Successfully raising capital
Only in very few cases will it be possible to acquire a company without taking out a bank loan. As a rule, banks require equity of 15%-20% of the investment sum.
In the case of company succession, financing mainly concerns the successor, i.e. the buyer of the company. The successor must secure the necessary funds to acquire the company. The question of the form of succession financing very often arises directly after the purchase price has been agreed. As soon as the seller and buyer have negotiated a price, the structuring of the financing usually starts immediately. In principle, the buyer has various types of financing at their disposal, which can be sensibly combined as part of the structuring process and tailored precisely to the respective transaction. The typical forms of financing for succession financing for medium-sized companies are primarily
- Equity
- The vendor loan
- Loan financing via house banks and / or development banks
- Mezzanine capital
For this reason, it is important to be familiar with all possible financing instruments that can be used to finance a company succession. omegaconsulting partner and financing expert Axel Deilmann has been supporting clients for many years in the successful realization of M&A transactions and company successions.
