Insights

Private credit has no shortage of capital. The more important question is whether that capital is supported by the expertise required to understand a borrower, assess its risks, and structure a financing around its actual cash-flow profile. That distinction is becoming increasingly important. Two companies can report similar revenue, growth, and EBITDA yet present very different credit risks because of differences in customer behavior, regulation, revenue composition, working

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