The Financial Advisors (FAs) are key players in helping LGUs gain access to the commercial credit market. It is thus critical that FAs maintain LGU, underwriter and private investor confidence in their reliability and integrity of service. It is in this context that the LGUGC Board approved a prequalification and internal accreditation system for FAs.
The prequalification phase is the first step in the process. It involves the conduct of a background investigation on, among others, your firm's legal personality, compliance with standard government regulations, and client satisfaction.
Once your firm passes the prequalification phase, it will be subjected to LGUGC's internal accreditation system. Only those that meet the cut-off score will be included in the LGUGC list of FAs that it will work with.
Should you be interested to be an LGUGC partner in local development, please submit the documents and accomplish the checklist in the attached, and forward the same, on a confidential basis, to our Corporate Planning Assistant, Ms. Mariam T. Mendoza, at Unit 2801, 28/F Antel 2000 Corporate Center , 121 Valero Street , Salcedo Village , Makati City . You may also send the documents via fax no. 888-42-17 or email these to mtmendoza@lgugc.com.
| Documentary Requirements |
| 1. |
Latest Articles of Incorporation or Partnership and By Laws |
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| 2. |
BIR Registration |
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| 3. |
Past 2 years Financial Statement or from date of incorporation if less than 2 years old |
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| 4. |
BIR-stamped ITR for past 2 years or from date of incorporation if less than 2 years old |
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| 5. |
Company Profile including table of organization, track record in FA services, fees charged and pipeline accounts |
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| 6. |
Curriculum Vitae of all critical officers and staff |
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| 7. |
List of past and current clients |
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| 8. |
Accomplished checklist of services offered (See Checklist below) |
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| Download a copy of Documentary Requirements |
| Checklist of services offered by the organization |
| 1. |
Evaluation of the historical, political, managerial and financial status of the LGU |
| 2. |
Identification of priority projects and conduct of a feasibility study |
| 3. |
Determination of the financial capacity of the LGU in meeting the debt servicing requirements for the proposed bond float/loan |
| 4. |
Developing features of the LGU bond issue or loan
Bonds:
4.1 Designing the LGU Bond
4.2 Setting the financial needs and constraints of the issue
4.3 Providing financial market conditions and investor preference analysis
4.4 Recommending interest rates and terms of the LGU Bond issue, including collateral requirements
Loans:
4.1 Loan purpose and project plans
4.2 Terms and interest rate
4.3 Collateral requirements
4.4 Processing requirements
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| 5. |
Coordination with government agencies in securing the following:
Bonds:
5.1 Certificate of Maximum Borrowing and
Debt Service Capacity
5.2 BSP opinion
5.3 Clearance from the Dept. of Agrarian
Reform (DAR) and Dept.of Environment and Natural Resources (DENR)
• SEC confirmation of the exemption of the bond floatation
Loans:
5.1 Certificate of Maximum Borrowing and Debt Service Capacity
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| 6. |
Negotiate for bond guarantee service and accomplish other guarantee requirements |
| 7. |
• I. Coordination with Bond Issuance team:
7.1 Recommend/identify managing underwriter
7.2 Recommends/identify Trustee Bank
7.3 Recommends/identify Guarantor
7.4 Recommends/identify Bond Counsel
II. Assist in the determination of the best Credit Facility with a government or private financial institution
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| 8. |
Assistance in the financial closing of the LGU bond/loan including completion of documentary requirements |
| 9. |
Advisory services after financial closing and during project implementation |
| 10. |
Post-project assistance and monitoring of LGU bonds/loans repayment |
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