Private Equity Loans in Sydney
Private equity loans are a great way to raise finance for your business and make it grow exponentially. It is difficult for small and new businesses to obtain bank loans or traditional forms of finance, given the lack of an established revenue stream. If you need finance or private equity loans to fund your next phase of growth, expansion, or establish new lines of products and services, Local Finance Guru is here to assist.
Over the years, we have helped numerous businesses in Sydney obtain equity release loans through private investors to help them during critical periods of their growth. With our long-standing relationship with leading private and institutional equity investors across Australia, we help you obtain private equity from investors who share your vision for growth
What is Equity Finance?
Before your business is established and has large cash flows or sales, you need to invest in the business to make it functional and self-sustaining. For this, you need funds that can be raised either through self-funding, loans for family and friends or through private equity/equity finance. Equity finance is a long-term investment, typically 5-7 years by large private accredited investors or institutional investors.
They invest in your company in exchange for a shareholding in the company and a share in the profits. The investors may or may not require a seat on the board. Apart from investing money to fund your growth, taking care of the overheads and solidifying the balance sheet, the investors also play the role of a guide or mentor. Additionally, you benefit from their experience and their contacts in various fields.
Benefits of Private Equity Loans
There are several benefits of taking a private equity loan as it makes sense for a company that wants to grow significantly.
Here are the key benefits:
● Gives small companies and start-ups access to cheap funds.
● Companies do not have to pay interest on equity finance.
● Provides company liquidity and means to take care of overheads.
● Private equity investors provide invaluable guidance and mentorship and help to remove barriers to growth.