How to Craft an Effective Commercial Loan Write-Up

This webinar will cover the basics of how to craft an effective commercial loan write-up. The session will begin with a brief overview of loan write-ups or credit memorandums including types, styles, and necessary component parts (relationship information, financial analysis, management review, and risk assessment/mitigation).

The financial analysis section will highlight liquidity, activity, leverage, operating performance, and cash flow analysis. Additionally, the Z-score bankruptcy predictor will be reviewed.

The session will also cover additional important loan write-up items including assessing the company’s strategic plan - marketing, financing, and management. Also, the risk assessment and mitigation section will be used to summarize the loan presentation.Three standard commercial loan write-ups will be presented in order to illustrate the concepts.

Learning Objectives:

• Review effective commercial loan write-ups
• Discuss types, styles, and components parts
• Cover the financial analysis section
• Assess the company’s strategic plan and management’s strengths/ weaknesses
• Analyze the risk assessment and mitigation section as a summary of the loan presentation
• Summarize the concepts by reviewing three loan write-ups