What should a business look for in a financier?
Money is just money. A commodity with a variable price depending upon the financial structure, time horizon and risk profile.
Yet all too often, businesses just focus on the price of the money. Ignoring the real value financial alignment can bring.
Consider a venture capitalist. When they look to invest in a business, they are assessing three key things
- The business fundamentals: That the company is well run and that there is a significant opportunity for it to grow.
- The Team: Competent managers with strong visionary leadership and drive.
- The value they can add: That the venture capital business itself brings additional, complementary skills. Enhancing the business’ likelihood of success.
If the opportunity does not tick all three boxes, the VC usually walks away.
Financial alignment adds value
Equally when you are looking to access finance, assess who you are borrowing from.
- How will the lender add to, or strengthen your team?
- What complementary skills does the lender bring to the table?
Because otherwise your financier is just a money supplier and you are overlooking a significant value add opportunity.
Alignment means parties work together. A financier that is invested in your business should work with you through thick and thin. Bringing what it can to the table to ensure your success. After all, debt is an investment, you have custody of the lender’s money.
At the International Acceptance Group, we finance businesses to take advantage of opportunities that will transform their business.
We work with them to achieve their business objectives.
With over 18 years’ experience, we have worked with hundreds of different types of business and industries. We can help.
Are you simply after money? Or is there a broader opportunity you should take advantage of here?
To find out how we can help you call 1300 729 955 or visit www.theiagroup.com.au.