Company Info

About La Mesa Fund Control

Inspection Services

Forms and Contracts

Resources

Frequently Asked Questions



 

 

Q: How does the money get disbursed to the Contractors and Subcontractors?

A: Funds are disbursed only after a draw request is submitted and approved. All funds are disbursed based upon the Cost breakdown directly from La Mesa Fund Control's Trust Account

 

Q: How is La Mesa Fund Control Licensed?

A: La Mesa Fund Control Inc. is licensed by the California Department of Corporations as an Escrow Company. We are bonded by the EAFC (Escrow Agents Fidelity Corporation). We are required to maintain a trust account and annual audited financials with certain minimum networth requirements.

Q: How much does Fund Control Cost?

A: The fees for Fund Control are based upon the size of the Fund Control Account. The fee schedule can be found on our website.

Q: Does La Mesa Fund Control get to earn interest on my money?

A: No, all funds are deposited into our Trust Account. Trust accounts do not earn any interest and are governed by a strict set of account procedures.

Q: Who actually contracts with La Mesa Fund Control?

A: Property Owners, Lenders, and Contractors have the ability to open a Fund Control Account. La Mesa Fund Control acts as the Fiduciary for all parties, so any party can open the account

Q: Why are Fund Control inspections needed? Typically the county or local building inspectors inspect a construction project to ensure the project is being constructed in compliance with local building codes. So, what is the need for additional inspections?

A: Inspections are a very important part to Fund Control. They help to ensure that a project is following the cost breakdown, and that the work is being preformed as scheduled. Inspections help to make sure that a project makes it to completion.

Q: At what point in the loan process does the money get disbursed to the Fund Control Company?

A: Most of the time lenders will hold the funds until a draw request comes in. However, sometimes lenders want to disburse all the funds into the Fund Control Account at the time of funding. Either way is acceptable.

Q: What happens if the Contractor is over budget or under budget on a project?

A: Cost overruns are common in Construction. With the approval of all parties involved on the fund control, changes can be made to the original cost breakdown at anytime during the construction projcet.

Q: Who pays for the inspections?

A: Inspections services are paid for by the owner or developer of the property. (See Inspection fee schedule for prices)

Q: Who tracks the money getting disbursed, and how is it disclosed to the lender or the owner.

A: La Mesa Fund Control has a detailed accounting system that is very sophisticated. The Contractor, Owner, or Lender can pull custom reports by logging into our software and get up to the minute detailed reports on each of their Fund Control Accounts.

Q: How long does it take from the time a request is submitted to La Mesa Fund Control until checks are disbursed?

A: Upon reciept of a draw request from the contractor, we request funds from the lender. The lender will then approve the draw request. Once they have approved the draw, they will deposit funds with La Mesa Fund Control and the checks will be disbursed within 24 hours.