An established commercial finance firm specializing in asset-based lending started facing a high-stakes operational challenge in managing recurring Borrowing Base Certificate (BBC) verification reviews. These reviews demanded greater accuracy and speed as reporting cycles recurred and client volumes grew. Spreadsheet- and email-driven verification slowed reconciliation, change tracking, and data validation, making the process harder to manage at scale. To improve this critical workflow, the company turned to Rishabh Software’s FinTech software development services to create a centralized verification process.
Project Overview
The client was dealing with a scattered review setup where teams had to move across spreadsheets, emails, and multiple financial data sets to complete each BBC cycle. To address the growing effort involved in recurring BBC verification, the company partnered with Rishabh Software for Borrowing Base Certificate Verification Platform development. Our tech team delivered a structured workflow covering data intake, validation, reconciliation, exception review, approvals, and cycle freeze, with each approved cycle carried forward as the baseline for the next reporting period.
Challenges:
- Recurring BBC reviews were becoming increasingly time-consuming. Each cycle required analysts to work across Excel files and email to validate AR, bank/lockbox, and inventory data, increasing manual effort and pressuring review capacity.
- Period-over-period visibility was limited, making change detection difficult. Back-dated edits, additions, and removals were hard to trace consistently, leaving teams without a clear view of what had changed across reporting cycles.
- Manual reconciliation made it harder to identify discrepancies. Matching AR receipts against bank and lockbox transactions by hand increased the risk of missing unapplied cash, unmatched deposits, and other exceptions.
- Traceable evidence was difficult to maintain. Review information was spread across files, spreadsheets, emails, and other communication channels, making it harder to document outcomes consistently and maintain an audit-ready trail as volumes increased.
- The process was becoming harder to manage consistently with each reporting cycle. Longer review timelines, fragmented workflows, and heavy dependence on analyst expertise increased operational risk and made the process harder to scale.
Solution
We developed a centralized Borrowing Base Certificate Verification Platform built around recurring review cycles. It standardized the intake of AR, bank/lockbox, and inventory data and used rule-based validation, cross-period comparisons, and reconciliation to identify discrepancies. Teams could then review exceptions, complete approvals, and freeze each cycle within the platform. Once approved, the cycle was carried forward as the baseline for the next reporting period, providing a consistent way to manage recurring BBC reviews.
Key Capabilities
Cycle-Based Borrowing Base Management
Each new BBC cycle was initialized from the previously approved snapshot, providing a consistent baseline for period-over-period collateral reviews and helping analysts identify changes across reporting cycles.
Standardized Collateral Data Intake
AR, bank/lockbox, and inventory files were validated during intake and mapped to a common internal schema. This helped maintain consistent data across submissions and supported subsequent borrowing base checks.
Borrowing Base Variance and Reconciliation Engine
Rule-based reconciliation compared AR activity with bank and lockbox transactions to identify matched items, unapplied cash, unmatched deposits, and other discrepancies. The platform also supported cross-period comparisons, helping reviewers identify changes and variances across consecutive BBC cycles.
Centralized Exception Management
Exceptions across AR, bank, and inventory data were consolidated into a review-ready dashboard instead of remaining scattered across individual files. This aligned the technology with the review process, giving teams a single view of reconciliation outcomes and items that needed action.
Controlled Review and Approval Workflow
The platform provided defined review checkpoints for designated reviewers and approvers, allowing each BBC cycle to be assessed, submitted, approved, or rejected within the platform. This gave the review process clear approval steps and helped maintain accountability across each reporting cycle.
Baseline Carry-Forward and Evidence-Ready Reporting
Once approved, each cycle was frozen and its final snapshot became the baseline for the next reporting period. The platform also generated AR roll-forward and variance reports, bank match reports, inventory reconciliation outputs, and BBC verification summaries, providing a consistent evidence pack for review and approval.
Benefits
- 40% reduction in manual reconciliation effort
- 30% faster BBC review cycles
- 25% improvement in review productivity
- 50% reduction in reconciliation exceptions
Customer Profile
An established commercial finance firm specializing in asset-based lending and borrowing base oversight, helping lenders and mid-market companies review and validate collateral-backed financial data.
Technology Stack
- React
- Java
- PostgreSQL
- Cloud-based isolated environment