of the loan agreement to other loan documents
WEBINAR DETAILS
All loans have loan agreements, although some are
more tangible than others. Many
financial institutions posit that loan agreements are simply too complicated
and often attempt to avoid using them.
However, loan agreements can benefit both the lender and the
borrower. While the borrower must have
sufficient latitude to operate the company, they must also agree to certain constraints
to limit the institution’s credit exposure.
Provisions in the loan agreement must be drafted to guarantee adequate
cash is conserved by the borrower to ensure continued financial viability and
to repay the loan.
This webinar will address formal loan agreements that are used in large or workout loans. It will define what this very formal and specific type of loan agreement is and what purposes it serves. A loan agreement is a legally binding document with the following objectives:
- Set forth the agreement between the financial institution and the borrower by clearly and concisely defining the duties and responsibilities of both parties
- Establish restrictions and qualifications on the borrower’s activities and financial condition, which are set out by affirmative and negative covenants
- Prepare an alternative plan of action that both parties agree to abide by should various contingencies make the original plan inoperable
- Serve as a communication tool and monitoring device by requiring the borrower to submit certain documents at specified times and notify the lender about certain plans (e.g., periodic financial statements and financial projections)
WHO SHOULD ATTEND?
This beneficial webinar
is designed for senior credit officers, senior loan officers, credit
administration officers, loan review personnel, compliance auditors, commercial
loan officers, consumer loan officers, branch managers, and credit analysts.
TAKE-AWAY TOOLKIT
- Loan covenant matrix that will recommend certain financial covenants to control various financial factors of the borrower
- Employee training log
- Interactive quiz
- PDF of slides and speaker’s contact info for follow-up questions
- Attendance certificate provided to self-report CE credits
Presented By
Bankers Insight Group
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