Executives with an entrepreneurial drive may wish to explore ownership of a business that they presently manage. Such buyouts may include significant leverage and typically involve a close partnership between these senior managers and outside capital providers.
Management buyouts are often attractive to business owners since the process is discreet (does not involve wide disclosure of a change in ownership), avoids disclosure of information to competitors, minimizes the transaction representations and warranties and can be less disruptive to employee, business and customer relationships.
There are numerous North American private capital sources that focus on financing management-led buyouts. They are attracted by the prospect of backing a successful and proven management team and generally do not require the managers to provide a large amount of capital to complete these transactions.
Solaris assists management in a “turn-key” fashion: our services encompass familiarizing the management team with the process and structure, evaluating the target business, negotiating its purchase, establishing an appropriate capital structure and raising all of the required financing on the best possible terms. |