Credit Evaluation School Instructor eBook - Oct 2023

Internal Use Only

Barkley, Nick & Kay – Pass, no issues. People: Barkley Ford, Inc. 100% owned by Nick & Kay Barkley. Son is now head of the service department after undergoing extensive training at the Ford training facility for all ASCI technicians. New car line financed by Ford Credit directly. Purpose: 9222932 – Permanent financing of automobile dealership and all M&E. 3382120 – Revolving line of credit for used vehicles. Payment: 60 monthly P&I @ 14,161. 2. Single pay note due on 3/20/16.

Protection: The dealership, including CRE, M&E, and franchise fee valued per original appraisal minus depreciation. No value added for franchise fee unless dealership is marketed for sale. Dealership valued at $2,100M. 2. Used car inventory valued at cost. Bi-weekly inspections are being performed as required.

Performance: Debtors are PAA. All payments made and the Barkleys have continued to make money when many other dealerships are losing their franchise. 2014 was a really big year due to local cash for clunkers type program. Positive NW & net income. Guarantors add support as well. WL only due to industry.