Host a Monthly Covenant Review in 30 Minutes
A predictable covenant meeting keeps surprises off the lender’s radar.
Covenants only become scary when no one talks about them. Use this 30-minute monthly review to keep finance, ops, and lenders aligned.
1. Review the dashboard
Start with the covenant dashboard you share in your weekly lender updates—DSCR, leverage, liquidity, borrowing base headroom.
2. Walk through variances
For each metric, highlight movement vs. prior month and narrate the driver.
3. Confirm mitigation plans
Update the mitigation log with owners and due dates for any yellow trends.
4. Prep lender talking points
Summarize the meeting in three bullets for your next lender call.
5. Archive the notes
Store agendas and minutes in your data room for audit trails.
FAQ: Covenant reviews
- Who attends?
- CFO, Treasury, FP&A, and Ops leads tied to key metrics.
- How long?
- 30 minutes. Use pre-read dashboards to stay on time.
- Share with lenders?
- Send the recap if any metric hits yellow/red.