A Second Bite at the Apple

A private equity recapitalization allows you to create personal liquidity by selling either a majority or minority interest in your company to an investor like a private equity group.   This allows you to diversify your risk by taking some chips off the table, retain some equity, and have a second “bite at the apple” when the private equity firm sells the business in 3-7 years.  Because private equity groups are experts at growing small businesses, for many business owners, the second bite at the apple can be worth more than the initial sale.

Benefits of a Private Equity Recapitalization

Some of the primary benefits of a private equity recapitalization include funding expansion of the business, diversifying your wealth into investments outside of your business, paying down bank debt, removing personal guarantees, and creating peace of mind for you and your family.

Continue to Run Your Company

Most private equity groups are not interested in operating the businesses in which they invest; they just want a return on their capital.  As a result, private equity groups often want you and your management team to continue to run the company.

MidCap Advisors has helped dozens of business owners recapitalize their businesses with private equity while retaining ownership and continuing to run the business going forward. This allowed them to continue to grow their business while reducing their risk.

Contact MidCap Advisors to learn how we can help you with a private equity recapitalization.