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Intermediate

Practice Drills: Building a Debt Restructuring Scenario Model

A practice-first course for anyone who has to sit across the table from lenders when the numbers stop working. You will build a debt restructuring scenario model in Excel or Google Sheets from a blank sheet: a tranche-by-tranche debt schedule, a cash flow and DSCR engine, and a set of levers covering tenor extension, principal moratorium, interest rate resets, funded interest, one-time settlements, haircuts and debt-to-equity conversion. Then you will stress it, size sustainable debt from cash flow capacity, compare lender recovery against the IBC alternative, and track what each plan does to the promoter's stake. Every drill uses Indian context: RBI's Prudential Framework for stressed assets, inter-creditor agreements, NCLT timelines and INR numbers. Built for treasury and corporate finance professionals, growth-stage founders carrying term or venture debt, and strategy and BD teams evaluating distressed opportunities.

Debt RestructuringDebt Service CoverageScenario ModellingSustainable Debt SizingLender Recovery Analysis

MODULES

5

DURATION

4 Hours

TRACK

Corporate Finance

What You'll Master

Lay out a multi-tranche debt schedule with repayments, interest and covenants that recalculates from a few inputs

Build a base case cash flow and track DSCR and net debt to EBITDA year by year

Model tenor extension, principal moratorium, rate resets and funded interest term loans as switchable levers

Calculate one-time settlements, haircuts and debt-to-equity conversions, including the dilution they cause

Run base, downside and severe scenarios and sensitivity tables from a single scenario switch

Size sustainable debt from cash flow capacity and compare lender recovery under restructuring versus IBC resolution

Show promoters, lenders and new investors what each restructuring plan actually costs them

Access Level

LEARNER

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Everything included

Full Text Playbooks

Actionable Exercises

Mobile Reading Mode

Lifetime Updates

Curriculum Breakdown

Chapter 1: Setting Up the Model

3 Lessons

What a Debt Restructuring Scenario Model Must Answer9 min read

Drill: Laying Out the Debt Schedule Tranche by Tranche14 min read

Drill: Building the Base Case Cash Flow and DSCR Engine14 min read

Chapter 2: Drilling the Restructuring Levers

4 Lessons

Drill: Tenor Extension and Principal Moratorium13 min read

Drill: Interest Rate Resets and Funded Interest Term Loans13 min read

Drill: One-Time Settlements and Haircuts in Present Value Terms13 min read

Drill: Debt-to-Equity Conversion and the Dilution It Causes13 min read

Chapter 3: Scenarios and Stress Tests

3 Lessons

Drill: Wiring a Scenario Switch for Base, Downside and Severe Cases13 min read

Drill: Two-Way Sensitivity Tables on EBITDA and Interest Rates12 min read

Drill: Sizing Sustainable Debt From Cash Flow Capacity13 min read

Chapter 4: Reading the Model From Each Side of the Table

2 Lessons

Drill: Lender Recovery Under Restructuring Versus IBC Resolution14 min read

Drill: Promoter and Shareholder Outcomes Under Each Plan12 min read

Chapter 5: Full Practice Drills

2 Lessons

Full Drill: Restructuring a Mid-Sized Manufacturer's Bank Debt18 min read

Full Drill: Renegotiating a Growth-Stage Startup's Venture Debt16 min read