Distressed Asset Acquisition Program
It doesn’t necessarily have to be a wipe out.
Private equity financing for distressed asset transactions can be in many forms, including distressed asset acquisitions. Circumstances may dictate a sale as the only option, but the goal is to avoid a fire sale scenario at all costs, as this usually wipes out all of the shareholder equity that may otherwise be subject to recapture. Not all distressed financing programs are created equal. To be sure, there are significant risks involved and that means funding comes with a premium attached that reflects the risks underwriting identifies. Timing, efficiency and long-term profitability for the benefit of the sponsor remain paramount concerns in our approach. Not all transactions qualify and there can be no guarantees, but you have to be forthright and realistic, alert and responsive, and engaged from beginning to end. The process starts with an assessment prior to an underwriting review.
What Really Happened?
First, distressed asset acquisitions are the only outcome where poor execution management or fraud is present. Circumstantial issues like COVID should be dealt with using a recapitalization.
Distressed Asset Funding Options
Time is not your friend at the moment, but that doesn’t mean a recapitalization, zero-coupon transaction or revenue participation certificate transaction aren’t realistic options.
Action is Required
Action is required. Once we engage, you have to make a decision and live with the consequences. If you cannot work quickly and efficiently, then an asset sale becomes your only option.
Get back into the game. You are the coach and the destiny manager.
Our program focuses on engaging with the business owner as they know the conditions on the ground the best.
Rainmaker Analytics is a financial risk assessment consulting and capital markets due diligence firm that also undertakes transactions on its own account thru affiliate entities.
Get In Touch
- email@example.com (832) 663.9634
14614 Falling Creek Drive, Suite 121
Houston, Texas 77068