What’s Fueling M&A Fever?

Private equity firms invest by paying a portion of the buy price using capital from a “fund,” then borrowing the balance at a competitive rate. The return comes from growing your business quickly, paying down the remaining debt and getting a higher multiple at exit.

Certainly, the best potential lies with firms experienced in our industry. They already believe in your company and can support you with strategic direction and accessibility to resources—as well as necessary capital. Large private equity firms buy at a higher multiple if your cash flow is consistent, among other considerations.