The client’s objective may be liquidity but not necessarily an exit from the business or project. In that event, an appropriately structured recapitalization with a suitable investor and/or lender may be the optimal solution to the client’s need. The objective is to arrange a transaction with a compatible financial partner that enables our client to sell a portion of its ownership and/or pay a large dividend in order to “take some chips off the table”. The financial partner may be a lender willing to leverage a conservatively financed business. Or, it may be a private equity firm interested in investing in the business with the current successful owners and providing the capital to enable the business to take advantage of an attractive growth opportunity.

Once again, success starts with a clear idea of what the business can do with the capital and the profile of investors likely to be attracted to such an opportunity.