Client Broker Agreement

• Central Avenue Capital requires clients to review and agree to the following before we engage talks with Lenders:

· Initial Client Meeting (Using Teams, Zoom, Google Meet, or similar)- We want to schedule either 15, 30, or 60 minutes depending on the complexity of the deal. We are also available to meet in person. We will discuss our fee on this call and make sure the client is comfortable in moving forward. 

· Property Review- We will schedule time to visit the property within 14 days of the initial meeting if it’s a reasonable distance away. This helps us with our lender presentation to properly market the request to the lenders. 

· Broker Fee: We charge a Broker Fee to shop lenders, manage lender/client questions, facilitate the collection of information from all the parties, along with coordination of all the parties (Real Estate Agents, Insurance Agents, Title Agents, Attorneys, etc.) to help get the loan closed timely. The Client is responsible for paying our fee at Closing (We will send an invoice to the Title Company/Closing Attorney so they can add us to the Settlement Statement). If the lender will cover our fee, then we will not collect it from the client (Typically with SBA 7(a) loans). 

· Document Collection- Client(s) must provide us with a full financial package before we engage with lenders. We need this information within 14 calendar days of the Initial Client Meeting. If not received, all work is paused and until we collect it.

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Here is the definition of a full financial package: (Order of Importance)

o Personal Financial Statement (Must be a detailed PFS)

o Subject Property Financials (Either Prior YE or Trailing 12)

o Rent Roll/Leases (If Applicable)

o Debt Schedule (If Applicable)

o Most Recent 3 yrs. Tax Returns (Business & Personal)

o Prior Year End Financial Statement/Profit & Loss for Business/Properties (If Prior Year End Tax Returns have not been filed)

o Current Year Interim Financial Statements (If Applicable)

o If you own more than 25% of a business, please provide K1s for the past 3 years. Lender may require the Business Tax Returns.

o Copy of ID (Required by all Lenders)

Important Notice Regarding Project Timelines

To ensure we meet your timeline and deliver the highest standard of service, Central Avenue Capital begins processing and active work only upon receipt of a Full Financial Package.

Our official timeline and project clock for your request will begin ticking once all required documents have been successfully submitted and verified by our team. We appreciate your cooperation in helping us expedite your request efficiently.

· What does Central Avenue Capital agrees to do:

o Upon Receiving a Full Financial Package, we will begin working on the Lender Presentation (We plan to complete this within 72 hours)

o We only provide Lender access to Client’s Tax Returns & Personal Financial Statements when the lender has expressed interest in providing financing and has provided acceptable ballpark terms.  

o Within 3-10 business days after sending the lender presentation, we should have received sufficient quotes from lenders. We will then send the Quote Matrix to the client so they can choose the lender with the best terms. We can also have a conversation regarding which lenders provide the highest probability of getting the loan approved and closed. The reason it can be up to 10 business days is due to some lenders doing a full underwrite prior to issuing terms.

(Important) Please Read the Following: (Applies to Commercial Transactions Only)

Central Avenue Capital’s Fee is earned at time of loan approval with terms that have been accepted by the client via a signed term sheet or commitment letter and is paid at closing. If the client accepts the lender’s approved loan terms and the client backs out, then we will charge a $2,500 fee to cover our work and time involved. The lender may also charge a fee for work involved as well as any 3rd party work. This is very rare but could happen.