CollateralEdge enabled a $3.5M line of credit for an aerospace parts manufacturer by addressing underwriting challenges related to uneven financial history and customer concentration.
CollateralEdge enabled a $3.5M line of credit for an aerospace parts manufacturer by addressing underwriting challenges related to uneven financial history and customer concentration.
$3.5M line of credit granted.
Established a long-term banking partnership.
Positioned the bank for ongoing fee income.
A significant portion of the manufacturer’s revenue came from a single client, raising risk
concerns.
Post-COVID performance improvements lacked a sufficient track record for reliable forecasting.
Inventory and accounts receivable presented valuation complexities, making it difficult to
meet traditional borrowing base requirements.
A $550K letter of credit issued at deal close by UMB Bank, fully collateralizing the loan.
Allowed for quarterly extensions, enabling the bank to align collateral support with the
borrower’s growth trajectory.
The bank utilized CollateralEdge’s platform to instantly evaluate and price multiple collateral
scenarios, ensuring rapid decision-making.
The bank successfully extended a $3.5M line of credit, securing deposits and future fee income
from a new client.
The letter of credit provided an added layer of security, allowing the bank to mitigate risk without
adjusting internal policies.
By supporting the borrower’s growth, the bank positioned itself as a key financial partner,
unlocking opportunities for additional lending and cross-selling.
