Lucaria.Capital
Lucaria · Products · Corporate Cash-Flow Lending
$10M – $60M

Corporate Cash-Flow Lending

Senior and unitranche debt underwritten on sustained EBITDA — typically $5M and up — to fund acquisitions, partner buyouts, and recapitalizations without pledging the balance sheet asset by asset.

Read the free guides first
A mid-market boardroom weighing competing term sheets.
Leverage priced on durable earnings.

Who it’s for

  • Companies with $5M+ of EBITDA raising $10M–$60M for an acquisition or recapitalization.
  • Owners funding a partner buyout — succession, divorce, a stakeholder who needs out — without selling the company.
  • Sponsors and founder-led firms that want competing term sheets, not just the one their bank offers.

Why Lucaria

  • Leverage is priced on your durable EBITDA — we prepare the quality-of-earnings story and defend the addbacks.
  • One process reaches banks, private credit, and unitranche lenders, so structures compete.
  • Covenants negotiated up front — leverage and fixed-charge tests you can actually live with.
Market bands, told straight

Honest numbers

Cash-flow leverage trades in observable bands. A worked example: $8M of EBITDA at 3.5x senior supports roughly $28M of debt.

Senior leverage
2.0–4.0x EBITDA
Unitranche
up to ~4.5–6.0x for strong credits
Typical pricing
floating — private-credit senior often prices around SOFR + 450–650
Term
3–7 years
Timeline
8–12 weeks, mandate to funding

Market ranges observed across current bank and private-credit executions — actual leverage and pricing depend on industry, customer concentration, and the quality of earnings.

How we structure it

Structured around the earnings

The work is proving the EBITDA is real and durable — then matching it to the lender whose structure fits the use of proceeds.

  • Quality-of-earnings preparation and addback defense before lenders see the file
  • Senior, unitranche, and junior capital layered to the leverage the deal actually needs
  • Partner-buyout and recapitalization structures — including successions driven by death, divorce, or distress
  • Covenant packages (leverage, fixed-charge coverage) negotiated before the term sheet, not after
The honest read

Why banks say no — and why that isn’t the end

  • Banks cap leverage well below what private credit will underwrite on the same EBITDA.
  • Addbacks a committee won’t credit — one-time costs, owner compensation — can understate real earnings by millions.
  • Dividend recaps and partner buyouts make many bank committees uncomfortable regardless of coverage.
Adjacent lanes

Where this connects

Corporate Asset-Based Lending$2M – $50M+If the balance sheet is the strength, an asset-based facility may raise more, cheaper.Revolving Lines of Credit$250K – $25MSmaller working-capital needs fit a revenue-sized revolving line.
Common questions

Corporate Cash-Flow Lending, answered straight.

How much can we raise against EBITDA?
Senior lenders typically underwrite 2.0–4.0x EBITDA, with unitranche structures reaching roughly 4.5–6.0x for strong credits. A worked example: $8M of EBITDA at 3.5x senior supports roughly $28M of debt. Where you land depends on industry, concentration, and earnings quality.
What counts as EBITDA — do addbacks help?
They can, if they are defensible. One-time costs and owner compensation adjustments are routinely credited when the quality-of-earnings work supports them — and dismissed when it doesn’t. We build that file before lenders see it.
Can this fund a partner buyout?
Yes — buyouts driven by succession, divorce, or a partner who simply needs out are one of the most common uses. The company’s cash flow retires the departing stake without a sale of the business.
What covenants should we expect?
Usually a leverage test and a fixed-charge coverage test. The mistake is discovering them at closing — we negotiate the package before the term sheet is signed, sized to your real projections.
Bank or private credit — which is cheaper?
Banks are cheaper per dollar but lend fewer dollars with tighter covenants; private credit stretches further at a higher spread. We run both in one process so the trade-off is priced, not guessed.
Why is this a business loan?
The borrower is the operating company or its holding entity, and the proceeds fund business purposes — acquisitions, buyouts, recapitalizations. This is commercial credit, never financing for personal, family, or household use.
No obligation

Tell us what you need.

No credit pull to start. We’ll show you the honest options for corporate cash-flow lending — and if borrowing isn’t the answer, we’ll say so.