How World-Class Organizations Manage Debt

Most corporate finance leaders don’t see receivables data often enough or understand the significance of it. When they do, it is usually stale and non-specific to proactively analyze trends and manage any problem accounts. A study by IP consultancy The Hackett Group noted that world-class organizations are tackling this issue. They are employing sophisticated and… Continue reading>

The New Normal: Lower PE Returns and Expensive Credit

According to Moody’s, record corporate debt is coming due in the next five years. Companies that are borrowing or funding businesses through debt will need to pay close attention to debt covenants, debt ratios, cash flow from operations and interest coverage in their holdings. This concern includes portfolio companies. A recent report by the Center… Continue reading>

Top Mistakes that Cost Private Equity Firms

What mistakes are costing private equity firms? Beyond the inefficient or noncompliant collections practices we see at The Credit Department, portfolio companies are suffering due to poor operational, broker and hiring decisions. Read about these mistakes (and how to fix them) in the following articles. Read how we help equity investors.   5 Practices That… Continue reading>

Trump’s Proposed Tax Plan Affects Carried Interest

President-elect Donald Trump touted his business expertise during the 2016 presidential campaign and promised to get rid of carried interest. If this comes to fruition, what does it mean? The Credit Department found reputable and factual resources to explain how these proposed changes could affect your business and income. The tax implications are substantial: Capital… Continue reading>

2017 Business Forecasts Impact Portfolios

Each year around this time, the media reviews last year’s business trends and forecasts into the future. We found a mix of articles highlighting 2016 and 2017 business trends that can impact business value and profits. Like the recent Presidential election, these trends will defy traditional market assumptions.   Underestimated Millennials On the older end… Continue reading>

Risk Management – Business Trends and the Economy

Is risk management a concern for your portfolio companies? Value can erode due to inefficient or noncompliant collections practices, cyber risks and lack of controls in staffing. The following articles address larger risks with regard to business trends and the economy. They can serve as background to justify porfolio company operational improvements while times are… Continue reading>

Best Private Equity Firms of the Future

What will private equity look like in the future? We reviewed some recent articles that show a strong emphasis not only on sourcing, but also skills at executing transactions and adding value post-close. One primary value-add is a strong accounts receivables solution for your portfolio companies. Ask The Credit Department about services to improve the… Continue reading>

Latest News on Private Equity Asset Management

The Credit Department has reviewed the headlines regarding portfolio company profitability. Ask us how a solid accounts receivables strategy for underperforming companies can be your foundation to leverage the opportunities outlined in these articles.   Disruption: A Seismic Shift in the Private Equity Industry Ernst & Young, in collaboration with Private Equity International, presents the… Continue reading>

Private Equity Firms: Connect Portfolio Companies to Your Network

How can your private equity firm provide additional value to portfolio companies? A recent Forbes article covers this topic, specifically discussing leveraging partner networks. In the article Connecting For Results: Private Equity Firms Assisting Their Portfolio Companies, a Grant Thornton survey found that four out of five of 162 middle-market private equity firms “are looking… Continue reading>