The New Way Forward for CRE Developers Seeking Profits

We are pleased to announce the completion of our new licensing program for developers, funders, investors, broker-dealers and other industry participants seeking a new level of CRE investment opportunity support.  Please click on the link and learn a bit more about this program.  I put together a very basic program presentation to get the points … More The New Way Forward for CRE Developers Seeking Profits

Unwinding the Complicated & Conflicted Compliance Conundrum

The regulators are after still after you.  Whether your business is being beat up by FINRA regulations, the Basel III  Accord or some other regulatory body, the desired impact is all the same – the regulators are here.  They are tired of dealing with the investment fraud complaints, the lack of reporting transparency that allows investment fraud to thrive, and they are going to take a pound of flesh. … More Unwinding the Complicated & Conflicted Compliance Conundrum

The Market Test: Why Capital Financing Success is so Elusive

Changes in the market are inevitable and it is just not possible to project market conditions beyond the 2-year window with any amount of certainty that is worth betting investment dollars upon in today’s capital markets.  The reality is that you can’t expect to manage the myriad of market risks by simply conducting a market analysis once a year or once a quarter on an ongoing basis.  If you are going the private placement offering route (i.e.: seeking capital through the broker-dealer market) the compliance requirements of FINRA and the SEC for due diligence demand a whole lot more … More The Market Test: Why Capital Financing Success is so Elusive

INVIZEN IT Announces Second Quarter Results: $635 Million+ Underwriting & Due Diligence Assignments

INVIZEN IT provides real-time investment loss severity risk management and mitigation on a proactive basis for the entire term of the investment.  The INVIZEN IT program design focuses on providing the following component services that support the proactive, real-time approach to investment/loan loss prevention … More INVIZEN IT Announces Second Quarter Results: $635 Million+ Underwriting & Due Diligence Assignments

Due Diligence Disclosures: We WILL Find Out

If you are going to undertake a securities sale for your company – either issuing equity securities or being the maker of a loan – you have to disclose the risks involved in the investment to protect the interest of those who may wish to purchase the securities as well as protect yourself against future accusations of investment fraud for having failed to do these disclosures fully, completely and honestly.  Having said, it never fails to surprise me when our due diligence review finds a disclosure issue that nobody thought would either be relevant or just didn’t want out there because it would reflect poorly upon the company’s prospects for a successful outcome. … More Due Diligence Disclosures: We WILL Find Out

What’s The Market Scenario for Your Business?

One of the most important objectives business have to conquer is obtaining the capital funding that is necessary to grow their business and that requires the production of a feasibility study to determine whether or not the sponsor seeking to promote the capital investment opportunity is making reasonable claims regarding the prospects for the forecast of outcomes to be realized or not, but more importantly to the sponsor/promoter of the investment, whether or not it is likely the deployment of capital by the sponsor/promoter would be reasonably-expected to create the economic outcome the sponsor/promoter requires as a condition precedent to undertaking their business.  The feasibility study is prepared by a third-party who – you guessed it – makes a series of empirical assumptions to create the feasibility study. … More What’s The Market Scenario for Your Business?

High Volatility Commercial Real Estate Loans

High Volatility Commercial Real Estate (HVCRE) loans represented a potential problem for the banking industry.  Under the Basel III international banking accord and the Dodd-Frank Wall Street Reform Act, HVCRE loans are new construction and development financing loans so classified if their loan-to-value (LTV) ratio is in excess of the Supervisory Loan-To-Value (SLTV) ratio set by the relevant commercial banking authority in the U.S. (or respective country in the case of Basel III).  The issue is the loss severity risk exposure that has habitually attended loans for commercial real estate development projects (called “ADC” – as in “Acquisition, Development & Construction” loans).  ADC loans represent a special class of risk due to the nature of the operations taking place – development and construction being the issue, as these are complex operations that have the potential for loss due to cost overruns and delays caused by a variety of risks that have been heretofore difficult to manage. … More High Volatility Commercial Real Estate Loans

Got Tech? Time to Cash In & Get Capital!

The same principles have to apply and yet the environment is completely different in the IT world to that of commercial real estate.  The challenges relating to detecting market disruptions caused by advances in technology and innovations are most acutely experienced in the IT segment and this represents a special challenge for investors and lenders seeking to reduce their risk of loss due to these issues.  IT also represents the biggest and hardest potential test for the INVIZEN program and we are hitting this challenge head-on. … More Got Tech? Time to Cash In & Get Capital!