Debtor in Possession Financing (DIP) with Dividend America Commercial Lending provides a wide variety of businesses with the opportunity to obtain the capital necessary to restructure or make emergency purchases, even in the midst of a Chapter 11 bankruptcy. Getting approval for debtor in possession financing is not as simple as conventional financing, but it can be done.
Key Criteria for Debtor In Possession Financing
- There must be a viable plan to return the company to profitability and to discharge the bankruptcy.
- There must be collateral available to secure the DIP financing. This collateral may be in the form of receivables, inventory, equipment, real estate, etc. Oftentimes, this collateral can be provided by the new asset to be acquired by the business with the DIP financing package.
Every situation is different and Dividend America Commercial Lending is an expert at planning strategies to put the right type of Debtor in Possession financing in place. Our expansive lending platform allows us to identify the right type of lending facility that helps our clients reestablish their business, take advantage of short-pay opportunities and ‘re-set’ their companies for the new economic realities post-bankruptcy.
For expert advice about DIP financing or to see if your firm qualifies for Debtor in Possession financing contact us and we’ll help you get started.
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Call Michael Gross, President, Dividend America Commercial Lending at 404-549-6756 or email .