Mezzanine financing agreements may come with strict covenants that limit the company's operational flexibility. Lenders may impose restrictions on actions like additional borrowing, dividend payments, or strategic decisions. This can impact the company's ability to make swift decisions when necessary.Mezzanine financing agreements may come with strict covenants that limit the company's operational flexibility. Lenders may impose restrictions on actions like additional borrowing, dividend payments, or strategic decisions. This can impact the company's ability to make swift decisions when necessary.