Throughout a company’s lifespan there will be the need for OPM (other people’s money) – either to finance new assets or refinance existing ones. Term debt is usually the most efficient means of achieving this – you borrow money over a given term, make the repayments in full and end up owning the assets outright. With many modern products you can repay the debt early without penalty. More complex instruments are available and in all cases there is a need for expert guidance. We regularly provide assistance to clients seeking term debt for:
- Commercial finance
- Investment finance
- Land deals
- Business development loans
EQUITY – Venture capital, Business Angels, equity capital
An institution or individual who invests cash into your business may take a share in your company and want a seat on the board. They may also demand that external advisers are appointed to monitor progress because equity capital should not be seen as purely risk capital. Investors will want to de-risk any potential investment. Their return is based on monies charged while you are making use of their funds plus the buyout prospects for their equity holding. The buyout may take the form of an MBO (management buyout) or it may to an external party. In addition to cash, equity investors usually bring expertise in management and experience in markets plus access to markets.