Smarter Ways to Structure Debt

A well-structured financing solution can reduce the total interest outflow, improve working capital cycles, and even increase a company’s valuation.

In today’s lending environment, banks and NBFCs evaluate far more than just balance sheets. They look at industry cycles, promoter experience, seasonality, and repayment behaviour. This makes structuring the true differentiator.

1. Why Structure Matters More Than Pricing

Two companies with similar profiles can pay drastically different rates depending on:

• tenure selection,

• security offered,

• repayment schedule,

• and nature of the facility.

A business choosing a short-tenure loan for a long-term project will face cashflow pressure and penalties.A correctly structured loan reduces strain and often qualifies for better pricing from lenders.

2. The EpsilonX Approach

We analyze:

• working capital cycles,

• future revenue visibility,

• promoter strength,

• and industry volatility.

Based on this, we create a facility mix—term loans + working capital + project financing—designed to lower total cost of capital.

3. Case Insight

A mid-sized infra company approached us after struggling with high-cost unsecured debt.By shifting them to a blended structure of lease finance + project finance, we reduced their annual interest burden by 27%.

4. Final Thought

Financing is not about borrowing more—it’s about borrowing right.Smart structuring transforms pressure into possibility.