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Structured CreditSeptember 4, 2020

SG Credit Partners Provides $2.5 Million to Consumer Debt Collection Agency

The Company:

Privately owned consumer debt collection agency.

 The Financing Situation:

The Company needed capital quickly to move on opportunistic portfolio purchases as well as working capital cushion while collection curves ramped up.

 The Solution:

SG was able to quickly get comfortable with the transaction due to the value of dedicated portfolio collateral as well as a strong personal guaranty from the owner. SG worked quickly to provide a $1.5MM funded ($2.5MM total) facility in a first lien position with interest-only payments. Closing timeframe was one week.

This transaction highlights SG’s ability to structure and underwrite collateral based / guarantor based loans. While many of you know us as a cash flow based lender, we now provide special situation (balance sheet) loans requiring creativity, flexibility, and speed to close. We also have a strong interest in providing customized solutions for illiquid high net worth entrepreneurs.