Manager, Loan Originations

Background

REDF invests in employment social enterprises (ESEs) — businesses that provide jobs, training, and support to people breaking through barriers to employment. REDF partners with these businesses and the entrepreneurs who lead them — providing capital, capacity, and community — to amplify their transformative impact. Since 1997, REDF has invested in more than 280 ESEs in 38 states and DC. Collectively these partnerships have helped 87,000 people enter the workforce and generate more than $1.6 billion in revenue that is reinvested in employee success—creating a ripple effect that strengthens families and communities and helps build an economy that works. For everyone.

For more information, visit www.redf.org.

Summary

Reporting to the Director of Impact Lending, you will be responsible for supporting all facets of new loan transactions, including underwriting and closing. You will structure and underwrite new loan opportunities using deep financial, programmatic and operational performance analysis and evaluation of borrower creditworthiness, business risk, and project readiness. You will actively lead and manage the experience from prospecting through to loan closing for borrowers with historically limited access to capital. This role will involve a high level of engagement with REDF Impact Investing Fund (RIIF) borrowers, with a strong customer service focus. You will also interact with internal stakeholders including REDF’s learning & evidence team, finance team, and capacity building team, as well as external lender partners and legal counsel.

In this position, you are a vital component of the Impact Lending team and will help innovate around the refinement of tools, templates, and procedures to make the originations and underwriting processes more efficient and scalable as we grow. You will use our equity-centered approach to improve the creditworthiness of borrowers and correct for historic and systemic barriers to capital access.

Responsibilities

Loan Originations

• Respond to internal loan referrals and external loan inquiries, review loan requests, and conduct prospecting calls with potential loan applicants.
• Work closely with prospective borrowers to assist them in every step of the application process and assist early prospects with getting “capital ready.”
• Identify and structure new loan opportunities.
• Manage the loan process flow from prospecting through closing.
• Work with potential partners on participations, syndications and/or future lending partnerships and opportunities that may arise for RIIF as it grows.
• Maintain Salesforce loan opportunity record throughout the originations process.
• Lead and manage the loan closing process which includes:
  • Managing borrower and partner relationships;
  • Leading closing calls as needed;
  • Preparing and reviewing loan documents with legal counsel, reviewing loan documentation drafts and execution versions;
  • Collection, review, approval, and execution of all items on closing checklist;
  • Working with borrowers closely to ensure understanding and future compliance with all requirements and covenants therein;
  • Engaging with REDF’s finance and compliance team to ensure payments are set up correctly and that all items on the closing checklist meet RIIF’s requirements;
  • Ensure smooth hand off to Portfolio Manager;
  • Complete closed loan marketing template to emphasize deal highlights and work with communications team to announce the closing in coordination with borrower and lender partners.

Underwriting

• Manage the underwriting function including all aspects of due diligence. Lead the drafting and completion of preview memos and full underwriting memos for credit committee review and approval.
• Spread financials and provide analysis in order to assess underlying enterprise sustainability, viability of business model, and capacity for new debt. Focus on the “why” behind the #s and identify areas that need clarification/further explanation from borrower.
• Assess drivers of earned and unearned revenue, assess business line margin analysis and COGS, test assumptions behind cash flow projections, and create appropriate deal specific sensitizations that stress test debt service capacity.
• Construct narrative on borrower background, employment program, history, and plans for growth. Perform analysis of historical operational and financial performance.
• Perform thorough business risk assessment, using both organizational and environmental factors. Identify potential mitigants. Assess likelihood of primary/secondary repayment sources.
• Use risk rating system matrix to assign a risk rating which takes into account quantitative and qualitative metrics. Propose and institute “de-risking actions” in collaboration with borrowers.
• Prepare due diligence questions for borrower throughout underwriting.
• Conduct vetting calls and any other external diligence needed for each transaction.
• Conduct comprehensive industry and benchmarking analysis in collaboration with REDF Learning & Evidence team, if applicable.
• Make appropriate loan structuring and approval recommendations.
• Flag and raise issues of concern during underwriting and propose potential solutions as it may relate to risk mitigation, working closely with Director of Impact Lending as necessary.
• Maintain thorough and organized client documents and underwriting due diligence checklists.
• Identify potential technical assistance projects that may mitigate repayment risk.

General

• Collaborate across teams at REDF, including finance & accounting, marketing & communications, IT, and the learning & evidence team throughout the loan originations process.
• Attend appropriate network and industry conferences and other skill building and/or professional development activities.
• Refine and iterate on existing underwriting tools, templates, and procedures.
• Deliver all services with a strong customer focus.

Requirements

• 5+ years underwriting experience with small businesses and/or non-profits is required.
• Demonstrated experience in structuring and negotiating transactions and balancing the needs of mission driven organizations with sound underwriting judgment and risk mitigation.
• Experience with working capital term loans, lines of credit, and bridge loans.
• Knowledge of or experience in the Community Development Financial Institutions (CDFI) industry.
• Prior experience reviewing and negotiating standard loan documentation (loan agreements, notes, guarantees, collateral agreements, etc.) and collecting closing checklist documents.
• Strong financial analysis skills: ability to spread and interpret non-profit and for-profit financial statements and calculate key ratios; develop and sensitize cash flow projections to determine debt service coverage and assess ability to repay debt.
• Proven track record of preparing clear, accurate well-organized memos that synthesize and communicate the story behind the data. Ability to fuse quantitative and qualitative information to drive decision-making and risk assessment.
• Knowledge of and strong interest in REDF’s commitment to diversity, equity and inclusion, and bringing a DEI lens into the loan underwriting and credit risk assessment process.
• Excellent judgement, ability to efficiently incorporate feedback, ability to work with minimal direct supervision in a fast-paced environment, and a track record of meeting project deadlines.
• Proven track record of developing and managing excellent borrower relationships, particularly with POC and lived experience-led borrowers.
• Ability to build and maintain systems for organizing work to manage several priorities and meet deadlines while also meeting customer needs. Exceptional detail-orientation.
• Well-versed in Microsoft Office Suite; in particular Excel.
• Proficiency using Salesforce as CRM system and data analytics tool for analysis and reporting.
• Able to travel up to 15% for work purposes (site visits, conferences, etc).

Desired Qualifications

• Experience with job training and job creation programs employing untapped talent.
• Prior experience advising borrowers and providing capacity building support.
• Formal credit training, familiarity with alternative credit rating and underwriting approaches.

Compensation and Benefits

Position Location and Pay Range:

The salary range for this position is $92,805 – $126,840 and reflects San Francisco and Los Angeles based positions. The range will be adjusted according to candidate’s location.

The Perks

• 13 paid holidays and ample vacation time
• A generous dollar-for-dollar retirement plan match up to 4% of your base compensation
• Opportunity to learn continuously by building your skills and broadening your perspectives at conferences, workshops, and more
• Competitive, comprehensive benefits package

How to Apply

The Culture

Every team member at REDF has an impact, with the ability to influence and iterate on our strategy. We balance autonomy with collaboration, leading with learning, and innovation with expertise. We listen, ask questions, and challenge the status quo and each other to uncover solutions that move us all to a better tomorrow.

REDF is proud to be an equal opportunity employer. Our different experiences, backgrounds, and stories are our strength. We know that an equitable, inclusive, and diverse workplace makes us more effective, innovative, and agile. We welcome and will consider qualified applicants for employment without regard to race, color, religion, sex, sexual orientation, gender perception or identity, national origin, age, marital status, protected veteran status, disability status, or arrest and conviction history. EEO is the Law. REDF welcomes all.

COVID Vaccine Requirement

Despite California’s movement towards herd immunity, low case rates, etc., the COVID-19 pandemic still exists at large. We have a responsibility to provide working conditions that mitigate any direct threat to the health and safety of our employees and others affiliated with REDF and the broader community. REDF employees are required to be fully vaccinated against COVID-19. If you are not able to receive the vaccine for medical or religious reasons, you may seek approval for accommodation through the Director of HR by emailing recruiting@redf.org. Our COVID-19 Vaccine Policy will adapt as we continue to review our obligations under Federal, state, and local laws.

Join Us!

Please submit your resume and cover letter via REDF’s applicant portal. A personalized cover letter is required; applications without one will not be considered.