A management buyout (MBO) occurs when a management team purchases a business from the existing ownership group. Key managers are often an ideal succession plan for business owners looking to exit their business. MBOs provide additional comfort to the business’s staff, customers and suppliers who already have standing relationships with management.
The role of a Confederation M&A Advisor can be particularly important throughout MBOs in order to maintain healthy employee to employer relationships. Confederation M&A has extensive experience leading the MBO process. A common concern regarding MBOs is the purchaser’s ability to finance the transaction. Our advisors have widespread contacts with lenders to help the purchaser seek capital with repayment structures that will be maintainable relative to the business’s cash flow.
Interested in learning more about how an MBO could work for you? To set up a confidential appointment with one of our experienced M&A Advisors, email us at firstname.lastname@example.org and we will get back to you.