Managing Credit Approval Packages

When To Use

Preparing a credit approval memorandum (CAM) for new loan originations, renewals, or modifications
Documenting a lending recommendation for credit committee or senior credit officer review
Packaging borrower financials, deal structure, and risk mitigants into a single approval submission
Supporting trade finance facilities (letters of credit, supply chain finance, trade loans) that require formal credit approval
Consolidating annual review packages for existing credit exposures

Borrower information: Legal entity name, organizational structure, ownership/management bios, industry SIC/NAICS codes, years in business
Financial statements: Minimum 3 years of audited or reviewed financials (balance sheet, income statement, cash flow); interim statements if available
Tax returns: Business and personal guarantor returns for the corresponding periods
Loan request details: Facility type (revolver, term loan, LOC, LC), requested amount, tenor, proposed pricing, fee structure, amortization schedule
Collateral data: Appraisals, asset schedules, UCC search results, insurance certificates, environmental reports (Phase I/II if real estate secured)
Existing exposure: Current outstanding balances, payment history, covenant compliance record, prior CAM decisions
Third-party reports: Credit bureau reports (D&B, Experian business), industry benchmarks, credit rating agency data if rated
Guarantor financials: Personal financial statements, liquidity verification for any individual guarantors