Acquisition Financing Lenders

Are you looking to acquire a new business but need the funds to make it happen? Look no further than acquisition financing lenders like Customers Bank. These lenders specialize in providing the capital needed to buy another company, enabling entrepreneurs to expand and grow their operations.

Whether you’re a small or medium-sized business owner or a seasoned entrepreneur, acquiring another company can be a significant step toward achieving your growth objectives. However, securing the necessary funding can often be a challenge. That’s where acquisition financing lenders come in.

Customers Bank is a super-community bank with more than $22 billion in assets. We offer nationwide commercial and consumer banking services. Based on assets and market capitalization, we are among the 100 largest banks in America, with a national network of offices, operations centers, and branches.

With extensive experience in the field, we understand the unique financing needs and complexities involved in acquisition transactions. We offer various financing options, including loans, lines of credit, and mezzanine financing, tailored to meet the specific requirements of each acquisition. By partnering with an acquisition financing lender like us, you gain access to the capital you need to complete the transaction while benefiting from our industry knowledge and network.

What is Acquisition Financing?

Acquisition financing refers to obtaining the necessary funds to acquire another company. It involves securing capital to finance the purchase price of the target company and any associated costs, such as due diligence fees, legal expenses, and integration costs. Acquisition financing can take various forms, including debt financing, equity financing, or a combination of both.

Debt financing involves borrowing money from a lender who expects repayment with interest over a specific period, while equity financing, involves selling a portion of the acquiring company’s ownership to investors in exchange for capital.

The choice between debt and equity financing depends on several factors, including the acquiring company’s financial position, the parties’ risk appetite, and the desired capital structure.

Acquisition financing lenders specialize in providing the necessary funds for acquisitions. They understand the unique characteristics of acquisition transactions and offer tailored financing solutions to help entrepreneurs complete their acquisitions.

Traditional Banks as Acquisition Financing Lenders

Traditional banks are a common source of financing for acquisitions. We offer various loan options, such as term loans, lines of credit, and asset-based financing. We typically require collateral and have strict lending criteria. We may also need a personal guarantee from the acquiring company’s owners or management.

One of the advantages of working with Customers Bank is our stability and reputation. We have established lending processes and offer competitive interest rates. However, the application process can be lengthy, and approval may depend on the acquiring company’s financial history and creditworthiness.

Customers Bank offers traditional loans that require collateral, a solid credit history, and a detailed business plan. These loans usually have fixed interest rates and specific repayment terms.

SBA loans are guaranteed by the Small Business Administration and issued by Customers Bank. They are designed to help small businesses and startups acquire funding. SBA loans often have more lenient requirements than traditional bank loans, making them an attractive option for many entrepreneurs. We are proud to be an SBA-preferred lender.

Final Thoughts

Acquisition financing lenders like Customers Bank play a vital role in helping entrepreneurs and business owners realize their growth objectives through acquisitions. We can help you take your business to the next level and achieve your expansion goals. Contact our experienced bankers to explore solutions to meet your needs and goals.