Trending Content - Credit Forum
Career Resources
WSO Free Modeling Series - Now Open Through
October 31, 2026
9 Free Financial Modeling Lessons
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
+Bonus: Get 27 financial modeling templates in swipe file
+Bonus: Get 27 financial modeling templates in swipe file
High Finance Applications
Guaranteed
Get at least one offer GUARANTEED
- 1:1 support
- 92% success rate
- 2,000+ mentor network
- Unlimited Live bootcamps
- AI for resume + LinkedIn
- Networking automation tools
- HireVue simulation tool
- Full course library
- Private Slack community
- 20hrs of mocks
- + much more...
They can, but TLB more prominent due to the nature of LBOs
Yes, but most times sponsors want to minimise cash leaving the business so will be more common to see TLB
They do. Amort is typically 1% as others above have mentioned (like TLBs). Would note that what direct lenders offer isn’t synonymous with TLBs since direct lenders often get a better credit agreement than what is offered in broadly syndicated land but that’s a separate topic… in more bespoke situations where a financing process is less competitive or the business is at risk of, or is currently in, secular decline, amort will become more common (usually in range of 5-10% per year)
As someone looking at the private credit market from the outside (I work strictly on syndicated financings, unfortunately, where are the primary areas of a credit agreement you see tightened up vs a syndicated doc?
I’m assuming tighter RPs / investments baskets, tighter CoC definition, maybe more favorable ECF sweep thresholds (or lower minimum ECF $ threshold) etc…but curious what else and how covenants differ
Main items are better covenants (ie they actually have a covenant, how real this covenant is will be situation dependent), better ebitda definition (ie there is a cap on add back amounts), and then tighter negative covenants through RP and incremental debt capacity as you mentioned.
Most of the private credit deals I've done, primarily in special situations / distressed, featured amort. of 1-2% per month
Can anyone please share what interviewrs mean when tjey say ne reasy woth portfolio
Of amortising loans on private credit?
Ut neque unde aut aut. Voluptas vel quam suscipit vitae blanditiis hic. Doloremque exercitationem error expedita.
Et inventore quas et et odit voluptatem excepturi. Et ipsum placeat est aut. Eaque praesentium debitis beatae. Ex occaecati tempora animi aliquid commodi voluptates qui.
Expedita enim est non et atque. Voluptate beatae porro perferendis error. Magni et assumenda ut dolorem illo.
Maxime corrupti nemo aperiam modi ut. Assumenda aut est recusandae. Numquam velit sit voluptatem tempora mollitia praesentium quis. Id impedit in et tempora rerum. Amet sint voluptatem rerum tenetur quis. Et expedita et eius tenetur.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...