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Five Common Misconceptions About Mezzanine Debt

Five Common Misconceptions About Mezzanine Debt

Submitted by • March 19, 2020

www.attractcapital.com - Mezzanine debt is a high value form of financing for companies seeking transitional capital for growth. It is usually deployed as part of a bespoke structure in a M&A transaction. Because it is bundled with other forms of capital as ...

How Mezzanine Debt Pricing Works

How Mezzanine Debt Pricing Works

Submitted by • March 17, 2020

www.attractcapital.com - Mezzanine debt loans are not publicly traded instruments but are part of the private debt market. As such, loan pricing is influenced by several component costs such as cost of funds, overhead and loan loss reserves. Furthermore, the ultimate pricing ...

How To Integrate Mezzanine Debt Principles Into Your Company’s Growth

How To Integrate Mezzanine Debt Principles Into Your Company’s Growth

Submitted by • March 12, 2020

www.attractcapital.com - Mezzanine debt is a progressive, creative form of financing that is used to finance companies based on their cash flow growth. It’s most frequently used to finance acquisitions and buyouts. Yet it has great applicability to all companies transitioning through ...

The Value Of Mezzanine Debt Lenders As Relationships Lenders

The Value Of Mezzanine Debt Lenders As Relationships Lenders

Submitted by • March 11, 2020

www.attractcapital.com - Mezzanine debt lenders have always taken a relationship approach with their borrowers and continue to do so today. A relationship approach is one of the hallmarks of their success and allows them to make higher risk loans to lower credit ...

Mezzanine Debt’s Use As A One-Stop Solution

Mezzanine Debt’s Use As A One-Stop Solution

Submitted by • March 10, 2020

www.attractcapital.com - A lot of deal doers, including fund less sponsors and search funds, focus on lower middle market deals of companies with EBITDA ranging from $1.5 to $3.0 million. There is less competition at this end of the market, and savvy ...

Why Mezzanine Debt Is The More Flexible Growth Capital Alternative.

Why Mezzanine Debt Is The More Flexible Growth Capital Alternative.

Submitted by • March 9, 2020

www.attractcapital.com - The words growth and debt appear oxymoronic, and somewhat baffling to companies seeking to fund their growth scale-up. Debt has a bit of an onerous and rigid connotation, something that requires steady cash flow discipline and maintenance. Growth is an ...

Fund Your Growth Roll-Up With Mezzanine Debt

Fund Your Growth Roll-Up With Mezzanine Debt

Submitted by • March 3, 2020

www.attractcapital.com - Growth businesses usually pursue a variety of different avenues of growth in their bid to diversify and expand their customer base. Some pursue organic growth while others pursue acquisitions. Organic growth can take the form of regional expansion or new ...

The Power Of Mezzanine Debt

The Power Of Mezzanine Debt

Submitted by • March 2, 2020

www.attractcapital.com - Mezzanine debt is a widely available yet infrequently used outside of leveraged buyouts in the middle market company ecosystem. It is a layer of financing between the bank loan and equity, needed to complete the capital stack and close the ...

Optimal Acquisition Financing Structures

Optimal Acquisition Financing Structures

Submitted by • February 26, 2020

www.attractcapital.com - Acquisition financing structures are often thought of in a one size fits all manner. The dominant structures include a meaningful equity investment percentage in the range of 25% to 35% coupled with debt financing for the remaining percentage of 65% ...

5 Big Wins From Using An Acquisition Financing Advisor

5 Big Wins From Using An Acquisition Financing Advisor

Submitted by • February 14, 2020

www.attractcapital.com - Middle market acquisitions are not easy, due to the asymmetry between lender requirements and borrower resources. Lender due diligence processes are comprehensive, and lenders often ask for information not easy to aggregate. Many middle market companies may not have ...