Bank Advisory Services
Montrose…delivering the A-Team
- delivers the financing solution that addresses the unique circumstances of your company
- provides a tailored approach, enabling your company to have the flexibility to grow free of the constraints of unnecessary terms and conditions in your credit and indenture agreements
- is drawn from a core group of professionals with expertise in…
- Reserve Based Lending
- Project Finance
- Structured Finance
- Asset-Based/Backed Structures
- representing the following disciplines, as necessary, each with 25+ years of experience with the most influential and reputable institutions in their fields…
- Geological/Geophysical scientists
- Petroleum and Process Engineers
- Securitization specialists
Bank Relationship Strategy
Choosing the right Agent Bank is critical…
- to forming a working relationship with your bank syndicate
- enabling you to balance the trade-offs among the members of your bank syndicate.
- a large, global money center bank will have extensive capabilities but their demands may prove overwhelming
- a strong local or regional bank may prove beneficial provided it has adequate product capabilities to meet the core needs of the company
A well-formulated bank relationship strategy will serve your company well…
- should your financial situation become challenging
- or an opportunity arises, and you need a quick response from your bank syndicate
- provides the product and credit capacity to grow
- changing banks and restructuring facilities are expensive and take a great deal of time
The investment you make nurturing a relationship with each bank is critical to meeting your longer-term objectives. Some “best practices” to nurture your bank/creditor relations…
- CEO/CFO meets with significant Banks and Creditors at least semi-annually, less important ones can be seen annually
- keep them informed of the latest Strategic Plan and Financial Policy
- maintain strong communications links and avoid any surprises
- Update performance against financial covenants and maintain adequate headroom relative to your realistic, projected downside scenarios?
- Understand covenant comps in the market and negotiate for flexibility
Legal Relationship Strategy
…as is Choosing the Right Law Firm
Equally important is developing a long-term relationship with both a law firm and a partner, both with deep expertise in the industry/sector of your company.
- An experienced law partner from a recognized firm serves as leverage to your management team.
- They can be an early defense should your company’s financial condition begin to show weakness
- They are a valuable resource to discuss options and determine outside advisors, depending on the situation