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How much equity should you give away when taking investment for growth?

Growth Business

The stake will depend directly on the amount you want to raise compared to your business’s total valuation. To determine the value of the shares specifically, you need to adjust for the debt and cash in the business.

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Capital Raise Blog Series - Vol 10 - What Is Venture Debt?

RKJ Partners

Yet, taking this equity investment means accepting painful ownership dilution due to the low valuations given to companies at this early stage. Venture lending is usually offered in two forms: "growth capital" and equipment financing. So, what's the alternative?

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Unlocking Business Exits with ESOPs: Exit Strong with Employee Ownership with Michael Bannon

How2Exit

At CSG, he specializes in ESOPs, working intimately with clients to quarterback ESOP transactions, including analysis, capital raise, negotiation, and closing across various industries. rn rn rn Notable Quotes: rn rn rn "An ESOP is a qualified retirement plan that allows employees to earn shares in their employer." rn rn rn ".as

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Global M&A Private Equity Trends

Focus Investment Banking

The top thirty middle-market vehicles accounted for over half of all capital raised. of all funds closed, indicating the middle-market's dominance in the battle for capital. Smaller add-on deals gained a larger share of total deals. While average valuations in the U.S. trillion as of June 30, 2022.

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Convertible Bonds in Today’s Economy

MergersCorp M&A International

So basically, this instrument functions like a traditional bond by offering fixed interest payments at regular intervals but they also come with a conversion option and the number of shares is predetermined at a specific price. In March, artificial intelligence server maker Super Micro Compute raise $1.7B

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Event-Driven Hedge Funds: The Best Home for Bankers Turned Investors?

Mergers and Inquisitions

They have their investment thesis and valuation, and the earnings announcement is the event that unlocks value… …but this is not what “event-driven” means in most cases. But if we’re wrong, and the spin-off doesn’t happen or gets done at a lower valuation, the parent company’s share price would fall by only 10%.”

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Single Store Generalist Shops | Why the Era is Coming to an End with Cole Strandberg

Focus Investment Banking

About 3 years ago, I joined the team at Focus Investment Banking, where I spend my time on mergers and acquisitions and capital raising within the collision repair industry. That valuation depending on how you look at it, boils down to 193% of sales or about 15 times EBITDA. So it’s an industry I love.