Debtor In Possession Financing: Financing arranged by a company while under the Chapter 11 Bankruptcy process. Debtor In Possession Financing is unique from other financing methods in that it usually has priority over existing debt, equity and other claims. This type of financing will allow the business to continue uninterrupted with operations during the bankruptcy proceeding. This is designed to ensure the debtor can maintain normal business operations with customers, clients, employees, suppliers, tenants and other stakeholders. The ultimate goal is to allow the debtor to continue generating funds to support ongoing operations which will aim to satisfy creditors and successfully complete its plan.

After commencing a bankruptcy, debtor owes a fiduciary obligation to the creditors of the estate. The Debtor In Possession must do nothing to diminish  the value of the estate, and must manage the business within sound business judgment in a manner which will maximize the ability to repay the unsecured creditors of the estate. In connection with this role, a debtor must not enter into any transactions outside the “Ordinary Course of Business” without obtaining court approval for such transactions. Debtor In Possession financing is a capital instrument that’s gaining more popularity but has been around for many years. With the complications surrounding Chapter 11 reorganizations, it helps to have someone on your team with solid experience who can address special financing needs.’s capital partners have more than 50+ years of collective experience and provide Debtor In Possession Financing (debt or equity) as well as customized, structured products for virtually any scenario requiring some form of a capital infusion. If your project is suffering cash flow challenges, equity may be the best financing solution so the debtor is not burdened with monthly interest payments and the financing can be repaid via a “key event” such as a sale or refinance of the asset. is a discretionary capital provider and can help you or your client. Recently, our capital partners have secured an SEC investigated Regulation D Fund ($100 million) and a failed hard money lender ($125 million), creating significant value and a solving a problem.



Put to the test! We have spent years evaluating and building relationships with private lenders and institutions nationwide which you can leverage to your advantage. We love our clients, we love this business, we love all challenges and at the end of every day we are thankful to everyone who puts their trust in our abilities to help them.

Contact us. Let us show you exactly what we can do to help your business finalize its capital needs now and in the future!

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