Covenant & Collateral Review
A clear-eyed assessment of your covenant headroom and collateral position, so you see the pressure points before a lender or buyer does.
What this engagement delivers
Covenant breaches rarely arrive without warning — they are simply not seen until it is too late. This review models your headroom under realistic and stressed scenarios, stress-tests the collateral that secures your facilities, and gives you a plan to protect your position.
The challenge it solves
- Headroom is tracked loosely and only understood when tested.
- Collateral bases drift as the business changes shape.
- Reporting to lenders is minimal, leaving no room to negotiate.
How we work
Read the documents
Translate every covenant and collateral definition into plain, testable terms.
Model the headroom
Project headroom under base, downside and stressed scenarios.
Test the collateral
Assess whether the secured base still reflects the business.
Plan the response
Prepare the actions and arguments to protect your negotiating position.
Deliverables
Scope is defined up front and agreed case by case with your team.
The engagement, phase by phase
The sequence is fixed; the pace is agreed case by case around your priorities.
Review
Extract every covenant and collateral term from the documents.
Model
Project headroom and test the collateral base under stress.
Report
Build credible reporting for lenders and the board.
Prepare
Arm the business with a clear response plan.
More Service Areas
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Attributable, defensible working-capital improvement for PE Operating Partners.
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Renegotiation leverage across multi-entity, multi-jurisdiction facilities.
View serviceBanking Fee Audit
Fast, provable cost recovery — no long-term commitment required.
View serviceKnow your headroom before someone else does.
We will map your covenants and show exactly where the pressure sits.
Book a Scoping Call