Financing
Financing Process:
In a changing environment, Cathedral works to facilitate the funding of the business for growth or current operational needs. Sources might include banks, investors, angels, or factors. Cathedral utilizes the following approach in the financing process:
- Assess:
- Assess the amount of funds needed and that it will lead to a self-sustaining business.
- Determine the most appropriate source of funds.
- Evaluate the preparedness of the company to approach funding sources.
- Determine adequate cash flow for repayment or adequate ROI.
- Prepare and Package:
- Create an information package that is appropriate to the funding source.
- Identify potential funder(s).
- Introduce.
- Present the financing package to the funder(s).
- Follow up with funder(s).
- Negotiate and Close.
- Design Term Sheet or review bank applications.
- Close the transaction.
| Case Study: Cathedral worked with a buyer to negotiate the purchase of a professional services firm and simultaneously secure the funding to complete the acquisition. A financial model was vital to demonstrate adequate ROI to the investor. |
