In troubled economic times, many businesses will opt to restructure their debt in an attempt to extend their credit and avoid defaulting on their loan. From a lending perspective, the restructuring of loans is also the preferred route—particularly in times of tightening credit. Lenders have several options to help move borrowers back to stable ground. The SRS Acquiom team of loan professionals offers this checklist to help lenders navigate these situations.
1. Stabilize the Buyer
Neutralize the financial forces impacting the borrower to assess the borrower’s current state. Review the borrower’s current situation and pinpoint the factors contributing to their declining business performance. Ensure that creditors are halted from debt collection activity via negotiation of a temporary agreement. At the same time, conduct a business review to understand the debt structure(s), balance sheet, and business drivers.
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Renee is the Managing Director of Loan Agency at SRS Acquiom. Based out of Minnesota, she manages the company’s Loan Agency department.
Before joining SRS Acquiom, Renee served as an administrative vice president at Wilmington Trust, N.A., most recently leading the loan agency and restructuring products. In addition to her 10 years at Wilmington Trust, she also worked at Wells Fargo Bank, N.A. in both the corporate trust and shareholder service departments.
Renee received a J.D. from Mitchell Hamline School of Law, a B.A. in History and Political Science from Azusa Pacific University and is a member of the Minnesota Bar.