Financial Restructurings

Coping With Financial Distress

A severe economic downturn. The loss of a major customer. Sudden changes in industry regulation. Too much debt. The possible causes of financial distress are legion. When margins are shrinking, cash is evaporating, and anxious creditors are pressing for answers and money, our clients need an experienced advisor with the operating and financial skills to find solutions.

Carbide Partners helps our clients react aggressively to cope with financial distress:

Assess liquidity and generate cash fast. We assist our clients in controlling cash, managing working capital, reducing operating and overhead costs, and negotiating appropriately with customers and vendors to improve liquidity.

Determine realistic options. Carbide Partners has the restructuring experience to help clients develop a roadmap to a viable operating business and a stable capital structure. The range of options may include operational consolidation, headcount reductions, asset sales, business unit divestitures, refinancing, raising additional capital, a sale of the entire business, or negotiating an out-of-court solution with creditors, lenders and equity holders.

Implement the plan. Carbide Partners’ principals can provide “hands on” assistance, both as day-to-day operating managers and financial advisors, to execute the plan. If additional experts, such as attorneys with restructuring experience, are needed to get the job done, we’ll employ our network of partners to help clients obtain access to knowledgeable resources quickly.

The broad experience of Carbide Partners’ principals includes roles as chief executive officers, middle market business owners, lead board members, private equity investors and investment bankers. We have “real world” experience in distressed situations (and the scars to prove it), allowing us to identify and implement the business changes our clients need rapidly when the pressure is on.