Structured finance for acquisitions, MBOs and shareholder exits via asset-based or cashflow finance solutions
Acquisition finance for business growth, management buy-outs (MBOs), buy & build and shareholder exits
- Loans from £1,000,000
- Term typically to 5 years
- Cashflow or asset-based loan with 1st charge
- Established business with £500k+ EBITDA
- Experienced management team
- All sectors considered
- Registered in England & Wales
- Director PGs may be required
Achieve your business goals.
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Why partner with Blueray Capital?
- Partnerships and funding agreements with all the leading asset-based and cashflow-based lenders (banks, debt funds and specialist lenders) many of whom are not available directly to borrowers
- Reduced time and increased chance of success
- Lender preference to deal with intermediaries with whom they already have a relationship
Acquisition Finance FAQs
Once we have signed an engagement letter and met with you we will require historic and forecast financial information of the target business, the term sheet, business plan and biographies of the team.
Indicative offers can be secured quite quickly but the whole process will take at least 3 months.
Funders prefer that a good proportion of the consideration is deferred and will not fund the whole structure; requiring 10%-40% equity contribution from the acquiring team.
They will take a 1st charge over the business and prefer to have tangible security, ideally property. Covenant tests and reporting requirements will be written into the loan agreement. Loan terms are typically 5 years maximum with monthly capital and interest repayments.
Cash-flow based lending multiples are typically 2 to 2.5x most recent EBITDA.
Interest costs will be anything from 4% over base to 12% depending on the provider. Completion costs include arrangement fees, external due diligence costs and legal fees.
All information is treated confidentially and stored securely. We can provide a non-disclosure agreement if required.
We act for clients in an exclusive and contingent manner. Our terms are set out in our Engagement Letter, a draft of which is provided to you following your initial enquiry.
If you have any further questions please let us know.