A credit memo is more than a summary of a borrower’s financial performance. It is the underwriter’s case for why a specific risk should be approved on specific terms. This article explains what investment committees evaluate across business quality, cash flow, leverage, liquidity, collateral, risk mitigants and transaction structure—and how borrowers can prepare the evidence and third-party diligence needed to withstand lender scrutiny.

Private market liquidity is evolving. As traditional exits remain below historical norms, sponsors and investors are increasingly turning to continuation vehicles and GP-led secondary transactions to unlock value and provide liquidity. This Market Data Snapshot explores what's driving the shift, what it means for market participants, and why capital planning has become as important as exit planning.

I have worked in the credit markets since 2006, first as a bank and non-bank credit investor and, more recently, advising borrowers through Axis Group Ventures. Across venture debt, asset-based lending, recurring-revenue facilities, cash-flow loans, structured credit, and other private-credit transactions, I have seen lending relationships evolve through many stages of a company’s life. Sometimes a refinancing is driven by financial pressure. Sometimes a company has simply ou

For years, annual recurring revenue was the shorthand for software quality. ARR suggested predictability, retention, visibility, and scalability. In a low-rate market, that was often enough to support aggressive valuations and a wide range of financing options. Recurring revenue still matters. For SaaS and enterprise software companies, it remains one of the strongest foundations a borrower can bring to a lender. But ARR is no longer the whole story. In today’s private credit

Liquidity is becoming a competitive advantage across private markets. Learn how lender financing solutions and flexible capital structures are helping lenders capture opportunities in a changing market environment.

Private equity is no longer just about owning companies. Increasingly, it is about owning the managers themselves. The rise in GP stake transactions signals more than investor appetite for alternatives. It reflects a structural shift in how private equity firms are valued and capitalized. What began as partnership-driven enterprises is evolving into scalable asset management platforms. GP stakes are not niche. They represent the next phase of private markets maturation. The G

In recent years, the Robotics-as-a-Service (RaaS) model has gained traction as companies pursue automation without absorbing significant upfront capital expenditures. Rather than purchasing equipment outright, customers subscribe to robotic systems, shifting CapEx to OpEx. For providers, however, the capital burden does not disappear. It shifts to the balance sheet. Debt financing has increasingly become a strategic tool to bridge that gap. According to the International Fede

Understanding the dynamics of interest rates is crucial for any growth-stage company aiming to optimize its capital structure and unlock liquidity. These rates influence borrowing costs, investment decisions, and overall financial strategy. In this post, we will walk you through the fundamentals of interest rates, their impact on businesses, and practical ways to navigate this complex financial landscape. The Impact of Interest Rates on Business Strategy Interest rates play a

Image sourced from Unsplash This article is Part 2 of last week’s post on how founder-led companies are reshaping their capital options. If you missed Part 1, it introduced the rise of non-sponsor private credit and why more founders are exploring alternatives to banks or equity sales. In this second installment, we turn to the practical side: how founder-led companies actually use private credit, and what the data really says about common misconceptions. This isn’t theoretic

Image source: Unsplash Founder-led businesses in the lower middle market often find themselves in a tight spot. They need capital to grow, support working capital, acquisitions, capital equipment, and even shareholder dynamics (buyouts and liquidity events). However, business owners are often hesitant to give up ownership, or control, and funding options can be limited. Survey data supports the strength of that ownership instinct . In a recent global study of family and foun

Image source: Unsplash As defense and space innovation accelerates across North America, corporate venture capital (CVC) has moved from the sidelines to the center of the investment landscape. What was once viewed as opportunistic balance-sheet investing has evolved into a deliberate strategy for technology access, ecosystem control, and long-term competitive advantage. 1 For aerospace and defense incumbents facing compressed R&D timelines, talent scarcity, and rapidly shifti

Image source: Unsplash As private markets mature, the lines between debt, liquidity, and secondary capital are becoming increasingly blurred. NAV financing sits at this intersection. It helps funds turn illiquid assets into usable cash without requiring immediate asset sales. In a tighter capital environment, fund liquidity is now a strategic concern. Slower distributions and tougher fundraising are forcing managers to use capital more efficiently. NAV financing has evolved i

Image by Unsplash North America has emerged as the epicenter of private capital flow into defense and space technology. What once was a slow trickle of early-stage interest has transformed into robust strategic investment from both traditional venture firms and corporate venture arms tied to major defense and aerospace players. VC Momentum in Defense Tech Venture investment in defense and aerospace startups has climbed from just over $10 billion in 2024 to more than $19 billi

Issue - October 2025 This piece was originally published in our Axis Capital Markets newsletter . To get future issues straight to your inbox, sign up here: axiscapitalmarkets.beehiiv.com 🔷Liquidity by Design: How Secondaries Are impacting Private Credit Private credit secondaries have shifted from being a niche solution to a core component of the market’s architecture. What was once viewed as opportunistic has become integral to the way private credit capital is recycled,

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As investors search for alternative assets with staying power, music royalties are quickly gaining traction—and for good reason. They offer a rare combination of recurring income, low correlation to traditional markets, and cultural relevance. According to SongVest , music royalties are gaining popularity as an alternative investment—and for good reason. They offer a unique mix of steady income, diversification, and cultural value that few other assets can match. Here’s why