Private Credit

The private credit market is going through a period of upheaval. Recent collapses have driven concerns about hidden vulnerabilities in credit portfolios and, along with rising borrower defaults, redemption freezes and write downs in major funds, and higher borrowing costs, investors are becoming increasingly cautious.

However, as traditional private credit lenders pull back these market shifts can create opportunities for well positioned clients—whether through improved pricing, bespoke financing structures, or selective deployment options.

Our team at Fladgate have experience in all aspects of private credit. From reviewing loan portfolio resilience, strengthening underlying finance structures and examining security arrangements to avoid double pledging of collateral, to providing guidance on restructuring, assisting with maximising returns for creditors, supporting the sale or purchase of loan portfolios, or, where required, conducting fraud investigations.

Our network of industry contacts means we can identify emerging opportunities in the market and make introductions that enable clients to take advantage of opportunities as they arise.

We can help our clients navigate both the challenges and the emerging opportunities in the following ways:

Risk Management and Resilience

We can review existing loan portfolios to identify areas where protections may need to be tightened, give guidance on potential restructurings and ensure that documentation is fit for purpose.

Financial Services Regulations

We advise on UK regulatory obligations including whether their lending falls within the scope of the regulated activities regime as either a regulated credit agreement or regulated mortgage contract or, more typically, how to ensure that the lending falls within any exemptions. We also advise on ensuring compliance with obligations under the Money Laundering Regulations (including assisting with FCA registration and preparing or reviewing AML risk assessments and AML procedures).

Financing

We can assist with buying loan portfolios, refinancing loans, bespoke financing and debt restructuring.

Insolvency

Where it is necessary consider enforcement or asset realisation, other remedies for default, corporate restructuring or insolvency procedures our insolvency team are well placed to help. Their practical approach will help optimise the outcome for our clients.

Funds

We can assist with the structuring of new fund or private equity.

Investigations

We can advise and investigate where fraud or professional negligence are suspected and instigate litigation if necessary.