‘To Own or Not to Own’ – that is the question. We've all heard the business owners’ rationalization for owning the building where their business operates – “My business is going to pay rent to someone, why shouldn’t it be me?” “We don’t want our business to be beholden to a landlord, we want to [...]
Do you believe in the adage "History repeats itself”? There are a number of examples supporting this – Economic cycles, stock market fluctuations, music trends, clothing styles (let’s hope that’s not the case for the 1980s!!), and the list goes on. We believe that history does repeat itself, especially when it comes to challenged loan relationships in [...]
In the 1st half of 2020, a surprising majority of distressed loan relationships we’ve reviewed involved borrowers whose optimistic expansion plans pre-COVID resulted in significant increases in fixed expenses and leverage (financial and operational). These debt-funded investments – whether it's equipment purchases, strategic acquisitions or real estate expansion – were intended to facilitate forecasted growth [...]