Closing stipulations

Definition of closing stipulations

What are Closing stipulations?

Items that are required to finalize a transaction.  These may be for any type of transaction or contract.   They are frequently required for loan, lease and real estate purchase contracts.
Complete the Secure Docusign 30 Second Application Now for business loan with few closing stipulations.
Or call us at Tel:  1-919-771-4177, or Question?

Learn examples of Closing requirements.

1. Copy of current driver’s license.
2. Copy of Business License.
3. Copy of voided business check.
4. Bank Verification such as DecisionLogic, Join me, or direct Login info.
4.  Proof of Insurance.
A. Proof of Business Insurance.
B. Proof of Insurance on an Asset.
5. Proof of Income.   This may also be proof of business income.
6. Landlord contact information.
7.  Proof of Ownership of the business.
8.   Most recent year business tax return.
9.   Payoff letter from another lender.
10.  Proof of your business address or business location may be required.
11. Background Check for business loan may be done.   The lender will do a background check on you personally.
12. A landlord waiver signed by your landlord may be required.   This is for  businesses that lease or rent a space.

Stipulations that happen automatically

Some stipulations such as the lender putting a UCC blanket lien or more standard UCC lien on your business happen automatically.   The language for this requirement is usually written in the body of the contract.     Review your contract to know exactly how the lender will file the UCC lien and on what.

Scenario: you cannot provide closing items required to complete a business loan so you need another option.   Then click on the links above that match what you cannot provide.
If you cannot provide a tax return, there are other options.   Above all, we can
provide financing options without the many stipulations required by others.

Did you know?

Many customers cannot provide all items required to complete a transaction.   What do you do if you cannot provide all the required items?

Loan Stipulations for closing transactions such as Business Loans, business contracts and Real Estate Transactions

Certainly the best answer is to call the Lender and discuss.   Explain why you cannot provide what they are asking for and ask if there are substitute items you can provide in place of what they are asking for.    Required items can probably be negotiated or waived.

Examples of negotiating or waiving stipulations

For example, a requirement may be last years tax return but you do not have  last years tax return due to filing an extension.    Request providing proof of filing an extension instead.   Another option is also to request waiver of the tax return altogether.

Providing Proof of Ownership.   For proof of ownership, K-1’s from a Tax return are usually listed in the Stipulations.   However, instead of a K-1, Articles of Incorporation showing shareholder ownership percentage may be accepted.  Another option is providing a Copy of a business license with the Owners name on it.

Recent examples from the Web:

Changes in Stipulations and requirements from Brexit fallout.

Including a long list of many other types of  stipulations.