For a growing Turkish business, financing pressure is not just a question of whether a bank approves a loan. Pricing, collateral, maturity and repayment timing can make an available facility unsuitable. Waiting for credit conditions to improve is not always the only option.

The right response begins by identifying the need: short-term working capital, machinery, a new market or a balance-sheet restructuring. Each calls for a different instrument. The following seven routes are a starting point for assessment, not a universal ranking from cheapest to most expensive.

1. Release cash from working capital

Before raising new money, review receivables, inventory and supplier terms. Faster collection, better stock planning and a more balanced cash-conversion cycle can reduce borrowing needs.

For example, collecting invoices ten days earlier releases cash that would otherwise remain tied up in receivables. The benefit depends on sales volume and collection patterns. Avoid measures that damage customer relationships or interrupt production; operational feasibility matters as much as the spreadsheet.

2. Consider factoring and supply-chain finance

Receivables from creditworthy customers can support financing. Factoring terms depend on the debtor, documentation, recourse structure and the seller’s circumstances. Strong customers can help, but do not eliminate credit assessment or cost.

Buyer-led supply-chain finance may allow suppliers to receive earlier payment. Compare fees, effective annual cost, recourse, concentration risk and the consequences if the buyer changes or ends the programme.

3. Assess export-finance programmes

Exporters and eligible export-oriented manufacturers should examine Türk Eximbank products and rediscount facilities. These can offer competitive terms, subject to programme limits, security requirements and export commitments. Compare the full cost, including fees and currency exposure, against commercial alternatives.

On 5 September 2026, Türkiye’s Ministry of Trade announced broader BSMV exemptions for rediscount lending, including long-term facilities. This does not mean every exporter or transaction automatically qualifies. The applicable terms should be confirmed with the lending institution when applying.

4. Explore development and thematic finance

Development banks and international institutions may support eligible energy-efficiency, green-transition or productivity investments, directly or through local financial institutions. For example, the EBRD’s Türkiye GEFF II framework supports qualifying green investments through partner institutions.

These routes require a suitable project and supporting documentation. Environmental and social requirements, reporting, security and repayment capacity remain relevant. Longer maturity or lower cost should be established from an actual offer.

5. Raise equity through a minority investment

A primary equity investment brings new funds into the company without conventional loan repayments. A sale of existing shares, by contrast, generally pays the selling shareholder; it does not automatically finance the business. The transaction must be structured around the actual funding need.

Minority investment dilutes ownership and typically includes governance, information and exit rights. Retaining a majority does not necessarily mean retaining unrestricted control. Reserved matters and economic rights deserve the same attention as valuation.

6. Evaluate mezzanine or structured capital

Subordinated debt and other structured instruments can bridge gaps between senior lending and equity. Availability depends on transaction size, cash generation and investor appetite. Pricing may exceed bank borrowing, and some structures include warrants, conversion rights or other equity participation.

Assess repayment capacity, covenants, dilution and the investor’s exit expectations together. This is a negotiated solution, not a standard low-cost product.

7. Monetise property selectively

Selling surplus property can release capital. Where the business still needs an asset, sale and leaseback may preserve its use while introducing rental commitments. Compare the proceeds with the long-term lease cost, tax treatment and operational restrictions before deciding.

Compare the obligation, not only the cash received

Two offers for the same amount can produce very different outcomes. One may require monthly repayments, another a large payment at maturity, and another new shareholder rights. Start with the purpose and duration of the funding need, then test what the business must deliver in return. The comparison below identifies the first question for each route; it is not a ranking of providers or a statement that every option will be available.

Quantify the amount before choosing an instrument

In a simplified example, a business with USD 36.5 million of annual credit sales averages USD 100,000 per day. Reducing collection time by ten days could release approximately USD 1 million from receivables, assuming stable sales and no offsetting changes. This is a working-capital estimate, not guaranteed cash: seasonality, disputed invoices, customer mix and the feasibility of revised terms must be assessed.

Compare that potential release with the actual requirement. A temporary USD 1 million collection gap is different from a USD 1 million permanent investment in a new production line. Using a short facility for a long-lived investment can create refinancing exposure. Raising permanent equity for a brief, predictable timing gap may impose an ownership cost that the shareholders do not need to accept.

Build one comparable offer sheet

• Cash available: show net proceeds after fees, reserves and required repayments.

• Cash payable: include interest, fees, principal, lease commitments or other cash obligations over time.

• Rights and restrictions: identify security, guarantees, covenants, governance rights and exit provisions.

• Downside capacity: test lower sales, slower collections and relevant currency movements.

For equity, separate primary investment from a secondary shareholder sale. If a headline USD 5 million transaction comprises USD 3 million of new capital and USD 2 million paid to existing owners, only USD 3 million enters the company before expenses. That distinction should be explicit in the funding plan and transaction documents.

Keep alternatives open until conditions are clear. A lender indication is not the same as committed, drawable funding, and an investor discussion is not an agreed investment. A credible financing process combines reliable information, realistic counterparties and a contingency plan if the preferred route does not close.

Readiness improves the quality of the discussion

Reliable accounts, consistent management reporting, a credible forecast and a clear ownership structure help lenders and investors assess risk. Preparation cannot guarantee funding, but it can reduce uncertainty and make comparisons between offers more meaningful.

Choosing an investor process with Lev Partners

If equity is the appropriate route, Lev Partners can support an agreed investor search through its M&A and investor sourcing service. For Turkish companies considering U.S. private equity or strategic investors, we assess the funding requirement, ownership preferences and business profile before preparing materials and a tailored counterparty shortlist.

Our CFO services support the forecasts, cash-flow planning and reporting that investors need to assess the business. Investor outreach and transaction coordination are scoped separately from standalone financial preparation. See our transaction experience for the distinction between mandates with investor sourcing and process advisory.

Discuss your financing requirement with Lev Partners. Tell us the purpose of the capital, approximate amount and timing, and whether the shareholders are considering a minority partner or a wider ownership change.

Sources

• Türk Eximbank — Rediscount credit

• Ministry of Trade — 5 September 2026 announcement

• EBRD — Türkiye GEFF II

General information as of 11 September 2026; financing availability and terms depend on eligibility and assessment. This is not an investment recommendation.

Your M&A advisory contact

Erim N. Kargacı — Founding Partner and Head of M&A, Lev Partners. Erim leads Lev’s M&A advisory and supports owners considering investment, acquisitions or a company sale. He is also listed among Endeavor Türkiye’s mentors.

Contact us today to discuss your transaction. Tell us about your business and objectives through our confidential contact form →.