Michael Girdley (@Girdley) is joined by Matt Willes (@SkolCapital) to talk about Mezzanine lending. How does it work? When is it useful? How is a loan structured? We talk about Willes Capital, the industry, common practices, risk management, and much more.-----* Do you love Unusual Profits and want to see our smiling faces? Subscribe to our Youtube channel.* Do you enjoy our content? Rate our show!* Follow us on Twitter @unusualprofits Find success in small business investing and entrepreneurship.-----Unusual Profits episode 27

Intro

How does Mezz work? When does a Mezz lender step in? [Clip 1]

What is the size of Mezzanine financing usually like?

How do Mezz loans get structured?

How did you decide to operate like this?

What are the structures to protect your capital? What does a warrant do in terms of protection to the lender?

How does a borrower end up in a bad position? How do you avoid a “loan to own” situation?

How does the universe of Mezz lending returns works? How do you think about potential investments?

Why are you in this business?

How is the top of funnel typically built for a Mezz lender? Are you geographically limited?

What is your underwriting group like? What occurs when making decisions?

Do you have a step-by-step process to underwrite deals?

What are the functions of financial models?

Personal question: Why is your job title “Executive Assistant” in your LinkedIn profile?

Why do you choose Twitter as your social media?

Communities, bad apples & life learnings

What are your thoughts & vision on your industry? How is technology affecting it?

Would you encourage young people to consider getting into private lending as a career?

One message to our listeners?