Equity Commitment Letters: Structuring and Negotiation Strategies, Key Terms, Lender Protections, Mitigating Risks
A live 90-minute premium CLE video webinar with interactive Q&A
This CLE webinar will explore the increasing use of equity commitment letters (ECLs) in fund finance. The panel will discuss structuring considerations and explain the differences between ECLs and guaranties. The panel will also examine key terms found in ECLs, negotiation strategies for structuring these transactions, and ways to mitigate risks.
Outline
- Uses of ECLs in fund finance transactions: trends and developments
- Pros and cons of ECLs
- Differences between ECLs and guaranty agreements
- Structuring and negotiation considerations
- Key terms
- Lender protections
- Risk mitigation
- Enforcing an ECL
- Practice pointers and key takeaways
Benefits
The panel will discuss these and other important considerations:
- What are the latest trends and developments in the use of ECLs in fund finance transactions?
- What are the appropriate circumstances when an ECL should be used?
- What are factors to consider when negotiating and structuring an ECL?
- What are the benefits and risks associated with ECLs?
- How does the lender enforce an ECL to repay a credit facility?
Faculty
Lindsay Karas Stencel
Partner
Thompson Hine
Ms. Stencel is a partner in the firm’s New Ventures practice. She advises entrepreneurs, investors and fund... | Read More
Ms. Stencel is a partner in the firm’s New Ventures practice. She advises entrepreneurs, investors and fund managers on venture capital and startup matters, venture capital fund formation, mergers and acquisitions, corporate finance, federal and state securities filings and compliance, including public and private securities offerings, and corporate organization and governance matters. Prior to joining the firm, Ms. Stencel served as a partner and chief legal counsel at a Midwest-focused venture capital firm that invests in pre-seed, seed early stage and growth stage technology companies serving several industries. There, her efforts primarily focused on deal structuring, portfolio management, limited partner relations, fundraising and exit transactions.
CloseEarly Discount (through 08/22/25)
Cannot Attend September 18?
Early Discount (through 08/22/25)
You may pre-order a recording to listen at your convenience. Recordings are available 48 hours after the webinar. Strafford will process CLE credit for one person on each recording. All formats include course handouts.
