Professional Broker Program
Our non-recourse broker program is available to service the middle- to large-ticket and municipal placement requirements of qualified originators. Individual transaction size ranges from $1 million to $20 million.
This program requires annual minimum funding commitment based on the borrower profile, collateral, and transaction size range. Reserve programs can be structured with servicing by the originator or by Sovereign with a non-notification agreement. Reserves are rebated based on portfolio performance. Transactions can be approved and funded on an individual basis or in blocks.
This program is based on a minimum annual funding facility ranging from $10 million to $50 million with monthly takedowns. The facility is supported by an Ultimate Net Loss (UNL) agreement and reserve requirements. Pricing, UNL exposure, and reserves are based on the originator's historical portfolio performance, collateral, and underwriting standards. Servicing can be retained by the originator or released to Sovereign.
Portfolio Funding and Purchase
Our portfolio relationships are a major component of our funding service. Portfolio transactions are custom priced and structured based on the originator's industry focus, historical performance, aging, and operational efficiency. Portfolio takedowns range from $5 million to $100 million, and can be structured for sale treatment or as limited recourse loans.