Acquisition financing is required when a company or individual is purchasing another business in a mergers and acquisition transaction. Depending upon the type of business being acquired, its valuation and growth plan, different types of acquisition financing are appropriate. Most acquisition financings involve a package of different layers of capital including bank debt, mezzanine debt and private equity.

Some deals can be financed with a package of senior bank debt and mezzanine debt. Some deals require private equity in addition to senior bank debt and mezzanine debt. At Attract Capital, we are experts at figuring out the best financing structure for your acquisition financing need. Due to our ability to position your company and explain your growth in a compelling way, we can often help clients reduce the amount of equity they need to raise as part of the overall acquisition financing structure.

In order to determine the best structure, we assess the following:

1. Existing mezzanine debt capacity.
2. Growth capital needs.
3. Owner's long term growth plan.

These three factors allow us to recommend the best form of acquisition financing to our clients. At Attract Capital, we make it easy for our clients to access capital needed to fund their acquisitions. Our acquisition financing structures can help you finance one acquisition or a series of acquisition, depending upon your need. All acquisition financing structures involve a careful consideration of the following:

1. Cost of the structure.
2. Flexibility of the structure.
3. Matching of acquisition financing structure risk with business risk.

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