Leveraged finance

Financing built around the business.

Borrowing can support an acquisition, expansion or restructuring, but it also increases financial obligations. A financing discussion should begin with the business, not just the amount requested.

Start with cash flow

Assess how the proposed borrowing will be serviced. Examine existing commitments, working-capital needs and how repayments would be affected by weaker trading.

Evaluate the structure

Consider tenor, repayment profile, pricing, security, covenants and refinancing risk together. The most appropriate structure depends on the purpose and the underlying business.

Prepare a meaningful enquiry

Provide an overview of the business, funding purpose and relevant financial information. Any proposal is subject to assessment, documentation and the terms of the relevant financing provider.