Financing
and capital markets

We have established long-term relationships with banks and leasing companies. We provide guidance to entrepreneurs and businesses needing support in navigating the complexities of financing.

CUSTOMER PROFILE

We advise institutions, entrepreneurs, and businesses

Are you in the banking industry or part of a leasing company?

For nearly twenty years, we have worked closely with banks and financial institutions providing leasing and loan services. Our team brings extensive experience in drafting complex contractual documentation. Our services span a range of financing needs—from contract preparation to debt recovery. 

Are you looking for lawyers who understand your business? 

We partner with companies across various sectors, from Fintech and manufacturing to agriculture, and in projects involving apartment buildings, commercial spaces, and production facilities. Our expertise spans a wide range of interdisciplinary topics—including real estate and construction law, public procurement, financial distribution, and the broad area of mergers and acquisitions. Our experience covers projects in the Czech Republic and internationally, with budgets ranging from tens of millions to billions of crowns.

Are you an entrepreneur managing financing for equipment, production, or operations? 

Are you considering purchasing a truck, agricultural equipment, or constructing a new facility? Deciding between a loan, an operating lease, or another option? Each choice comes with its own advantages and disadvantages. When selecting financing, it’s essential to consider potential future scenarios for your business—such as what happens if debt repayment becomes difficult. Together, we’ll find the financing model best suited to your needs. We’re also here to support you when challenges arise and you need guidance on navigating them.

Do you see yourself in our client profile?

  • Statutory representative of a company

  • Company owner

  • Members of the board of directors or company managers

  • Entrepreneurs

  • Banking institutions

  • Non-bank financial institutions

LAW FIRM

Projects we enjoy

The financing and investment aspect is interwoven in almost all of the firm's specialisations. We enjoy complex projects that benefit from our detailed knowledge of construction, fintech and our experience in restructuring and corporate transformations. Together with our clients, we always look for a solution that is sustainable in the future.

SERVICES WITHIN THE SCOPE OF SPECIALIZATION

Leases, loans, and (in)ability to repay

Complex support for leasing companies

We assist with leasing, credit, and other financing agreements, as well as contracts with suppliers and partners. Our services for clients include contract drafting and review, regulatory consulting, and risk analysis and management related to financing. Has your borrower become insolvent? We can propose a course of action and a strategy for debt recovery.

Legal advice for entrepreneurs and businesses

Do you need financing to cover operational costs, purchase new equipment, or modernize your facilities? Different financing needs require tailored solutions, and navigating the array of loan or lease options can be challenging. We offer guidance to help you select the best type of financing, keeping your financial management and future business plans in mind. 

Representation in disputes and businesses

Facing challenges with repayments? While each bank may approach these issues slightly differently, prompt analysis of your current situation and well-planned steps are essential. Key considerations include loan terms, the impact of defaults on other contractual relationships, insurance, and more.

We will help you identify the most suitable solution—whether that means business stabilization, restructuring or reorganization, or protecting personal assets through managed insolvency. We represent both debtors and creditors in recovering outstanding loans and other debts.   

REFERENCE PROJECT

A leasing company providing credit-based financing solutions for individuals and entrepreneurs, as well as financial and operating leasing services to private individuals, businesses, government organizations, and large corporations. The company offers a wide range of leasing services under one roof—including financing for machinery, equipment, and heavy transport vehicles. Leasing Česká spořitelna, a.s. is part of the robust Central European financial group Erste Bank Group.

The firm provided us with professional legal support and represented us in complex cases, including a prolonged insolvency proceeding, which they resolved successfully. They also assisted us in setting up corporate contractual documentation that ensures legal protection aligned with our business activities. We value their approachability, responsibility, professionalism, and extensive legal expertise.

Ing. Jan Balík Leasing Česká spořitelna, a.s.

SERVICES WITHIN THE SCOPE OF SPECIALIZATION

Financing growth, investments, and acquisitions

Our firm’s key specializations include corporate law and corporate transformations, which are closely tied to finance. Are you expanding, attracting investment, or even considering transferring ownership through a management buyout or a complete sale? Each stage in a company’s lifecycle demands unique approaches and financing options, yet they share a common requirement.

The company must be prepared—legally, economically, and technically—for potential audits by banks, creditors, investors, or prospective buyers. This readiness enables a strong negotiating position and favorable financial terms. We provide comprehensive preparation, including due diligence, drafting of contractual documentation, legal support in corporate transformations, and client representation in dealings with authorities and third parties.

We also offer legal protection for creditors and investors entering the company—whether as buyers, lenders, or providers of other forms of financing. Our team has extensive experience in structuring transactions and setting terms for loan financing, bond issuances, equity offerings, and other types of securities.

REFERENCE PROJECT

We successfully completed a management buyout (MBO) for GPD a.s., a leading tire distributor in the Czech Republic and Slovakia. The successful transaction, valued at over CZK 200 million, followed nine months of preparation and thorough structuring of the offer. 

With a secured acquisition loan, subsequent share reallocation, and changes in management, GPD Holding is now entering its next business phase. Our corporate team managed the MBO of GPD a.s., overseeing the entire transaction process, which exceeded CZK 200 million in value. Beyond negotiating the acquisition loan, the transaction included numerous agreements to facilitate the financial settlement for the departing shareholders. 

We spent a total of 4.5 years working on the entire exit strategy for the three original shareholders, often encountering roadblocks along the way. Initially, the MBO model didn’t seem like the right approach for our company and its needs. We also weren’t accustomed to collaborating so extensively with a legal team. However, the complexity of the transaction required additional support, which we received not only in a professional capacity but also with a personal touch.

Petr Chvojka, GPD Holding

SERVICES WITHIN THE SCOPE OF SPECIALIZATION

Financing and capital markets

Equity financing

Equity financing involves providing capital in exchange for a stake in the company and a right to share in its profits. This form of investment includes stocks, shares, units, investment shares, or sui generis securities. Equity financing does not increase the issuer’s debt, thereby offering greater financial stability and preserving the issuer’s ability to pursue bank financing. However, it may result in increased investor control over the issuer’s operations and entail higher costs, with the investment risk primarily borne by the investors.

Equity financing requires deep expertise in corporate law and financial regulations, particularly when attracting investors through a public offering. Many entities in the market that publicly offer investment opportunities often do not adhere to collective investment regulations and the rules for public offerings of investment instruments.

Financing with debt capital

Debt capital can come from banks, referred to as bank financing, or from non-bank lenders such as leasing companies, factoring firms, peer-to-peer (P2P) platforms, investment funds, or the public. Funds are obtained through loans, credit, bond issuances, or promissory notes, all of which are repaid with interest. In both cases, the company’s debt level increases.

Banks typically require collateral to secure financing, ensuring a means of recovery if obligations are not met. Bank collateral often includes shares, operational receivables, real estate, and, in many cases, requires owner guarantees (UBOs) or promissory notes with endorsements. Non-bank financing provides more flexibility and less stringent creditworthiness requirements, but it generally comes with higher interest rates.

Hybrid financing

Hybrid financing, or alternative financing, combines elements of equity and debt capital. Typical instruments include fixed-interest securities, senior bonds, convertible bonds, participating loans, or perpetual bonds (which do not qualify as bonds under the Bond Act). This type of financing can lower capital costs and protect the company from excessive investor influence.

While attractive to clients, it is often more complex to structure and manage, carrying regulatory, tax, and accounting challenges. These instruments are frequently unregulated or only minimally regulated, making it essential to carefully consider their issuance terms. Additionally, it is important to evaluate distribution options and the relevant regulatory framework.

Supplier financing

Supply chain financing is especially popular in the construction and manufacturing sectors, though it comes with certain limitations and constraints that should be understood. Companies appreciate the benefits of cash flow optimization and stronger supplier relationships—when everything operates as expected. However, factoring, reverse factoring, and extended maturity trade credits also have their limitations. An experienced lawyer can access both bank and non-bank registers and provide guidance on GDPR compliance.

We have over 20 years of expertise in banking and finance

Two of our firm’s partners are dedicated to this specialization. Richard Feichtinger brings extensive know-how from his work with leasing companies and leads our firm’s insolvency team, allowing us to approach financing from the perspectives of both debtors and creditors.

David Fyrbach, in the context of corporate and M&A law, focuses on corporate bond issuances, setting bond issuance terms, financial market regulations, and compliance. Richard and David are also seasoned experts in dispute resolution.