The Blog

Musings on corporate finance, fund raising, debt capital and other matters

A term for financial or corporate entities that pool money, to be used for the purchase of securities (including loan origination), real property and other investment assets. The most well-known entities are banks, insurance companies, pension and hedge funds, real estate trusts, investment advisors and mutual funds.

A loan-like transaction, where a company sell its trade receivables to a third party. The sale of the receivables usually occurs at a discount, with the difference between sale price and notional value providing an effective interest to the purchaser.

The provision of debt capital to small and medium sized businesses (SMEs and MSBs) by private debt funds. Loan sizes tend to be significantly larger than those available in peer-to-peer lending, typically ranging between £2 and £100 million. See also alternative finance and private debt fund

Why not have a larger share of a much bigger pie?
“Non-dilutive financing is the type of capital acquisition that does not require you to give up shares of your business”,
Scott Shane, Case Western Reserve University

Dilutive financing may be common place and expected in the world of technology start-ups. But for a regional family run business, the idea of having to give up some ...