Commercial Workout Loans & Investment
The principals of GPA Capital are skilled at navigating extremely challenging business environments. Our motto since the beginning has been “Proof is in the performance.” Once the assignment is complete, we are able to return capital to our clients. By 1933, comedian Eddie Cantor employed the phrase, drawing on his personal experience following the 1929 market crash, "I am not as concerned about the return on my investment as about the return of my investment!" We're in full agreement, and achieving remarkable gains for our clients translates to a significant win for the income statement.
Turning a failing asset into a successful one is a skill that distinguishes beginners from experts. Lenders (note investors) face both their toughest test and their biggest opportunity in the non-performing note/loan. Financial tools previously considered problematic can become highly profitable investments if handled with the proper approach and understanding.
You must do the audits!
These generally fall into 3 categories:
1) Documents
2) Borrower
3) Collateral
By utilizing this specific information, you can perform a realistic assessment of any vulnerabilities.
In renegotiation, avoid ambiguity, which can lead to lender liability above and beyond potential charge off amounts. Use this time to fix problems and know your alternatives.