Providing credit resources and access to capital in times of financial uncertainty are paramount for many companies. Business stabilization programs and restoring growth are possible only if normal working relations with banks are maintained. Over the past few years, some companies have compensated for the deterioration of the credit climate by attracting additional equity capital; others have succeeded to a lesser extent. As a result, restructuring of bank debts, both private and public, is now a common phenomenon in Ukraine and European countries.
We offer a Bank Covenant Monitoring service for banks and companies in both normal lending and restructured debt servicing. Even in the most favorable times for business, the relationship between banks and borrowers has required significant attention from company managers and bank credit officers. In today’s realities, these relationships have become critical for business. The additional trust, competence and comfort brought by monitoring the borrower by an independent audit company create an optimal platform for continued credit support. Moreover, the Monitoring Auditor (a task for which we have the necessary experience) is in an optimal position in relations with banks to objectively justify further deferrals of debt repayment by the enterprise.
For lending banks, Russell Bedford RCG will conduct an analysis and provide reports on all aspects of the borrower’s compliance with covenants, including confirmation of management reporting if necessary. For borrowers, our services in the form of Covenant Compliance Reports, Liquidity Reviews, and possible debt repayment deferrals will help support dialogue with banks and ensure acceptable debt servicing terms.