Direct lending
A non-bank lender may focus on enterprise cash flow, sponsor quality and transaction structure. Terms vary widely by lender.
FINANCING SOURCE
Private Market Debt
Non-bank lenders may underwrite a transaction with a different view of collateral, cash flow, speed or a defined transition plan.
Understanding private market debt
Private lenders can evaluate transitional, specialized or time-sensitive situations under criteria that differ from a bank’s. Flexibility can be valuable, but it is only useful when the borrower understands the full cost and a credible repayment or exit path.
Common structures and uses
Bridge and transitional financing
Shorter-term financing may address an acquisition, renovation, lease-up or refinance gap when a clear next step supports repayment.
Special situations
A lender may consider assets or circumstances outside a particular bank’s policy, subject to its own underwriting and controls.
What a lender will review
A source can fit the goal and still need a clear repayment and risk story.
- Collateral and enterprise value
- Credible repayment or exit plan
- Transaction timing and sponsor capability
When this source may fit
- A time-sensitive or transitional request
- A borrower or structure outside a particular bank’s policy
Where borrowers can lose time or options
Exit risk
A projected sale, stabilization or refinance needs evidence and a fallback if the timing changes.
Headline rate hides total cost
Fees, minimum return, prepayment provisions, amortization and extension terms can alter the economics.
Unexpected control terms
Collateral, guarantees, cash management and covenants can affect flexibility after closing.
Terms and obligations to compare
- Pricing, fees and covenants vary
- Amortization, collateral and guarantees may differ from bank terms
Ask about total cost, proceeds, guarantees, collateral, covenants, reporting and timing in the actual proposal.
How Alliance helps
When a deadline is closing in, a fast proposal can feel like the only choice. Alliance tests the proposed debt against your cash flow, timing, and exit plan, then compares the full cost and control terms with available alternatives. You can move with a clearer view of the price and the risk you are accepting.
Related borrowing needs
Commercial Real Estate
A property opportunity or approaching maturity brings deadlines you cannot ignore. Explore financing for commercial property purchases, refinancing, improvements, and investment plans.
Explore ↗Debt Refinance & Restructuring
An approaching maturity or debt payments putting pressure on cash flow demand a clear plan. Explore refinancing and restructuring options aligned with your business or property goals.
Explore ↗Construction
Your project needs financing aligned with its budget, schedule, and completion plan. Address construction funding requirements early so avoidable financing issues do not hold up the work.
Explore ↗LET’S TALK
Discuss private market debt with Alliance.
Tell us what you need to finance and what has made the request difficult. We can discuss possible sources and next steps.