Understanding Credit Facilities: An In-depth Guide
Credit facilities come with unique structures, terms, and covenants that are crucial for CFOs and corporate finance professionals to understand.
From optimizing your capital structure, ensuring liquidity, and managing cash flow efficiently, credit facilities allow companies to access working capital, fund growth initiatives, and navigate unforeseen challenges.
This in-depth guide offers:
A detailed look at credit facility agreements
Best practices for analyzing your company’s liquidity
Typical loan covenants and credit facility terms
Guidance on how to negotiate the most competitive offer for your business
Whether you’re negotiating a new credit line or managing an existing facility, this guide will equip you with the insights necessary to make strategic, data-driven decisions that strengthen your company’s financial position.
Download the In-depth Guide to Understanding Credit Facilities:
A CFOs Guide to Understanding Credit Facilities
What is a Credit Facility
Correctly Sizing a Credit Facility
How to prepare a short-term liquidity analysis
How to prepare a long-term liquidity analysis
Scenario & Contingency Planning
Why contingency planning is important and types of scenarios to consider
Understanding the Terms of a Credit Agreement
A lender’s perspective on measuring your company’s credit risk and interest rate risk
Key terms of a credit agreement for CFOs to understand, including pricing and fees
Key Loan Covenants of a Credit Agreement
Detailed discussion of affirmative, negative, and financial covenants in a credit facility
As you Grow: Refinancing A Credit Facility
Benefits of refinancing as your company grows
Refinancing vs. Restructuring
Similarities and key differences to understand
5 Steps to Securing a New Credit Facility
From understanding the market landscape to running a competitive, disciplined process, we outline five steps to securing a new credit facility