Surviving tough economic times
Download
1 / 9

Surviving Tough Economic Times - PowerPoint PPT Presentation


  • 109 Views
  • Uploaded on

Surviving Tough Economic Times. NALCAB Summit El Paso, TX July 17, 2009. Community Development Lenders. What It Means to be an “Intermediary” “Matching” Maturities Pressure Full Recourse Borrowing by LISC Our Lenders are in “Our Kitchen” LISC and CDCs are Public Charities

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about ' Surviving Tough Economic Times' - beate


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
Surviving tough economic times

Surviving Tough Economic Times

NALCAB Summit

El Paso, TX

July 17, 2009


Community development lenders
Community Development Lenders

  • What It Means to be an “Intermediary”

  • “Matching” Maturities Pressure

  • Full Recourse Borrowing by LISC

  • Our Lenders are in “Our Kitchen”

  • LISC and CDCs are Public Charities

  • Mission vs. Credit Squeeze


Traditional conventional lenders
Traditional Conventional Lenders

  • Consequences of Dissolution/Subsumption of CD Units

  • Timing is Particularly Bad

  • Orient New Community Development or Bank Commercial Staff to Our Industry

  • Get to the Special Asset Folks

  • Talk about Multiple Pathways to Repayment


How intermediaries can help
How Intermediaries Can Help

  • Striving to be Patient

    • Partial paydowns will help

    • Alternative and/or additional collateral

  • Development of New Lending Products and Approaches

  • Policy Advocacy for Community Development

  • Telling the Responsible Lending Story


Focus on current cdc financial condition
Focus on Current CDC Financial Condition

  • Embracing Current Reality

  • Transparency or “Circling the Wagons”


Focus on current cdc financial condition1
Focus on Current CDC Financial Condition

Red Flags:

  • Liquidity Crunch

  • High Budget to Actual Variance

  • Revenue Falling Short

  • Quarterly Internal Statements – How Prompt is the Delivery?

  • Overdue Audit


Focus on cdc future
Focus on CDC Future

  • Importance of Cash Flow Projections

    • Realistic Forecasting

    • Assumptions

    • Stress Testing

    • Contingency Planning

  • CDC Capacity to Produce Projections


Focus on cdc future1
Focus on CDC Future

  • Future Development Likely at Lower Level

  • What New Operating Models are Being Explored?

    • Expanded Program Goals

    • Leveraging Capacity and Funding Through New Partnerships

  • New Federal Funding Opportunities

  • Should Merger or Acquisition be Considered?


Lisc contact information
LISC Contact Information

  • www.lisc.org

  • www.ruralisc.org

  • http://www.lisc.org/content/publications/detail/8246 “Robust Cash Flow Projection”

  • http://www.lisc.org/content/publications/detail/7926 “Working with Lenders”


ad