Each loan we fund is supported by a clear and achievable ‘exit strategy’, typically including at least one or two alternative exits.
Given the largest allocation of our portfolio relates to residential construction, a number of our facilities are self-liquidating, meaning at completion we are either cleared by sales on the project, or a refinance from a major banking institution.
In other circumstances, the loan may have a clear exit strategy in place, such as, a cash event from an external matter, or an uplift in planning due to development approval that takes out our facility.
We always want to ensure we are working on worst case scenarios in order to be comfortable going into any new transactions.