"We evaluated a number of options on behalf of our client and found that LPM Outsourcing were technically highly competent and also provided a good cultural fit for both businesses should a stand-by servicer be required." - Gerard Moon, Grant Thornton Leasing & Consumer Finance

Standby Servicer

Service Overview

LPM Outsourcing has over 20 years experience of working as a standby servicer for securitisation projects, involving both cold and warm services.

In 2010 LPM Outsourcing achieved an AVERAGE rating from Standard and Poor’s as a Primary Servicer of Commercial Finance in the UK.

With extensive experience of due diligence, portfolio migrations and the requirements for speed of response when taking over portfolios, LPM Outsourcing is able to provide portfolio administration support for financial institutions undertaking securitisation projects and a full contingency plan in the event of invocation as a primary servicer.

Key Services

We can provide the following services when appointed as a standby servicer:

  • Due Diligence
    • Review of current operational processes and procedures
    • Systems review
    • Determine resource requirements and staffing levels
  • Develop procedures for the transferral of servicing from the primary to the back up servicer
  • Establishment of a full contingency plan for immediate appointment as a primary servicer

Our portfolio management services include:

  • Billing and Collection
  • BACS Bureau
  • Cash Processing & Bank Reconciliation
  • Arrears Management
  • Management Reporting
  • Lease Accounting
  • Application & Systems Support
  • Project Management
  • Consultancy Services
  • Business Continuity & Disaster Recovery

New Start Finance Company case study

Client: Anglo Leasing PLC

Service delivered: Standby servicer to a securitisation

Gross receivables: £240 million

Business volumes: 90,000 agreements


The client’s requirement:

The Lead Manager and Trustees of a securitisation programme required a standby servicer with an appropriate administrative infrastructure and in depth experience in the finance and leasing sector. The standby servicer would be contracted to step in as a substitute primary servicer if required.

The securitisation covered a £240 million portfolio of finance agreements in the office equipment sector.


LPM Outsourcing’s programme of action:

  • We analysed the host system and carried out a number of customisations to our own system to accommodate a full data transfer. The data transfer was successfully completed and reconciled in a 'proof of concept' exercise.
  • We developed a comprehensive contingency plan, which was updated and maintained in accordance with changes in the primary servicer organisation and system for the duration of the securitisation.

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