SERVICES
Borrowing-base workflows with controlled eligibility, concentration and certificate evidence.
Support recurring collateral/asset eligibility and advance calculations from source data through review and reporting.
Overview
Borrowing-base administration supports lending structures where permitted borrowing depends on eligible assets/collateral, advance rates, concentration limits, reserves and other document-defined rules.
Relevant to asset-based lending, specialty finance and selected private-credit facilities.
Why it matters
Calculations are recurring, data-heavy and document-specific. Spreadsheet processes become fragile when eligibility rules or asset tapes change.
Common operating challenges
- Eligibility rules hard-coded in spreadsheets.
- Asset tapes inconsistent.
- Concentration/reserve logic hard to audit.
- Borrower certificate differs from lender view.
- Amendments not reflected promptly.
What we deliver
| Capability | What it covers |
|---|---|
| Rule setup | Capture approved eligibility/advance/reserve rules. |
| Data intake | Ingest asset/collateral tape. |
| Eligibility | Apply approved rule set. |
| Concentration/reserves | Calculate limits and adjustments. |
| Reconciliation | Compare borrower/lender/agent views. |
| Certificate support | Prepare review/evidence pack. |
Our role can be configured around a defined operating mandate: a recurring managed service, a technology-enabled client workflow, or a co-sourced model in which execution and review are split between Kelton, the client and appointed providers.
Inputs, workflow and outputs
Typical inputs
- Credit agreement definitions
- Asset/collateral tape
- Borrower certificate
- Concentration data
- Reserves/haircuts
- Amendments
Controlled workflow
| Step | Activity | What happens |
|---|---|---|
| 1 | Validate source | Check asset data. |
| 2 | Apply rules | Determine eligibility. |
| 3 | Calculate | Apply rates/limits/reserves. |
| 4 | Compare | Reconcile to borrower/agent certificate. |
| 5 | Review | Escalate discrepancies. |
| 6 | Publish | Prepare support pack. |
Typical outputs
- Eligibility report
- Borrowing-base calculation support
- Concentration/reserve analysis
- Difference report
- Review checklist
Controls and review
The workflow is designed so that automation does not obscure responsibility. Routine processing can be standardised; exceptions, material judgements and formal approvals remain visible and attributable.
- Source-linked rule definitions.
- Rule version control.
- No interpretation of ambiguous eligibility without authorised decision.
- Dual review of material calculations.
Responsibility boundary
We support calculation/data operations; formal lender/agent determinations and legal interpretations remain with appointed parties.
Technology & expertise
Our operating model combines specialist knowledge with controlled technology. Domain experts define the rules, review logic and exception criteria; the technology layer makes the workflow repeatable, traceable and scalable.
Technology
- Asset-tape ingestion.
- Eligibility/rule engine.
- Concentration calculations.
- Difference analytics.
Expertise
- Asset-based lending operations.
- Borrowing-base mechanics.
- Data-quality review.
Expert knowledge is converted into controlled rules, SOPs, checklists, validation tests and exception criteria so that the operating standard is embedded in the workflow rather than dependent on one individual.
Delivery models
| Model | How it works |
|---|---|
| Managed Operations | We execute the agreed recurring workflow. Client and appointed-provider approvals remain explicit. |
| Technology Enablement | We implement the data, workflow and control layer for the client team to operate. |
| Hybrid / Co-sourced | Execution and review are shared through a documented responsibility and escalation model. |
| Transition & Implementation | We mobilise the workflow during a launch, provider change or target-operating-model transition. |
Frequently asked questions
Is this relevant to all private credit?
No. It is specific to facilities using borrowing-base mechanics.
Can rules be automated?
Yes after formal approval and validation.
What is the key control?
Trace each rule/calculation to approved documentation and source asset data.
Discuss Borrowing Base Administration
Start with one workflow, one operating issue or one provider transition. We will map the current process, responsibility boundaries, required data and a practical first engagement.