Category D
Special-Situation Financing
Negotiated structures for time-sensitive or complex opportunities where conventional lenders may not move quickly.
- Principal Capital
- Collateral-Based
- 6–12 Month Terms
- Case by Case
Overview
Equity investment, receivables, stock pledges, settlement receivables, balance-sheet cleanup, or other negotiated special situations. Built for transactions requiring speed, tight documentation, and counsel-reviewed collateral or conversion mechanics.
What Proceeds Cover
- Going-public transaction costs
- Delayed receivables and settlement timing
- Pending uplisting requirements
- Acquisition timing gaps
- Balance-sheet cleanup and defined obligations
- Counsel-reviewed negotiated structures
When This Applies
Most people arrive here from a search, in the middle of something. These are the situations this category exists to answer.
The timetable is the constraint, not the credit
Some transactions are perfectly sound and simply cannot wait for a committee. Where the collateral is clean and authority to transact is established, the pace of a decision is set by diligence rather than by an approval chain.
The asset is real but unconventional
Settlement receivables, judgment proceeds, pending milestone payments, and negotiated balance-sheet positions are assets that many lenders have no framework for. They can still be underwritten and secured.
The balance sheet needs cleaning before anything else can happen
An uplisting, a raise, or an acquisition can be blocked by a defined near-term obligation. Retiring it is often the highest-value use of capital available to the company.
How It Is Structured
The same four things decide whether a transaction in this category can be done, and in what order they are established.
Every structure is negotiated from the facts
There is no product to fit the transaction into. What is available is principal capital, a documented security position, and a repayment source that can be identified.
Speed comes from a short decision chain, not from thin diligence
Decisions are made in-house without outside fund or investment-committee approval. Diligence, legal review, and definitive documentation are unchanged.
Collateral has to be enforceable, not merely present
For unconventional assets that means confirming assignability, lien position, and what actually happens on enforcement, before terms rather than after.
Tight documentation is the trade
Transactions that move quickly do so on clearly defined controls, defined events of default, and definitive documents. Speed and looseness are not the same thing.
Indicative Structure
| Facility size | $100,000 — $500,000 indicative; larger considered case by case |
|---|---|
| Term | 6 to 12 months |
| Position | Secured; structure negotiated per transaction |
| Decision | Made in-house, without outside fund or committee approval |
| Controls | Defined events of default; no new senior debt without lender consent |
| Conditions | Diligence, legal review, collateral review, definitive documentation, and closing conditions |
All transactions remain subject to diligence, credit or investment approval, legal review, collateral review, and closing conditions.
Collateral Considered
- Settlement and judgment receivables
- Accounts receivable
- UCC lien on company assets
- Equity or stock pledges, subject to review
- Real property, subject to lien position
- Guaranty or control agreement
Senior liens, priority, and enforceability are reviewed during diligence.
Model a scenario against this collateralTransactions We Finance Here
Each of these has its own page covering structure, collateral, what we look for, and what commonly stalls one.
Receivables Financing
Capital advanced against invoiced receivables and settlement proceeds where the obligor and the payment path can be clearly documented.
Read moreBalance-Sheet & Settlement Funding
Negotiated capital to retire problem obligations, fund settlements, and present a clean balance sheet ahead of a transaction.
Read more
Common Questions
If your question is not here, a short call is usually faster than an email thread.
Ask directlyWhat makes a situation special rather than ordinary?
Usually one of three things: an unconventional asset, a timetable a conventional process cannot meet, or a structure that has to be negotiated rather than selected. The underwriting standard does not change.
How quickly can a transaction move?
That depends on the transaction, and specifically on how quickly collateral, authority, and the repayment source can be evidenced. What we can say is that the decision is made in-house, so there is no outside committee in the sequence.
Will you finance a distressed company?
Distress is not itself disqualifying, but the threshold items are unchanged: authority to transact, clean collateral, and a documented repayment or exit source. Material disclosure or compliance gaps, and collateral the borrower does not clearly own, are the more common reasons a transaction does not proceed.
Can you look at a transaction another lender has declined?
Sometimes, because the reason for a decline is often structural rather than a judgement about the borrower — an asset class a lender has no framework for, or a timetable a process could not meet. It is worth describing the situation rather than assuming the answer.
Do faster transactions get lighter documentation?
No. Definitive documentation, legal review, and collateral review are conditions of every transaction. A short decision chain is what creates the speed.
What Happens Next
Submitting a transaction starts a review, not a commitment. This is the sequence that follows.
Submit Intake
Provide a brief overview of your financing needs.
Initial Review
Our team reviews the opportunity and confirms alignment.
Confidential Discussion
We evaluate structure, collateral, and objectives.
Structured Solution
Where there is a fit, we outline a tailored path forward.
Submission of information does not create a commitment to lend or invest.
What to Have ReadyDocuments commonly requested during review. Nothing here is needed to submit.
Corporate
Establishes who you are and who can sign.
- Certificate of incorporation and current bylaws or operating agreement
- Current capitalisation table, including options, warrants, and convertible instruments
- Officers, directors, and holders of more than five per cent
- Board or member authority to incur debt and pledge assets
Financial
Shows what the business does and what it can carry.
- Last two years of financial statements, audited where they exist
- Current-year interim statements
- Existing debt schedule with maturities and security
- Accounts-receivable ageing, where receivables are part of the picture
Transaction
Describes what the money is for and how it comes back.
- Letter of intent, merger agreement, or registration draft, as applicable
- Use of proceeds, itemised
- Repayment or exit source, with its expected timing
- Counsel, auditor, and transfer agent engaged on the transaction
Collateral
Establishes what secures the facility and who else has a claim on it.
- UCC search results and any existing lien or security filings
- Valuation, appraisal, or ageing supporting the collateral's value
- For pledged securities: share certificates or book-entry position, and the transfer agent's requirements
- Any lock-up, pledge restriction, or shareholder agreement that touches the collateral
If This Is Not Quite It
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Not Ready for the Full Form?
Tell us who you are and what you are financing. We will read it and reply.
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Submit a Transaction for Preliminary Review
Send company information, requested amount, use of proceeds, repayment source, available collateral, desired closing timeline, and any proposed equity or conversion mechanics.