If you’re part of an external management team looking to buy a company, you’ll probably require a form of business finance alongside any equity finance you’ve raised. Fortunately, a growing number of alternative lenders are specialising in MBI finance.
A Management Buy-in is when an incoming management team purchases an existing company. As well as investing in the business, the team manages it too. MBIs typically require large sums of money, which is where business finance comes in.
To ensure the purchase goes through, the management team acquiring the business will need the right type of funding. MBIs can be funded using one type of finance, but you can also use a combination of secured or unsecured finance options, including:
Asset finance – buy-ins can be funded by releasing money against the assets on the company’s balance sheet, alongside other types of business finance.
Term loans – term loans allow you to spread repayments – plus interest – over an agreed time frame instead of having to pay it back immediately.
Mezzanine finance – if you require a short-term cash injection to get you from A to B, mezzanine finance could be worth exploring further.
With unsecured finance, your business won’t have to provide security
Check your eligibility with our 120+ commercial lenders to find the right fit for your Buy-in
You dedicated Corporate Finance Specialist explains the process in detail
Our service is free and won’t affect your personal or business credit score
Representative example*
7.63% APR Representative based on a loan of £50,000 repayable over 24 months. Monthly repayment of £2,252.94. The total amount payable is £54,070.56
*Some lenders may apply fees during the application process, please note that these are set and provided by these entities.
Annual Percentage Rate
Rates from 2.75% APR
Repayment period
1 month to 30 years terms