skills/private-credit-underwriting/assets/credit_memo_template.md

# [Borrower] Private Credit Underwriting Memo

## Recommendation and posture
- recommendation: [for an initial screen: proceed-to-diligence-only / pass-on-diligence / decline; for an underwritten credit view: proceed / proceed-with-conditions / revise-structure / decline / monitor]
- output posture: [screening-only / diligence-grade / committee-ready-with-caveats / not-committee-ready / decline-recommended]
- proposed exposure: $[x]
- facility: [type]
- debt sizing conclusion: [supportable debt, if fully underwritten / illustrative standalone cash-interest screening ceiling, if public target-only screen]
- key condition: [most important condition]

## Borrower snapshot
[business model, revenue drivers, ownership, sponsor, end markets, concentration]

## Sources and evidence base
| Source | Date / period | Reader-facing support status | Use | Limitation |
|---|---|---|---|---|

## Transaction overview
| Item | Detail |
|---|---|
| Borrower | |
| Sponsor / owner | |
| Use of proceeds | |
| Facility | |
| Pricing / fees | |
| Maturity | |
| Collateral / guarantees | |
| Covenants | |

## Earnings base and QoE view
| EBITDA basis | Amount | Source | Treatment |
|---|---:|---|---|
| Reported EBITDA | | | |
| Company adjusted EBITDA | | | |
| QoE-supported adjusted EBITDA | | | |
| Normalized EBITDA | | | |
| Lender-after-haircut EBITDA | | | |
| Covenant EBITDA | | | |

## Credit metrics
| Metric | Base | Lender case | Downside | Covenant / threshold | Comment |
|---|---:|---:|---:|---:|---|

## Lender case and downside
[stress assumptions, first breakpoints, liquidity trough, covenant pressure]

## Covenants, liquidity, and debt service
[covenant headroom, revolver availability, cash balance, debt maturity]

## Collateral, recovery, and sponsor support
[collateral value, lien, recovery cushion, sponsor equity, sponsor support]

## Key risks and mitigants
| Risk | Severity | Evidence | Impact | Mitigant / condition |
|---|---|---|---|---|

## Required Before Credit Committee
| Priority | Ask / condition | Why it matters | Owner / source | Required before |
|---|---|---|---|---|

## Decision summary
[one-paragraph conclusion]

For a reader-facing HTML memo, translate internal evidence classifications into natural language and reserve raw taxonomy labels for the appendix or support artifacts. Treat disclosed committed acquisition financing as transaction-execution context only unless terms and combined-borrower support establish credit relevance.