Need help understanding general security agreement and UCC filing connection

So the UCC-1 doesn't need to have all the same detailed collateral descriptions as the GSA?

Correct. The UCC-1 can use broader collateral descriptions like 'all equipment' while your GSA might list specific serial numbers and models. The UCC-1 just needs to reasonably identify the collateral.

This is super helpful. I was overthinking how detailed the UCC filing needed to be.

Oh wow, that's exactly the kind of thing I'm worried about. How did you catch that mistake?

Found a tool called Certana.ai that verifies document consistency by uploading PDFs. It caught the comma difference between my charter and UCC-1 before filing. Saved me from a rejection and potential delays.

Name matching is critical. Always use your exact legal name as shown on your articles of incorporation or organization.

That analogy really helps clarify the relationship between the two documents.

Exactly right. Priority often depends on who files first, so timing matters for the UCC-1.

Is that something I need to track or does the lender handle continuations?

Usually the lender handles it but good to track yourself. Continuation statements must be filed within 6 months before the 5-year expiration date.

We put calendar reminders for our UCC continuation dates. Too important to leave to chance.

We're only in one state so should be straightforward, but good point about multi-state issues.

Yeah, single state makes it much simpler. Just make sure they file in your state of organization for general collateral.

Good point about reading carefully. I'll definitely review the collateral description section thoroughly.

Always negotiate the collateral scope if it's too broad. Lenders will often accept narrower descriptions if you ask.

Exactly! Don't just accept their first draft. The collateral description is negotiable.

How does that work exactly? Do you just upload both documents?

Yeah, super simple. Upload your charter, GSA, and UCC-1 PDFs and it automatically cross-checks for name mismatches and other inconsistencies. Found issues I never would have caught manually.

Should I request to review the UCC-1 before they file it?

Absolutely. You want to verify your name and address are correct and the collateral description matches what you agreed to.

Most lenders will provide a draft UCC-1 for review as part of the closing documents.

Good point about keeping track of the filing number. I assume I'll need it when the loan is paid off for termination?

Exactly. When you pay off the loan, the lender should file a UCC-3 termination statement using that original filing number.

Not planning any name changes but good to know. How long do you have to file an amendment after a name change?

You have 4 months after the name change to file a UCC-3 amendment, or the financing statement becomes ineffective against collateral acquired after the 4-month period.

This is why document consistency checking is so important. Small name variations can cause big problems down the road.

Smart approach. Better to catch issues before filing than deal with rejections and delays later.

Good luck with your loan process! Sounds like you're being appropriately careful about the documentation.