Private Equity

We are very well connected to many private equity and venture capital funds and focus on matching the best placed investor to the right deal.

Considerations for the Company

Key considerations a Private Equity firm would need to take into consideration include:

Financially

  • Development capital introduced to provide headroom within the company and ability to deliver growth strategy.
  • Private equity have the ability to remove any bank financing, therefore, less onerous covenants with reduced reporting to the bank.

Ongoing cost

  • Non rolled up loan note interest.
  • Private equity house monitoring fee.
  • Chairman fee.

Corporate

  • Appointment of chairman.
  • 10 board meetings required per year.
  • Monthly management reporting to private equity house.
  • Appointment of Investment Director and board observers.
  • Raise profile and credibility of the company by having private equity investment.
  • Improved internal systems and procedures.

Trading

Typical consent matters, which would require approval from the private equity house before being actioned:

  • Make material change to nature of the business.
  • Capital expenditure over a set value.
  • Entering into contracts over a set value, onerous or not at arms’ length.
  • Acquiring or disposing of businesses.
  • Enter into partnership or joint venture.
  • Appointing senior or high paid staff.
  • Appointment of Statutory Directors.
  • Changes to share capital.
  • Appointment of auditors.
  • Make any change of bank or terms of any mandate given to any banks.
  • Borrow or lend any monies.