Vcheck finds a startup’s unidentified UCC filings allowing lender to negotiate more favorable bridge-loan terms.
USE-CASE
Lending & Commercial Real Estate
REGION
United States
INDUSTRY
Lending
problem
A lender was looking to provide a bridge loan to a transportation startup and engaged Vcheck to run background checks on the entity and its top executives to screen for risks that would impact the startup's ability to pay back the loan. The client was concerned about the overly optimistic picture painted by leadership, particularly because they had not raised a funding round in recent years.
solution
Vcheck uncovered the startup had previously put up the same collateral in a UCC filing that had not yet been terminated and they were attempting to reuse it to secure this new loan. Due to Vcheck's findings, the client was able to negotiate more favorable terms that relied on different collateral from the startup.