Buyout a Business Partner | Buyout a Business Owner

Buyout a Business Partner or Buyout a Business Owner

How To Execute Management Buyouts

Many times in business, one owner wants to buyout another owner,  or one business partner wants to move in a different direction from the other business partner.  An owner may be investigating exit strategies, or is ready to sell their business interests to employees, family, or an outside company.  Lantern Capital Advisors helps business owners, management teams, and minority shareholders execute leveraged and management buyouts that allow the purchaser to realize control of the business while allowing them to create significant value.

Buyout Services and Lantern Capital Advisors

Lantern Capital Advisors works with management teams and owners to evaluate a company’s business and potential for a leveraged buyout.  If it is believed that the future of the business provides a strong potential for success, Lantern Capital Advisors consults with executives and management to draft a letter of intent (proposal) to purchase the Company from the owner.

Often one of the biggest road blocks to executing a successful buyout is the owner’s belief whether management is a qualified buyer, or if the financing is achievable.  To gain the confidence of management and the owner, Lantern Capital Advisors works with the company to pre-qualify the buyout with multiple potential lenders/investors prior to submitting a final proposal to the owners so that both owner and buyer can feel confident a deal can get done.   Lantern Capital Advisors can also help management and owner identify an independent valuation firm to justify the purchase price both for the potential buyer and seller.

Once an owner accepts the letter of intent, Lantern Capital Advisors will work with management to draft a business plan and financing request to secure the needed capital.  Lantern Capital Advisors will arrange meetings with interested lenders and investors and will assist with the negotiations of all financing proposals.

The goal is to find financing that optimizes management’s ownership potential and long term objectives, and maximizes the sellers liquidity.

Once the financing is in place, Lantern Capital Advisors works with the owners and management to monitor due diligence and close on the purchase transaction.  Lantern Capital Advisors can also coordinate with legal and accounting professionals to optimize the structure of the new company and purchase. This includes an analysis of a full or partial ESOP structure for the transaction.

How We Work: Working With Lantern Capital Advisors To Execute Your Buyout

Unlike most investment bankers and advisors, Lantern’s compensation is not based on the amount of financing raised or the overall purchase price of the Company.  While fees under the Lehman Formula or Double Lehman Formula are lucrative, Lantern Capital Advisors believes this compensation structure presents a conflict of interest for our firm and works against the best interests of the management team, and the owner of the company.  Like all of our projects, Lantern Capital Advisors charges an hourly fee for our consulting time and our success rate for delivering financing alternatives surpasses those of investment bankers and brokers.

Sample Calculation of Lehman Formula vs. Lantern Capital Advisors Consulting Model.

Investment Banking Fees Vs. Consulting Fees:  Learn About How We Raise Capital For High Growth Companies

Contact Lantern To Assist You On Your Buyout Financing

Lantern Capital Advisors prides itself on being FAST, TRUSTED, and COST EFFECTIVE.

We invite you to contact Lantern Capital Advisors to help your company CONFIDENTIALLY explore your Buyout Financing.

WE ARE NOT A BROKERWE ARE NOT AN INVESTMENT BANKING FIRM. We are a corporate financial consulting firm that specializes in corporate financial consulting and executing management buyouts, specifically geared towards raising capital for established growing companies.  We don’t accept referral fees, broker fees, or equity as any compensation from any client or institution.

Our Services Offerings Include:

Our methodology is very efficient, effective and proven.  We can very quickly package a company for the market, confidentially solicit institutional interest, and negotiate proposals – clients can expect term sheets as soon as three to five weeks after engaging Lantern to manage the management buyout financing process, and achieve financing in as little time as eight weeks.

We pride ourselves on being FAST, TRUSTED, and COST EFFECTIVE.

Lantern helps companies CONFIDENTIALLY explore management buyout financing alternatives in order to buyout shareholders, afford an owner an exit strategy, or execute a leveraged buyout.  

Lantern Capital Advisors believes that a company’s best interest is to look for and secure multiple management buyout financing options (MBO Financing) in order to achieve the best financing terms.