Syndications Capability Development 

Diverse and market-relevant funding strategies are the key to ensuring successful equipment finance businesses have the capacity to grow while maintaining strong risk management. Implementing Syndication can allow equipment finance companies to mitigate customer risk allowing them to say yes to financing a transaction that it simply cannot underwrite for its balance sheet. Syndicating transactions and portfolios allows companies to continue working with their customers without shouldering any financial risk.  

Managing Around Customer Credit Limits  

Customer credit limits can slow down a company’s development and cause it to lose out on business opportunities. Syndication gives your organization access to funding sources that give you a more flexible approach. As a result, your customers gain access to alternative funding whilst continuing to build their relationship with your team.  

Realizing Gains on Syndicated Assets  

Syndication allows your business access to higher-value assets than your company would otherwise be able to leverage. Not only does this enable you to better serve your customers, but you can also take advantage of any capital gains on the syndicated assets.  

Eliminating Potential Funding Mismatches  

Mismatching assets and liabilities can put you at risk for severe losses and even bankruptcy if your liabilities are outstripping your assets. Syndication divides the risk your equipment finance business is being exposed to. For that reason, it is a great way of eliminating the risk associated with funding mismatches.  

The Alta Approach  

Equipment finance companies need to protect their reputation by choosing an experienced partner with strong industry insight.  The Alta Group has been assisting clients to develop capital market syndication readiness and their servicing policies for several decades. Working with Alta can help to put you and your clients in a safe position.  

We start by assessing your organization’s position and developing a capital markets value proposition. This analysis includes considering the company’s current capabilities and pinpointing gaps where syndication would be beneficial. Our team will help you identify potential points of resistance and develop an appropriate mitigation strategy. We utilize proprietary syndication readiness tools to deliver specialized processes and procedures, tight legal contracts, competitive pricing, and unparalleled transaction servicing. We deliver thorough operations manuals and training to ensure your staff hits the ground running. From the start, we establish a timeline to launch and a regular review process, so your leadership team is kept abreast of progress, and the entire team knows when you are ready to expand your offering. We can also provide resources to become part of your team. The result is a sustainable syndication program that matches your existing business in size and scope.  

Expected Benefits
  1. Being able to manage proactively around customer credit limits  
  2. Realizing gains on syndicated assets  
  3. Eliminating potential funding mismatches