According to a Carl Marks Advisors survey of business leaders, banking professionals, alternative lenders and business advisors, an increasing number of middle market companies are turning to alternative financing to address the issues facing their businesses amidst continued economic uncertainty.

Robert Lau, Partner at Carl Marks Advisors, recently sat down with ABF Journal to discuss this shift and the dynamics behind it, including increased lender scrutiny, margin compression and stricter terms from traditional lenders. In this extended Q&A interview, Lau provides additional context on the survey findings, discusses market conditions facing mid-sized companies, and explains why he expects the alternative lending trend to extend into 2024 and beyond.