Hello I can understand your situation, but you too will have to acknowledge the fact that psychiatric illnesses have a strong biological underpinning and hence until that is corrected, there may not be a complete relief in symptoms. So, the best way to move ahead would be to consult a psychiatrist and start him on a combination of medication & cognitive behavior therapy( therapy solely won't be the best option for him as your description suggests a moderate to severe episode).
Also, most medications and I am including here non psychiatric medicine as well, will have some side effect profile, which may or may not manifest in every individual. Howsoever, your friends refusal for medication appears to stem not from apprehension of side effects, but the inability to acknowledge his symptoms as an illness and equating them to a lack of resilience & strength on his part.
Next Steps
The best way to tackle this would be to convince him for psychiatric consultation and envision it as a support to help him tide over the illness than as a sign of weakness in him. hope this helps, good luck!