DEBT SOLUTIONS & SYNDICATION
Understanding Financing Options for Business Growth
Debt advisory may be relevant to businesses planning expansion, financing significant capital expenditure, refinancing existing borrowings or evaluating a substantial funding requirement. The appropriate approach depends on the intended use of funds, cash-flow outlook, existing obligations and financing terms available.
CAPITAL. FINANCING. OPPORTUNITY.
Understand the funding need. Evaluate the options.
A STRUCTURED APPROACH TO DEBT SOLUTIONS & SYNDICATION
Businesses may require financing to support expansion, fund capital expenditure, manage financial obligations or pursue strategic initiatives. The appropriate financing approach depends on the purpose of funding, the business’s financial position and the terms available.
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A structured assessment of capital requirements, cash flows, repayment capacity and financing alternatives can help businesses and stakeholders understand the options available. Where relevant, debt syndication involves arranging financing from multiple lenders to meet a borrowing requirement.
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The scope of each engagement depends on the financing objective, the nature of the business and the circumstances of the proposed transaction.
DEBT ADVISORY REQUIREMENTS
When Are Debt Solutions & Syndication Advisory Required?
Debt advisory may support businesses when they need to evaluate financing options, assess borrowing requirements or understand the implications of existing and proposed debt arrangements. The scope depends on the funding objective, the financial circumstances of the business and the requirements of the engagement.
BUSINESS EXPANSION
Assessing financing requirements associated with expanding operations, entering new markets or pursuing business growth opportunities.
WORKING CAPITAL REQUIREMENTS
Assessing short-term financing needs associated with operating activities, cash flow cycles and day-to-day business requirements.
CAPITAL EXPENDITURE
Evaluating funding needs for equipment, infrastructure, facilities and other significant business investments.
LARGE FUNDING REQUIREMENTS
Considering debt syndication as a potential financing approach when a borrowing requirement may involve multiple lenders.
DEBT REFINANCING
Reviewing existing debt arrangements and considering relevant refinancing alternatives, repayment obligations and financing terms.
CAPITAL STRUCTURE & DEBT CAPACITY
Reviewing existing obligations, expected cash flows and repayment capacity to understand relevant borrowing considerations.
The Right Financing Approach Begins With Understanding the Need.
Evaluating the funding objective, financial position, repayment capacity and available alternatives helps stakeholders make more informed financing decisions.
Our Approach.
A Structured Approach to Debt Solutions & Syndication
Every financing requirement has different objectives and constraints. Our approach considers the funding purpose, the business’s financial position, repayment capacity and the financing alternatives relevant to the engagement.
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DEFINE
ASSESS
EVALUATE
STRUCTURE
REPORT
Understand the Funding Requirement
Review the Financial Position
Examine Financing Alternatives
Consider the Financing Approach
Communicate the Findings
Establish the purpose of financing, the amount required, the intended use of funds, key stakeholders and scope of the engagement.
Examine relevant financial performance, cash flows, existing debt obligations and other information relevant to the funding requirement.
Assess relevant debt options, financing structures, terms and repayment considerations in the context of the business’s requirements.
Evaluate relevant financing arrangements and, where applicable, potential syndication considerations involving multiple lenders.
Present the analysis, key financing considerations and conclusions in a format appropriate to the purpose and agreed scope of the engagement.
DEBT FINANCING CONSIDERATIONS
Factors That Influence Debt Financing Decisions
Choosing a financing approach requires an understanding of the business’s funding needs, financial position and repayment capacity. The suitability of different debt options depends on the intended use of funds, financing terms and the circumstances of the business.
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FUNDING REQUIREMENTS
The amount of capital required, its intended purpose and the timing of the funding need influence the financing alternatives worth considering.
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COST OF BORROWING
Interest rates, fees, repayment terms and other financing costs influence the overall cost and suitability of a debt arrangement.
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SECURITY & LENDER REQUIREMENTS
Collateral availability, applicable lending conditions, documentation and lender-specific requirements may influence the financing options available.
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CASH FLOW & REPAYMENT CAPACITY
Expected cash generation, operating requirements and existing financial commitments are relevant when assessing the business’s ability to service debt.
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EXISTING DEBT & CAPITAL STRUCTURE
​Current borrowings, repayment obligations and the balance between debt and other sources of capital affect financing considerations.
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FUNDING STRUCTURE & RISK
The proposed financing structure, business risks, maturity profile and potential involvement of multiple lenders may affect the suitability of a financing arrangement.
The Right Financing Decision Goes Beyond the Amount Borrowed.
Understanding funding requirements, repayment capacity, financing costs and relevant risks helps stakeholders evaluate debt options in the context of the business’s financial objectives.
DEBT ADVISORY DELIVERABLES
What a Debt Solutions & Syndication Advisory Report Covers
Debt advisory deliverables depend on the financing requirement, the purpose of the engagement and the information available. The output may present relevant financial analysis, financing alternatives and key considerations to support informed funding decisions.
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FUNDING REQUIREMENT & SCOPE
An outline of the financing objective, intended use of funds, funding requirement and scope of the advisory engagement.
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FINANCING OPTIONS & STRUCTURE
A review of relevant debt alternatives, financing terms, repayment considerations and potential syndication structures, where applicable.
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FINANCIAL POSITION & REPAYMENT CAPACITY
An assessment of relevant financial performance, cash flows, existing obligations and factors affecting the business’s capacity to service debt.
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KEY FINDINGS & FINANCING CONSIDERATIONS
A structured presentation of financial observations, relevant risks and key considerations to help stakeholders evaluate available financing alternatives.
Clarity on Financing Options. Confidence in Financial Decisions.
A structured advisory output helps stakeholders understand their funding requirements, evaluate relevant financing alternatives and consider the appropriate next steps.