A restructuring advisor is an essential part of your team when you are trying to turnaround an underperforming business or improve a business balance sheet.
Expert, outside perspective is needed to complement businesses owners to deliver hard truths and to counter any blind spots. Having an advisor who is knowledgeable and detached during a restructuring can cut through a lot of the confusion that exists and will determine the appropriate actions. In situations where an entire restructuring is not necessary but the balance sheet has suffered, it is important to understand how debt refinancing plays only part of the overall balance sheet restructuring.
In debt refinancing, a borrower is seeking a new loan or debt instrument that has better terms than the previous contract. It is used to settle the previous obligation. This subject matter take strategic thinking that should not be taken likely. Simply seeking better cost terms is only one part of the process, but the product you choose and the conditions of that product are often more important than just the pricing.
In a world where lending products are changing, it’s no wonder that you may be worried about what kind of financing will be available tomorrow. Established companies may want to consider refinancing their debt if they feel that their current lenders capabilities are compromised. The culture may be changing or the direction of the institution could have just made it harder to do business.
Fixing the balance sheet is often just one part of the restructuring process and additional initiatives include important outcomes in the organization structure, cost structure and business development.
Working with Midstreet Capital will simplify the process and empower the business owner to make better decisions that will improve the business value and cash flow.