Loan Allocation & Optimization in Cascade

The Loan Allocation & Optimization feature in Cascade is designed for originators managing multiple debt facilities. It provides a streamlined, data-driven approach to allocate funds effectively, helping you achieve your strategic objectives with confidence.

Key Capabilities

• Optimize Allocation Based on Strategic Goals
  Set your desired outcomes, such as maximizing lender advances, topping up facilities for compliance, or distributing a fixed amount (e.g., $2 million). The system then determines the most efficient way to allocate funds.
• Data-Driven Recommendations
  Leveraging a sophisticated data engine, the system analyzes receivables, existing facility statuses, and funding constraints to suggest the optimal receivables to fund. This ensures allocations are aligned with your goals and operational rules.
• Maximize Borrowing Bases
  The system maximizes borrowing capacity by taking into account:
  • Eligibility Rules: Only receivables that meet specific eligibility criteria are considered.
  • Excess Concentration Rules: Limits on asset or receivable concentration are enforced to manage risk.
  • Funding Costs: The system minimizes overall funding costs, balancing efficiency with cost-effectiveness.
• Flexible and Customizable
  Whether aiming for maximum leverage, regulatory compliance, or targeted funding amounts, the tool adapts to your specific strategies.

How It Works

1. Define Your Goals
   Input your desired outcome, such as maximizing borrowing capacity, funding a set amount, or ensuring compliance across all facilities.
2. System Analysis
   The engine evaluates available receivables, funding costs, eligibility criteria, and concentration limits to determine the best allocation.
3. Optimal Allocation Recommendations
   Receive a suggested list of receivables to fund, precisely aligned with your objectives and constraints.

Facility Impact Analysis Tool

In addition to allocation optimization, the Facility Impact Analysis tool allows you to evaluate proposed allocation strategies before making any commitments.

• Test Different Strategies:
  Input various allocation scenarios to see their projected impacts on individual facilities.
• Immediate Impact Visualization:
  View effects on borrowing capacity, eligibility, and compliance without assigning loans or committing to proposals.
• Scenario Comparison:
  Compare multiple strategies side-by-side to select the best approach for your portfolio.
• Informed Decision-Making:
  Experiment freely to identify the most effective strategy before finalizing any allocations.