GMAC Comm. Credit

GMAC Commercial Credit is a world leader in asset-based financing solutions, working for companies on the road to financial gain. With offices in three of the world's most important countries and a global reach through its network of partners, GMAC Commercial Credit can finance the purchase of all of your trading and capital assets. Through open-minded approaches to solving financing problems, GMAC Commercial Credit provides the engine to accelerate your growth or help you get back on track if you should hit a bump in the road. Our asset-based lending and factoring product lines can take care of all of your credit-related needs. Supported by the world's largest industrial enterprise, General Motors Corporation, and GMAC, its global financing arm, there are almost no boundaries beyond your reach.

GMAC Commercial Credit is one of the world's largest asset-based lending operations. We have regional offices throughout the United States, Canada and the United Kingdom. Our $3 billion portfolio consists of 2,500 facilities throughout the globe, and includes a number of diverse transaction types. We take pride in our flexibility and have demonstrated proficiency in successfully executing finance solutions for acquisitions, recapitalizations, refinances, DIP's and turnarounds. We target borrowers of varied sizes and borrowing requirements depending on the country of domicile. In the UK, companies will have a minimum turnover of £3,000,000 and will require a invoice discounting line of at least £500,000. In Canada, companies with have a line requirement of Cd$5,000,000 or more. In the United States, facility requirements will range from $5,000,000 to $250,000,000. From the "straight forward" to the more "exotic" deal; whether you are seeking financing of your day-to-day working capital requirements, attempting to more effectively leverage your balance sheet by generating liquidity from long-term fixed assets, or growing the basic infrastructure of your company through capital expenditures, we have the expertise and the product capabilities to structure a loan facility that works for you.

Working Capital Revolving Loans

These are basically lines of credit for the short-term liquidity needs of your business. Borrowing availability is based on the amount and quality, from a financing perspective, of your accounts receivable and inventory. As your company grows, this type of facility can naturally grow with it. While typical facilities of this type run anywhere from one to seven years by contract, the line constantly "revolves" by allowing you to borrow, repay and borrow again based on the life cycle and turnover of your assets.

GMAC Commercial Credit's key lending parameters for the two primary asset classes involved in this type of loan are as follows:

Accounts Receivable

	Generally no cap on loan amount as long as asset support evident
	Advance Rates up to 90% of eligible collateral
	Ineligible categories include past dues, contras, cross-ages, gov't, etc…
	Collateral audits performed at least twice annually
	Adjustable rate pricing based on credit quality, with reference lending rates of Prime and Libor

Inventory

	Generally loan capped at lower of asset availability or 50% of entire line
	Advance Rates up to 60% of eligible collateral on non-commodity asset classes
	Ineligible categories include slow-moving/obsolete, WIP, off-premise, etc…
	Collateral audits and/or appraisals performed at least twice annually
	Adjustable rate pricing based on credit quality, with reference lending rates of Prime and Libor

GMAC Commercial Credit also frequently provides both commercial and standby L/C financing in conjunction with revolving loans. Finally, should you have a seasonal business, or one in which short-term assets do not fully cover all your working capital needs, a comprehensive analysis and understanding of your business and its inherent cash flows may enable us to support you with an overadvance line.

Term Loans

These represent a more permanent type of financing and are loans based on the appraised value of your company's fixed and/or intangible assets. GMAC Commercial Credit typically advances funds at the closing of the facility, in the form of a single payout, which is then amortized or repaid over a three to seven year time horizon, but almost always terminating in conjunction with your revolving line, if one exists. GMAC Commercial Credit's general lending parameters for this type of facility are as follows:

	Loans based on machinery and equipment, real estate and intangible assets
	Advance rates up to 80% of eligible appraised value, depending on asset class and appraisal methodology
	Methodologies include Forced Liquidation, Orderly Liquidation and Fair Market
	Appraisers hired and retained by GMAC Commercial Credit with borrower consultation
	Ineligibles include furniture and fixtures, computer equipment, autos, etc…
	Adjustable or Fixed rate pricing available based on credit and asset quality

GMAC Commercial Credit also offers CAPEX term loans in order to help you finance up to 80% of the purchase price of new machinery and equipment.

Whether you have an idea as to what type of financing package is the right one, or you're less clear about which product would work for your company at this stage in its development, GMAC Commercial Credit would like the opportunity to talk to you about your financing needs and how we can help get you "On the Road to Financial Success".