UCC Financial Statement Form Requirements - Getting Rejected on Basic Info

This is crucial advice. I've seen lenders lose their security interest because they used a DBA instead of the legal entity name on the UCC-1.

But what if the loan documents all reference the DBA? Wouldn't that create consistency issues between the credit agreement and the UCC filing?

The loan docs can reference the DBA, but the UCC financial statement form must use the legal name. That's why it's important to include language in your credit agreement that identifies both names.

Thanks - I did check but there's some weird formatting with commas and LLC designation that looks off when I copy it to the form.

Yeah, some states have quirky formatting. Include every comma, period, and space exactly as shown. The UCC system is unforgiving about name variations.

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

Exactly - upload the articles of incorporation and your UCC-1 draft. It cross-references the debtor names and highlights any inconsistencies. Much faster than manually comparing documents.

That sounds helpful but is it expensive for small firms?

I feel your pain. Spent hours on the phone with the filing office trying to understand why 'ABC Company, LLC' was different from 'ABC Company LLC' in their system.

This is exactly why name accuracy is so critical. Even a missing comma can invalidate your security interest.

UCC-1 financing statement - I keep calling it financial statement form out of habit from our internal docs.

ok that makes more sense lol. yeah the debtor name thing is super important on UCC-1s

Good point about the search. Should I order that from the same SOS office where I'm filing?

Yes, or from a reputable search company. The key is making sure your filed name will come up when someone searches for this debtor.

UCC searches are essential for high-value collateral. Better to spend a little upfront than risk losing your perfection.

That's exactly what I'm worried about. The restructuring was recent and I'm not sure all databases are updated.

Always go with the most current Secretary of State records. That's the authoritative source for legal entity names.

How do I know if they're still in a transition period?

Check with the debtor's attorney or look at the SOS filing dates. If there are recent amendments to their articles, they might not be final yet.

This is why communication with the debtor is crucial during the UCC filing process.

We went with 'all equipment used in debtor's manufacturing operations' - is that too broad?

That should work fine for a blanket lien. Just make sure it aligns with your security agreement language.

That sounds like exactly what I need. Does it handle LLC name variations well?

Yes, it's pretty smart about entity name formats. Flags things like missing punctuation or abbreviation differences between documents.

True, but we do have lender pressure to get this perfected quickly.

Explain to the lender that accuracy is more important than speed. They'll understand when you frame it as protecting their security interest.

Absolutely right. Lenders would rather wait a few extra days than have an unperfected security interest.