Cash Flow Crisis

Urgent need of funds to cover unexpected gap

A business that needs urgent cash to forestall a ‘wind-up’ action, creditor pressure or similar and provide breathing space to implement internal change or explore other survival options such as sale of assets, creditor negotiations or business restructure.

Example scenario:

• Loan amount: $40,000

• Business purpose: Creditor negotiations

• Loan term: 6 months

• Security: Commercial property

• Loan type: Interest & cost of loan capitalised into payout sum

• Exit strategy: Generation of sufficient cash flow to payout the private loan due to reduction in production expense and improved market conditions.