MEZZANINE LOANS
Bayfront Capital mezzanine financing may be an advantageous way of providing funding for some of our clients because it is treated as equity on the company’s balance sheet. This is because the debt capital gives the lender the right to convert to equity interest if the loan is not paid back on time and in full. It may or may not be subordinate to debt provided by senior lenders such as banks or venture funds. Mezzanine loans may take position in underlying ownership interests or directly into real estate.