Debt Advisory

Secure the best funding solution

BDO’s Debt Advisory team specialises in advising companies looking to raise funds through debt. We have extensive relationships with traditional and private credit (non-banks lenders and credit funds), ensuring you can maximise all potential funding options. 

We have the finance networks, knowledge and experience to provide the advice you need to deal with all aspects of your financial arrangements, and we work with you to ensure the best possible financial outcomes.

How BDO can help

We apply our extensive knowledge, experience, and relationships to meet your requirements, with a focus on four key areas:

  • Corporate debt and growth capital
  • Property debt
  • Special situations and distressed debt advisory
  • M&A and leveraged finance.

Corporate debt and growth capital

Procurement of new debt or refinancing in the current environment can be challenging for mid-market companies, as financiers seek to reduce risk and improve margins. Through BDO’s strong relationships with major banks, non-bank lenders, and private credit funds, we assist clients in sourcing the right finance options for their current circumstances. 

Given BDO’s extensive client base in the mid-market, we pride ourselves on supporting businesses looking for investment to back expansion and growth initiatives (acquisitions, capital expenditure projects, expansion). Our team is uniquely positioned to:

  • Help you position your business so it has the best chance of attracting funders
  • Develop a bespoke debt raise strategy to support your growth
  • Prepare your business for as smooth a deal process as possible
  • Identify and connect you to the most appropriate potential lenders
  • Negotiate the best possible commercial terms.

Property debt advisory

BDO’s Debt Advisory team are bespoke debt advisers in the property space and we pride ourselves on guiding clients through the entire process to completion. BDO has extensive real estate and construction advisory experience and is a distinguished debt adviser in the property finance space, providing clients with access to highly competitive and flexible debt solutions.

Our real estate finance specialists diligently procure domestic and global debt options, guaranteeing clients the most extensive range of debt across all asset classes, including commercial, retail, and industrial. Our access to capital providers across traditional lenders and private credit (non-banks and credit funds) provides for a wide variety of funding options across the complete capital stack (i.e. senior funding, stretch-senior funding, mezzanine and REIT and portfolio funding), with flexible tenors and terms. 

Special situations and distressed debt advisory

We assist clients in developing complex debt solutions, leading stakeholder management and negotiations in distressed or special situations, refinancing existing lenders, and advising on strategic financial and debt restructuring options. Borrowers facing periods of significant change or stress may require assistance in managing their existing facilities driven by the following:

  • Facing liquidity constraints and requiring access to working capital
  • Going through a period of financial or operational underperformance leading to a covenant breach (or a potential covenant breach), inadequate buffer in the banking facilities, or failure to meet financial commitments
  • Being over-leveraged due to a drop off in trading, limiting the business’s capacity to secure funding through equity capital markets
  • Underperformance, resulting in a covenant breach, insufficient headroom in banking facilities and/or a failure to meet financial obligations
  • Loss of lender support after changing business strategies.

M&A and leveraged finance (MBO & LBO)

Funding strategies and capital for new acquisitions or growth are key to the success of M&A initiatives, strategic growth opportunities, and large capital expenditure projects. We offer assistance in supporting acquisition and M&A funding, including:

  • Sell-side debt raises to support sell-side M&A mandates
  • Buy-side debt raises to support a new M&A investment alongside M&A
  • Dividend recapitalisations
  • Raising debt for acquisition funding lines to support buy and build strategy
  • Covenant amendment and negotiation processes
  • Asset-backed lending or cash flow facilities to refinance and fund working capital.

We assist clients in developing and undertaking growth funding strategies to ensure the success of initiatives and approaches to debt in the context of an effective overall capital management strategy. Our approach includes: 

  • Extensive lender and investor relationships in Australia and New Zealand to ensure we leverage all potential financing sources and secure the best terms from the market
  • Maximising competitive tension between lenders
  • Flexible facilities to account for EBITDA adjustments, group initiatives, and pre-agreed synergies
  • De-risking a buy and build through pre-agreed committed or accordion facilities
  • Increasing leverage as the business scales
  • Preserving headroom and flexibility via automatic re-set of covenants after acquisitions.

Contact us

Contact our team to discuss your needs using the request for service form. Alternatively, call us on 1300 138 991 to speak with an adviser in your nearest BDO office.

Meet our team