There is no single, exclusive method for attempting a workout or restructure of a distressed loan. The options available to the parties are limited only by their creativity, willingness to negotiate, and capacity for adjustment of a defaulted credit. 

    From a lender's perspective, the first decision is how to properly staff the workout "team". We have the flexibility to work one-on-one with a single, designated representative or within a larger group. Once assembled, the workout team's first task is to identify the problem being faced by the particular borrower or credit. 

    Depending upon the nature of the problem(s) identified, the solution can take a variety of forms involving some or all of the following adjustments: an additional capital infusion, additional collateral, additional guaranties, an affidavit of financial condition, a pre-negotiation release, pre-negotiation fees, cure of loan or collateral defects, a change in management, engagement of a third-party consultant, and ultimately negotiated terms for forbearance or for restructure of the loan. 

    Having drafted numerous agreements and tailored provisions in the area of loan workouts and restructures, we are able to offer comprehensive assistance to both lenders and borrowers in this arena.