Lending Profile

ACBB provides direct financing to banks, bank holding companies and their directors, senior officers and major shareholders.  We also purchase loan participations in commercial loans originated by community banks and sells sub-participations in both those loan participations and the loans we originate.  

BANK HOLDING COMPANY FINANCING 

ACBB offers term loans and lines of credit to bank holding companies.  Borrowed funds can be down-streamed to the bank subsidiary and qualify as Tier 1 capital, bolstering the bank’s capital ratios and supporting the growth of the bank.  Bank Holding Companies with $1 billion or less in assets may take advantage of the provisions within the Small Bank Holding Company Act.

Extending this product offering to intermediate longer term facilities can be an important strategic alternative versus raising capital, without the negative effects of dilution to your shareholders.  This structure is also an alternative to Subordinated Debt that typically carries significantly higher borrowing costs and less flexibility (e.g. no calls or prepayment for five years). 

BANK CREDIT 

      ESOP Loans 
      Bank Branch Construction and Purchase Loans

BANK STOCK LOANS    

ACBB’s Bank Stock Loan program is available to bank directors, senior officers and major shareholders.  These loans can be used to purchase additional shares of common or preferred stock, thereby helping your institution raise additional capital. The borrower can pledge existing shares of common or preferred stock, shares they are purchasing in a new stock offering, or through the exercise of warrants.  Financing can be provided both short-term and long-term.  The pledged shares are held with ACBB as collateral until the loan is repaid in full, with the loan-to-collateral margin typically being 50%.

LOAN PARTICIPATIONS AND SUB-PARTICIPATIONS   

ACBB is an active purchaser of participation interests in commercial loans.  As a bankers bank, our charter prohibits us from doing business with the public, so we’ll never compete for your customer.  Through participations, you can manage your legal lending limit and limits on loans to one borrower, yet offer larger loans.  Participations are also a way to manage your loan portfolio by concentrations, collateral-type and geography.  Participations are also helpful in managing capital ratios, loan-to-deposit ratios and liquidity. 

We also sell to other community banks sub-participations in portions of commercial loans we purchase. 

ACBB participates in a range of commercial loan types ranging from “traditional” income producing commercial real estate transactions, owner occupied commercial mortgages to C & I loans.  The bank also selectively entertains Acquisition Development and Construction loan opportunities.  With respondent banks from Maine to Maryland we are comfortable in a variety of markets that are driven by where your clients are.  Given our mission to support community banks, we will act as your partner, never your competitor.   

THE ONLINE MARKETPLACE

Our newly launched loan portal is designed to encompass multiple functions, including an electronic marketplace to facilitate the sale of individual loans, pools and participations.  The goal of the portal is to create efficiencies around the delivery of products and services to financial institutions as well as to streamline and broaden functions that are currently being delivered using older technologies in a non-automated environment.   

The benefits of our proprietary portal are numerous, including:

• Expands the loan marketplace for both buyers and sellers, 
• Enhances the bank’s ability to manage the loan portfolio by identifying assets that meet specific requirements (i.e. duration, yield, geography, concentration, etc.) 
• Offers bank management the ability to view loan pricing and loan availability through a dynamic online dashboard that provides valuable market data with which to better manage your own portfolios,
• Provides customizable features that allow users the ability to include or exclude trading partners,
• Eliminates the need to share information through cumbersome secure email systems by providing a secure online site for confidential document sharing,
• Features an intuitive architecture designed for cost effective use regardless of transaction size or volume.

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