Build a basic debt service schedule from principal, rate, amortization, and maturity terms.
You have a $40 million term loan, 6.4 percent annual interest paid quarterly, $1.2 million quarterly amortization, and a bullet maturity in Q4 next year. Leadership needs next-quarter debt service and the remaining principal path. Opening principal -> interest -> scheduled principal -> ending principal -> maturity exposure. The common trap is showing only total debt outstanding. That hides the actual cash dates and makes DSCR or liquidity forecasts look smoother than they are. Step 1 Start with opening principal of $40.0 million and list the payment dates for the next four quarters. Dates come first because debt service risk…
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