If you are contemplating, or already have, invested or loaned funds into a private business you need to know how to securitize, monitor and, if necessary, enforce for the repayment of your investment or loan.
Join Tom McElroy and Elisabeth Colson for this webinar as they discuss the various types of available financing and discuss how the type of investment and security taken impacts both the lender and the borrower in the event of an unanticipated business failure. They will describe the various considerations for traditional bank financing (and inter-creditor/subordination agreements); vendor take-back; assignments of a lease in favor of the landlord; share pledges; personal and corporate guarantees; collateral-specific and general security agreements. They will also discuss how each of the above types of security work in concert with the personal property security regime in Ontario, and their possible implications for the lender and borrower in the event of an unanticipated insolvency of the target business.
Once the investment has been made and loans or equity advanced, it is important to monitor the position of your investment or loan. For example, there are certain creditors that will always rank in priority to any investment or loan, and it is important to monitor your investment and the target business to ensure that these creditors do not encroach on your security position. They will provide practical and effective monitoring procedures to help ensure your investment or loan is protected as well as your recourse options if the business is not progressing as anticipated or if your security position is at risk of deteriorating. We will illustrate the options that are available to creditors to enforce on their security using real-life examples.
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The information, analysis and opinions expressed in the webinars, podcasts and/or congress presentations are solely those of the presenter/author, are not reviewed by the Institute as to content or accuracy, and are not endorsed by CBV Institute or any of its Members.