BUY-AND-BUILD: A POPULAR PATH FOR BUSINESS GROWTH

We have a strong track record of helping mid-sized firms grow rapidly through funding buy and build strategies. This is where an investor or company seeks to grow the overall value of their business or investment through a series of additional acquisitions.

Find out more in our Buy & Build guide
BUY-AND-BUILD: A POPULAR PATH FOR BUSINESS GROWTH
01  Funding the strategy

FUNDING THE STRATEGY

Executed well, a buy and build strategy can create substantial value and these results can be achieved much more rapidly than they can via the organic route. Seeking external debt to fund these strategies comes with many benefits and things to consider:

  • TRANSACTION SIZE
    Given the typical transaction size, few businesses can finance multiple acquisitions from retained cash on their balance sheet.

  • DEBT VS EQUITY
    Lowering the weighted average cost of capital could improve equity returns. You can also benefit from the tax deductibility of the interest charge.

  • EXPERT LENDER
    Working with an expert lender that specialises in structuring and delivering these types of complex facilities can ensure deals are properly structured, stress-tested and optimized.

Download our buy and build guide

Read more about the benefits, challenges and common pitfalls when undertaking a buy and build strategy in our full guide.
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02  How can we help

HOW WE CAN HELP

ThinCats has a strong track record of helping mid-sized firms grow rapidly through funding these strategies.

We maintain strong geographic coverage through our network of regional offices, and we have deep and broad sector expertise within the team. We pride ourselves on:

  • SPEED
    valuable in many scenarios but never more so than if there is a competitive bid process for a particular target company. Our lending processes are streamlined to give the best chance of transacting on time-sensitive opportunities.

  • FLEXIBILITY
    while each transaction will broadly follow the same financing pattern, each set of circumstances and objectives are unique. We have the dexterity to adapt to different scenarios.

  • DEPENDABILITY
    a track record of successful delivery is also vital. Structured transactions like these are intense so having a trusted funding partner by your side, which can safely guide you through the process, is a real asset.

BUY AND BUILD INSIGHTS