This week we continue our conversation with Stephen Lewis, Managing Director, Headwaters MB. Headwaters is a middle market focused investment bank. Steve’s focus is cross border debt capital markets.  Second of two parts – View part one

The Lead Left: You mentioned there are still quirks in the European legal system.

Stephen Lewis: There’s still no central registry for SEC filings in Germany. You can record your security interest, but it’s not searchable. You can’t find out who or what’s in front of you. The whole idea of “security” is different. “Factoring” receivables is a commonplace practice and not just for the apparel and white and brown goods industries.  However, the ability to finance against the inventory in many European countries is problematic. There’s no registry for “movables.” It’s the difference between being a “Roman code” country versus being a “civil code” country.