Debt DAO Docs

Final Borrower / Loan Analysis

Part 2 of the Borrower Analysis Framework
Once a Borrower's stand-alone analysis has been completed, we then look at a few other things to arrive at a final assessment of the risk of a particular. For reference, see Borrower Analysis Framework Overview Figure 2.C.
Firstly, if available, we compare the results from Figure 1.C against the stand-alone analyses of the Borrower's closest peer comparables.
We then look at four areas that might reduce the risk of the actual loan that the Borrower is taking out. Definitions surrounding the terms and conditions for a particular loan agreement and the specific obligations required of a Borrower begin to materialize in this stage of the analysis.
The framework is intentionally designed to augment as new debt proposals continue to be processed. Employment of this adaptable model addresses the novelty surrounding the emergence of debt capital markets and ensures continued viability in future DeFi ecosystems.