To help move the flow of business loan participations, Michigan Business Connection LC and CenCorp Business Solutions LLC have formed an alliance to make it happen.
CenCorp, a business services subsidiary of Central Corporate Credit Union, will circulate participation offerings of loans originated by Michigan Business Connection, a commercial loan underwriting CUSO. The loan summaries, available to CenCorp members at no charge, will include the participation details and instructions on how to receive the MBC underwriting report. CenCorp will perform an independent review of the loan.
"With capital and liquidity issues causing many lenders to have to say no to really good opportunities, an enhanced participation partnership amongst collaborative lenders is an excellent way to keep loans flowing to qualified borrowers," said Bill Beardsley, president of MBC.
More than $10 million in lending has occurred as a result of the initiative, including a credit facility on a medical facility to help preserve health care in Macomb County and financing for educational housing near the campus of Michigan State University, according to MBC.
CBS and MBC said together they work with more than 100 financial institutions and credit unions in Michigan representing more than $15 billion in aggregate assets.