Hospitality specialist Mairea Doyle Balfe and Declan Hanly from our corporate restructuring team presented the first in the new Fáilte Ireland ‘The Money Matters Series’ webinars on Thursday 24 February.
In this hour-long webinar they provided insights on debt financing for hospitality businesses as we progress past the COVID-19 pandemic.The topics covered included:
Mairea and Declan outline the different types of debt financing available to businesses and the implications of each, including short- and long-term loans, overdrafts, finance and operating leases and invoice discounting.
The webinar also addressed non-performing loans (NPLs) and the implications of these that lenders may apply including increased reporting requirements, possible limitations on any additional spend or caps on debt levels.
For businesses to fully understand their debt facility, the importance of knowing what security the lender provides was highlighted. Four main types of security were discussed: Fixed and Floating Charges, Personal and Corporate Guarantees and Unsecured Debt.
Finally, the options of debt restructuring and refinancing were explored. Declan outlined the importance of working with your advisor to access the situation and choose the best option available to suit your specific business requirements. He outlined some specific solutions including examinership, SCARP, liquidation and personal insolvency
Click below to watch the video or visit Fáilte Ireland's COVID-19 Support Hub for further information.
If you would like assistance accessing finance, reviewing your debt financing requirements or need help understanding what restructuring options are available for your business contact a member of our corporate finance team.