Obtain Financing on Terms that Allow the Business to Grow, Even in Different Directions
With our help, companies can obtain funding at various stages. They benefit from our past experience representing each side (founders / later investors; borrowers/ lenders) on a broad range of financing vehicles for all phases of a company’s life cycle. Because of our experience handling M&A and other expansions, we proactively counsel, and negotiate on the company’s behalf, for flexible terms that anticipate and facilitate rapid future growth. This can lower the chance of future headaches in dealing with your lenders as your business expands.
When working with business founders, we point out factors, as well as options available to founders, that may be important to prospective investors. We have also advised various founders on bringing aboard key executives, as well as third-party investors and later replacement of those investors. In this role, we focus on enabling founders to play the role they intend to play in their company’s future and to exit on their own terms.
We help borrowers negotiate for funding terms that will accommodate growth rather than hinder it. Conversely, we build in flexibility in growth-related agreements to accommodate the business’ ongoing need for funding, such as under a line of credit. For example, we often negotiate for our clients to obtain prospective subordination agreements from each seller every time the client acquires a new business. That way, the client can avoid having to negotiate with the sellers of the acquired businesses each time the client business desires to modify its bank debt.