Construction lenders and equity participants, who provide funds to finance project construction, are typically interested in construction loan monitoring services. These services permit the lender or partner to make an informed judgment on the merits of the project before any funds are committed. Beacon also provides periodic updates on the status of construction, project costs and potential overruns, potential project delays, contractor payments and change order claims.

Beacon provides construction loan monitoring services at two phases: the Preliminary Project Review, and the Periodic Project Inspection Review. During the Preliminary Project Review, Beacon will:

  • Examine and analyze contract documents
  • Prepare trade cost breakdown and compare them to the contractor’s payment schedule
  • Analyze the client’s schedule and cash flow requirements
  • Review and comment on general contract and subcontract agreements, architect/engineer contracts and major purchase orders
  • Check for conformity between contract documents and the building loan agreement

As part of the periodic project review process, Beacon will:

  • Report on construction progress
  • Plot actual progress versus the target construction schedule
  • Review and recommend monthly payment applications
  • Tabulate subcontractor buyouts versus budget values
  • Provide the lender with contract status
  • Document progress with project photographs
  • Review all controlled inspection reports
  • Analyze claims and report findings

In the event that there is not an outside cash infusion, but rather, control of funds on the project is required, Beacon will provide a funds control program to meet our client's needs. Beacon has funds control specialists on staff that have banking relationships in place, to efficiently and effectively control the flow of funds on a construction project. Coupling our knowledge of construction with our expertise in finance, Beacon thoroughly understands all facets of project related finances.

Beacon will tailor a funds control program to your needs that will accomplish the following:

  • Limit financial liability by providing an independent review of all transactions
  • Ensure that incoming project funds and client funding remain within project boundaries
  • Verify all expenditures
  • Provide consistency in transactions and ensure all backup documentation is easily retrievable
  • Provide real time account status and periodic cash flow projections
  • Eliminate the burden of excessive paperwork
  • Multiple Projects Funds Control

Beacon Consulting Group, Inc. thrives on a good challenge. Our expert team has a proven track record of success taking on the most complex Construction Management and Surety Consulting assignments possible.

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