This starts with essentials, such as personal and commercial insurance coverage. But as your business becomes larger, risks will grow in scale and complexity, and may require more sophisticated solutions. This could include interest rate hedging strategies designed to lock in rates, insulating your debt from fluctuations in the market or increased interest rates.
For businesses with significant credit needs in the tens of millions of dollars, a syndicated loan may be an option as well. A syndicated loan brings together multiple lenders on one credit facility, typically when the need for debt financing exceeds the capacity of a single commercial bank, to effectively manage risk via diversification.
