Banking CFO

DSCR Dropped from 1.45x to 1.18x
Covenant Breach in 8 Weeks

Your lenders set the threshold at 1.20x. Your spreadsheets show 1.32x. Reality shows 1.18x. The notification deadline is in 56 days.

The 12-Month DSCR Deterioration

Every month below 1.30x is a warning you didn't act on

DSCR Trend Analysis

Debt Service Coverage Ratio - 12 Month View

1.18x
BELOW COVENANT
1.50x1.30x1.20x1.10x
Warning 1.30x
Covenant 1.20x
1.45x
Jan
1.42x
Feb
1.38x
Mar
1.35x
Apr
1.32x
May
1.29x
Jun
1.27x
Jul
1.25x
Aug
1.23x
Sep
1.21x
Oct
1.19x
Nov
1.18x
Dec
Safe (>1.30x)
Warning (1.25-1.30x)
Danger (1.20-1.25x)
Breach (<1.20x)
Source: Standard project finance covenant threshold (Federal Reserve Commercial Lending Standards 2025)
1.18x
Current DSCR
1.20x
Covenant Threshold
56
Days to Notification
$47M
Facility at Risk

What Your Spreadsheets Miss

The gap between reported DSCR and actual DSCR

What You Report to Lenders

  • -DSCR calculated quarterly from financial statements
  • -Revenue recognized on accrual basis
  • -Maintenance reserves at budgeted levels
  • -Working capital adjustments not applied
  • -Seasonal variations smoothed over

What SlideStrike Reveals

  • +Real-time DSCR from cash flow actuals
  • +Revenue on cash collection basis
  • +Actual maintenance spend vs. reserves
  • +Working capital impact visualized
  • +Monthly trend with breach projection

The Breach Timeline

What happens when DSCR falls below covenant

Day 1

DSCR Falls Below 1.20x

Quarter-end calculation reveals breach. Treasury team notified.

Day 15

Internal Remediation Review

Finance team scrambles to find reporting errors. None found.

Day 30

Lender Notification Required

Covenant requires written notice within 30 days of breach awareness.

Day 45

Cure Period Begins

Lender grants 60-day cure period. Cash sweep activated.

Day 105

Potential Default

If uncured, facility may be called. Refinancing required at penalty rates.

The KPIs Your Board Will Ask About

SlideStrike automatically tracks and visualizes these metrics

DSCR
Debt Service Coverage Ratio
ICR
Interest Coverage Ratio
LCR
Liquidity Coverage Ratio
CAR
Capital Adequacy Ratio
NPL Ratio
Non-Performing Loans %
NIM
Net Interest Margin
TRANSFORM YOUR COVENANT COMPLIANCE

Stop the Breach Before It Happens

SlideStrike connects to your financial systems and provides real-time DSCR monitoring with automated lender-ready presentations.

Real-time DSCR calculation from actual cash flows
Automated breach projection with cure timeline
Board-ready covenant compliance presentations
Integration with treasury management systems
See Your DSCR Dashboard
Your lender sees the breach coming. Shouldn't you?