leveraged

Engineering an outcome – transformation & amplification

Capital / leverage / strategy / Creative flexibility private credit solutions for growth-stage sponsorship backed businesses

Leveraged Lending

Private Capital Solutions Beyond the Bank Market

We provides access to leveraged lending solutions for established companies seeking acquisition, growth, or liquidity capital that falls outside traditional bank underwriting standards.

TCR do not lend directly. TCR originates, structures, and places transactions with private credit funds, direct lenders, and institutional capital partners—delivering confidentiality, speed, and certainty of execution.

Our focus is on cash-flow–generating businesses with clear use of proceeds and durable operating fundamentals.

Our Approach

Leveraged lending is underwritten primarily on enterprise value and cash flow, rather than rigid collateral formulas or legacy bank constraints.

TCR works with capital providers who emphasize:

  • Sustainable EBITDA and free cash flow
  • Business durability and competitive positioning
  • Management and ownership alignment
  • Downside protection and exit visibility

This approach enables higher leverage, customized structures, and efficient execution.

Typical Transaction Profile

Parameters vary by transaction and capital source

  • Transaction size: $5MM – $250MM+
  • Leverage: up to 5.0x–7.0x EBITDA
  • Structures: First-lien, unitranche, second-lien, structured credit
  • Pricing: Floating-rate (SOFR-based)
  • Execution timeline: 2–4 weeks

Common Levered Lending Structures

Most deals fall into one or more of these categories:

1. Senior Secured Term Loans

  • First lien on assets
  • Lower risk within leveraged capital stack
  • Typical leverage: 3.0x – 4.5x EBITDA

2. Unitranche

  • Combines senior + subordinated debt into one facility
  • Faster execution, simpler docs
  • Leverage: 4.5x – 6.0x EBITDA

3. Second Lien Debt

  • Subordinate to first lien
  • Higher pricing
  • Leverage pushes higher in buyouts

4. Mezzanine / Subordinated Debt

  • Cash + PIK interest
  • Warrants or equity kickers
  • Used to fill capital gaps

Buyout Investment

  • Typically involves acquiring 51%–100% ownership of a business.
  • Provides the private equity firm with a controlling stake and decision-making authority.
  • Focused on driving strategic, operational, and financial improvements to increase enterprise value.

Growth Equity Investment

  • Involves acquiring a minority stake in a business.
  • Capital is provided to support expansion, new markets, or product development.
  • The private equity firm plays a supportive role, adding expertise and resources without assuming control.

Pricing (Market Ranges)

Pricing varies with risk, structure, and liquidity:

  • Senior secured: SOFR + 400–700 bps
  • Unitranche: 9% – 13% all-in
  • Mezzanine: 12% – 18%+ IRR

Fees, OID, and prepayment premiums are common.

Focus on transforming

We target investment opportunities in small market working community companies, partnering with leading private equity firms who collectively manage billions in committed capital.

  • Revenue Range: Under $40 mm
  • EBITDA: $2 mm – $10 mm
  • Equity Investments: $5 mm– $20 mm
  • Investment Horizon: 5 to 10 yrs (TBD)

Growth Capital

Taking your company to the next level:

  • $5 mm + for a new facility
  • Funding a $20 mm acquisition
  • Launching a global product
  • Expanding and tripling sales capacity

Through our investor and lender network—from boutique growth funds to global institutions—we match the right capital partner by size, industry, and culture.

We create competitive investor interest to ensure optimal pricing, terms, and timing.

Recapitalization

As businesses evolve, so must their capital structures. Whether driven by growth, succession planning, or changes in shareholder preferences, recapitalization unlocks flexibility.

TCR works with:

  • Private equity firms
  • Mezzanine and institutional lenders
  • Insurance companies
  • Non-traditional capital providers

Our proven partners have executed leveraged re capitalization ranging from $10 mm to $50 mm, bringing in fresh capital and new strategic partners.

MBO & LBO Transactions

  • Management Buy-Outs (MBOs): Empowering management teams to own the business they’ve built.
  • Leveraged Buy-Outs (LBOs): Offering owners liquidity while ensuring continuity of the business on its own terms.

With strong credibility and deep investor relationships, TCR structures transactions that incentitive management while capturing full enterprise value.

Acquisition Financing

When acquiring a company, we connect clients to diverse equity and debt solutions. We advise on:

  • Valuation considerations
  • Market conditions
  • Debt vs. equity tradeoffs

Our network of commercial banks, mezzanine lenders, and private equity funds ensures a well-structured transaction tailored to your objectives.

areas of Credit

  • Unitranche Loans – Simplified one-stop debt solutions blending senior and subordinated financing.
  • Senior Secured Loans – First-lien facilities with competitive terms and strong collateral protection.
  • Second-Lien & Mezzanine Loans – Customized junior capital solutions for growth and acquisitions.
  • Growth Capital – Non-dilutive financing to scale operations and seize opportunities.
  • Recapitalizations & Refinancing – Optimize capital structures and strengthen liquidity.

Typical Loan Parameters

  • Loan Size: $10M – $250M+
  • Term: 3 – 7 years
  • Repayment: Interest-only with bullet or minimal amortization
  • Collateral: Secured by borrower’s assets
  • Use of Proceeds: Buyouts, growth initiatives, recapitalizations, refinancings, and acquisitions

Why Choose Us

  • Speed & Certainty – Direct capital without syndication delays.
  • Flexible Structures – Customized to your company’s strategy.
  • Partnership Approach – We back management teams for the long term.
  • Nationwide Reach – Serving middle-market borrowers across industries.

Value of Service

At Terrell Capital Referral, we provide institutional-quality sponsorship and advisory introductions for companies seeking private equity partnerships. Securing the right sponsor is more than just raising capital — it’s about aligning with an investor who can provide operational expertise, strategic growth support, and long-term partnership value.

Contact TCR to explore growth capital, recapitalization, MBO/LBO, or acquisition financing solutions tailored to your business.