PCM lends in non-bankable situations that meet our lending criteria and acts as financial advisor in situations that do not meet the lending criteria of PCM.

LOAN PARTICIPANTS

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Company Overview:

Prescient Capital Management, LLC ("PCM") is a specialty finance company providing short-term loans collateralized by real estate or other quick-sale collateral. The bridge loans are designed as an interim solution prior to the client obtaining long term financing.

A corollary objective of PCM loan participations is to generate returns in a manner that lessens the overall volatility and inconsistent cash returns often associated with investments in the general public stock markets. Our efforts in this regard are strategically aligned with other groups interested in loan participations. For example:

  • Accredited investors
  • Hedge funds
  • Mezzanine debt
  • Distressed debt funds
  • Private equity
PCM's lending is structured with a loan-to-value that maximizes capital preservation.

Definition: Loan Participant

A PCM Loan Participant is an accredited investor acquiring a percent (%) interest in the loan and collateral from the Lender. The Participant is paid its ratable share of principal and all interest as it is collected by Lender. The Lender administers the loans.

PCM Loan Participants Share Common Thinking:
  • A 10-15% return on an over collateralized loan with 1 year term seems extremely fair.
  • Loan Participants dislike losses and declines in value.
  • Immediate income from the loan. The Borrower's property should have the current income to pay the interest. PCM leaves the construction risk to the banks and other institutions.
  • Review opportunities loan-by-loan on the loans individual merits. Avoid investing in some mutual fund or some 'Black Box'.
  • Meeting our Loan Participants face-to-face is important and allowing our Loan Participants direct access to us is a must. PCM encourages you to visit with us face-to-face or we will come visit you!
PCM seeks Loan Participants to enter The Opportunity Stream
  • Annual 'Soft Commitment'
  • $50,000+ per loan
  • PCM to lend on 10-15 projects annually
  • Option to stop lending anytime
  • Option to increase loan participation commitment
Why do sophisticated participants acquire PCM loans?
  • Strong equity return but with an over collateralized loan
  • Monthly Income
  • IRR (internal rate of return) calculations are significant
  • Loan participants are pari passu (equal to PCM in 1st lien position)
  • This is a loan secured by an asset. Is an unsecured or equity investment worth the risk?