Covenant-Repair and Capital-Allocation Leader

The mandate

Quarter-end headroom fell below the board’s tolerance after seasonal inventory remained unsold, flagship projects exceeded approved cash and ecommerce initiatives reported adoption without contribution economics. Lender forecasts and business budgets now use different stock and capital assumptions. The capital controller was removed when a waiver discussion revealed commitments omitted from the committee pack.

The interim must establish onsite Milan control within seven days and lead for ten months through covenant repair and the next seasonal inventory cycle. Recruitment of a permanent capital-allocation leader begins after two covenant tests and one annual investment round reconcile to source evidence, expected in month six. The successor will chair a lender case and disputed project decision during five weeks of overlap.

Handover requires one integrated cash, covenant and capital model; inventory ageing and markdown assumptions by collection; every project to carry committed, spent, remaining and recoverable value; two lender cases to reconcile; and permanent owners for weekly liquidity and investment gates. The successor inherits waiver conditions, project actions, stock exposures, forecasts and unresolved contractual commitments.

The interim may freeze uncommitted capital, reject a covenant forecast, require inventory remeasurement, redirect up to EUR 60 million within approved capital and stop projects lacking evidence. New borrowing, lender agreement, store closure, brand pricing, workforce action and disposal require existing executive or board approval. Business leaders remain accountable for operating benefits and inventory decisions.

Brand strategy, merchandising selection, property negotiation, debt documentation and ecommerce product management are excluded except as inputs to cash and covenant. The seat owns integrated forecasting, lender evidence, capital governance, inventory economics, downside action and permanent succession. It cannot create headroom by deferring unavoidable maintenance or manipulating stock assumptions.

Why this seat is open

The waiver discussion exposed incomplete commitments and incompatible forecasts at a time-sensitive point, followed by controller removal. Brand, property and digital sponsors defend investments using different measures, while treasury needs one downside case. Temporary capital authority can force decisions through a live seasonal cycle and restore lender-grade evidence.

What you will own

• Rebuild liquidity and covenant forecasts from sales, margin, inventory, payables, capital, leases and financing drivers.
• Reconcile lender definitions to management reporting, statutory balances, permitted adjustments and forecast evidence.
• Segment inventory by collection, channel, ageing, commitment, markdown, return and cash-conversion risk.
• Establish capital gates across committed status, completion cost, strategic rationale, cash timing and measurable return.
• Run downside cases for weaker demand, delayed markdown, project overrun, currency pressure and unavailable waiver.
• Command weekly cash and monthly investment choices that stop, defer, redesign or accelerate spending.
• Transfer models, lender evidence, inventory actions, project dossiers and decision calendars through successor-led reviews.

Candidate qualifications

• Held executive finance authority during covenant repair for a luxury, retail or inventory-intensive consumer group.
• Reconciled lender and management cases when stock, lease, capital and adjustment assumptions diverged.
• Rebased inventory ageing and markdown economics without compromising brand or relying on unrealistic sell-through.
• Stopped or redesigned flagship, digital and infrastructure projects under cash pressure and senior sponsorship.
• Managed waiver evidence and stakeholder confidence without assuming legal negotiation or board approval authority.
• Handed integrated liquidity and capital governance to permanent leadership after a seasonal trading cycle.

Non-negotiables

• Can take onsite Milan control within seven days and maintain continuous lender and liquidity escalation.
• Will accept exclusive executive accountability for covenant evidence and capital governance during ten months.
• Brings covenant repair in inventory-intensive retail; routine treasury or budgeting experience alone is insufficient.
• Must disclose lender, shareholder, landlord, luxury-brand, adviser and potential asset-buyer relationships.

1. 49 words maximum. Describe a covenant case where inventory or capital assumptions concealed the real headroom risk.
2. 49 words maximum. Which investment would you freeze first when cash return and contractual commitment disagree?
3. 49 words maximum. State your Milan availability and the tightest covenant recovery you personally led.