Funding Business Investments And Acquisitions
Corporate finance strategies involving mergers and acquisitions, buyouts, take-overs, distressed mergers and acquisitions, etc., can be very extensive and need substantial financing. The success of corporate finance strategies depends largely on the availability of funds. The planning stage of business investments and acquisitions include deciding on suitable financing partners. Financing partners can include traditional banking institutions or other private lenders. The financing partner is a key stakeholder in funding business investments and acquisitions.
A suitable and reliable financing partner is one that is flexible, understands your business and is committed to the success of your corporate financial transactions. A good financing partner makes funding your investments seamless and less daunting.
An important factor in choosing a financing partner to work alongside your business is the availability and timing of funds. For example, you need cash readily available to fund growth through mergers and acquisitions. A financing partner that is available and provides funds when needed is a must-have for successful business investments.
How To Fund Business Investments And Acquisitions
Business investments, restructuring or mergers and acquisitions can be funded using changes in equity structure, cash or debt. Where a business does not want to dilute or make changes to current equity structure, it can consider using available cash. However, cash is not always available for the high level of financial transactions that corporate finance investments require.
In this case, funding can be accessed through loans or asset-backed financing. Businesses can leverage their valuable assets as collateral to obtain funding from financing companies. Companies going through major restructuring need funds for expanded operations, human capital expenses, material investments and even business acquisitions. To make a restructuring process effective, organizations can explore getting the needed funds through inventory financing, accounts receivable financing or fixed-asset financing.
Corporate finance strategies though similar, may differ in certain circumstances and are unique based on underlying business conditions. It is therefore important to explore and choose a financing solution that best meets organizational goals and objectives.
For example, a highly capital-intensive business can explore acquisition financing through fixed-asset financing, while a service-based business may decide to use the accounts receivable financing option as this best suits their business model.
Accord Financial Provides All Round Financing Solutions
Having worked with numerous businesses across different sectors and industries through intense exercises of restructuring and turnarounds as well as distressed mergers and acquisitions, Accord Financial is the best suitable partner for your business to turn existing assets into cash.
There are various financing products to consider with Accord, all of which are readily available, reliable and flexible. Convert your existing fixed assets, accounts receivable and inventory to cash for funding business investments and acquisitions.
Also, Accord can support your business turnarounds, buy-outs and distressed mergers and acquisitions through business loans. Accord has the experience and technology to provide a fast and simplified process to access funds for your acquisition investments. Contact Accord Financial to inquire about leveraged M&A financing and enable a smooth growth and expansion process.