ate Equity Finance in an Evolving Market Landscape
Private equity firms can command any market conditions by forming long-term financing agreements with other capital providers. A partnership with an asset-based lending company that is not a bank could be the alternative capital provider you need to tip the scales your way.
Asset-based loans can be flexible to meet special circumstances or capture growth in situations where traditional structures fail. It’s crucial to look for partners who are open to working outside of the box as the world prepares to see what the second half holds.
We’ve created some resources below to help you and your team better understand the benefits of asset-based lending partnerships, as well as the best way to select the right partner.
Asset-Based Loans: When to Consider Them
Our library of sponsor-backed asset-based lending contains detailed examples on how to leverage this financing vehicle. You can find detailed examples on how to use this funding vehicle in our library sponsor-backed asset based lending cases.
We address this in ” How A Solid Financing Partners Can Help Your Portfolio Company Grow.”
Asset-based lending: Benefits
The financing vehicle, whether it is Gibraltar or another asset-based lender that’s not a bank, offers unique benefits to financial sponsors. We reflect on the unique advantages here, including creative ways to increase liquidity and minimize owner requirements.
Turn to learn more about asset-based lending, including the advantages and how asset-based lenders assess assets.
Find and evaluate the right partner
We provided with a checklist recently to help financial sponsors find the right partner. Use this checklist to help you evaluate your partner and search for one who has:
- Experience working in private equity firms
- You can easily reach high-level decision makers to assist you in structuring your deal
- Expertise in sectors aligned with your investment goals
- Quick deal turnaround
- Reliable records of delivery
- Good capitalization
- Creative problem solving is a mindset
- Excellent references
Have questions? Contact a member from our team of experts to find out more.
