What If We Want To Provide Owner Liquidity/Take Capital Out of The Business?
Most owners plan to sell their business in order to get their capital out. But taking capital out along the way (Owner Liquidity) can be a smart strategy that is good for both the owner and the business. Lantern Capital Advisors helps businesses prepare for and execute liquidity strategies.
When & Why Owner Liquidity Strategies Make Sense
Most owners only think about getting liquidity when they sell a business, but taking liquidity along the way can make sense for several reasons:
1)Diversifies wealth and creates opportunities for smart planning
2)Allows owners be more patient about selling
3)Creates buy-in opportunities for management
In general, taking liquidity can make sense if the financing doesn’t put the company under a burdensome debt structure or have personal recourse back to the owners and as this “what if” illustrates, these strategies are possible in even today’s financing environment.
- What if we could get rid of personal financial guarantees?
- What if we wanted to sell our business to our employees, family, or competitors?
Lantern Capital Advisors uses a proprietary planning consulting process to help companies quickly evaluate opportunities, then develops the plans and accesses the capital to make it happen. Lantern Capital Advisors offer a unique combination of experience, objectivity, and value.
- Experience - We are a corporate financial consulting firm. All we do is help growing companies explore, plan, and execute business and financial strategies to realize their potential.
- Objectivity - Fees for most corporate finance advisors are determined by the strategies or products they recommend. As a corporate finance consulting firm, we work on an hourly consulting basis, so clients can always trust our advice. Our objective is to develop corporate finance strategies and finding financing alternatives that allow owners and management to maintain control of their company and preserve equity.
- Value - We deliver our corporate financial planning and consulting services using a proprietary planning process that is highly effective, and gives clients and management peace of mind, consistent results, and delivers substantial value at a fraction of the cost of our (investment banking) competition.
LANTERN CAPITAL ADVISORS HAS EXPERIENCE SUCCESSFULLY HELPING GROWING ENTERPRISES AND ENTREPRENEURS WITH REVENUE THAT TYPICALLY RANGE FROM $5 MILLION TO $150 MILLION EXECUTE THEIR OWNER LIQUIDITY AND CORPORATE FINANCE STRATEGY. WE DO THIS ON AN HOURLY CONSULTING MODEL BASIS.
Companies routinely drive growth by asking then exploring, “What if?” But for questions like those listed above, effectively exploring “what if” requires an understanding of corporate finance that many private companies do not have.
Have You Ever Asked?
Do You Have a "What If?" If so, we invite you to contact us. We look to offer feedback to any company that seeks our advice regarding raising capital. We do not seek compensation for the upfront time required to explore and qualify each company's opportunity.