5 steps to business funding
5 essential steps to securing business funding
NSConsulting has developed a 5 step plan for clients seeking funding for business, a process that has been proven
many times over. Our experience is that the clarity of this approach contributes to a strong and beneficial client
relationship.
Step 1 - working with you on your
business
In an informal but confidential meeting we will review your current business plans
and forecasts. At the same time we will explore your objectives along with your aims and ambitions.
If we can identify positively with your objectives, and we believe your aims and ambitions are commercially
attainable, then at our own expense we will research the fundamentals of your proposition.
Step 2 - research and first due
diligence
Our research and initial due diligence will embrace a wide spectrum and is normally
carried out over a ten day period. If our conclusions differ in any way from your own we will discuss them with
you. If as happens quite frequently, we uncover new facts and useful information, you may wish to
incorporate this into your proposals. If we find our independent research concurs with your own, and we
are mutually agreed to move forward, we will offer you a Finance and Funding Agreement and/or a Letter of
Engagement.
Step 3 - making Agreements
If we are
requested to act for you in relation to a MBI/MBO or M&A we will offer you a formal Letter of Engagement
and quote you for each element of our services accordingly. Some services such as financial due diligence
and corporate finance will be provided by fully qualified professional associates or a firm of experts
recommended by us. If we are requested to seek a package of investment and loan funding for you on the
basis of your proposition, we will offer you a Finance and Funding Agreement to cover the services we aim to
provide for you.
Please note that in every case at this point, that is Step 3 of our funding process, we always ask for a
commitment fee at the beginning of any further activity, payable in full including VAT prior to our commencing
any work on your behalf. This fee will relate to the level of work required to complete our own due
diligence and ensure your proposition is investment ready and include a small part of the costs of our
showcasing your proposition to prospective funders. Please note that we do not guarantee any success in
fund raising for your business.
Please note that, in every case our fees are payable in full at the time of our invoice and are subject to
VAT.
Step 4 - driving the deal
With a Finance
and Funding Agreement or Letter of Engagement in place between us and in response to the receipt of your
commitment fee, we will carry out the following programme of activity:
-
Advise you what, if anything, needs to be done to your business plans and forecasts and other information
for funders
-
On occasions it may be necessary for us to recommend the temporary services of specialist advisers to
cover formal advice on corporate finance, accountancy, legal matters, tax planning, pensions and exit
planning
-
Prepare an investment opportunity briefing on your proposition ready for you agree and sign off
-
Advise you of any changes we perceive may be needed to your Company Management, Board structure and
procedures
-
Agree a program of fund raising activity that in our opinion is the most suitable for your business
investment proposition which may include one or more of the following: contact with private investors,
public funds, private funds, banks and mailings to our investor database
-
We will advise you as to what will be expected of you as an investee business and agree a course of action
to support you
-
We will assist you in drafting a first draft of a heads of terms ready for submission to legal advisors
Step 5 - concluding the deal and the
future
Once a Heads of Terms has been agreed between you and your legal advisors, lenders and
investors, and working from the agreed Heads of Terms, we will seek to assist you in concluding the deal and secure
completion of the investment for your business including:
-
Liaising with your, your legal advisors, prospective lender/s, investor/s and their agents and professional
advisors
-
Attend progress meetings with you or on your behalf
-
Attending the completion meeting with you
Attending up to three post-completion meetings
-
Working with you on as required in the future
Contact us today for an exploratory discussion - we look forward to hearing from you.
Go back
For further information contact...
| 