Management Buy-Out & Management Buy-In finance: maximise rewards and increase growth

As a manager, you know your business better than anyone – and now you’re ready to own it.

If you are hoping to make the leap from manager to shareholder, we can provide the capital you
will need for a management buy-out (MBO) or a management buy-in (MBI).

We offer loans of up to £10m, tailored to your needs as you take ownership of the business.

How it works

We offer growth capital in the form of venture debt and term loans, as a tool to propel your firm’s growth. We tailor our offer specifically to your needs and as a manager of your business, you will be at the centre of the design of this strategy. Our funding will give you the means to take ownership of the company and to begin putting your plans into action.

Growth capital from alternative lenders like BOOST&Co is usually available earlier in a business’s life cycle and in larger amounts than loans offered by traditional banks, which is why this type of funding is particularly effective for fast-growing businesses. We will want to see an established business model and clear prospects for growth under your ownership, but we do not necessarily expect your firm to have reached profitability or to demonstrate positive cash flows.

What we need

We want to help great managers become owners, so we will look to work alongside you from the word go. Establish your plan; you know when the time is right to make a deal and to find funding, and then come and talk to us. 

We like to meet future owners at an early stage, even if the terms of your MBO or MBI have still to be finalised. We want to work with experienced industry participants who are fully committed to owning their business and taking it to the next level.

During our conversations, we will ask you to qualify your deal. We’ll explore every aspect of the business with you, looking at its current performance and your plans for the future, before agreeing the terms of the loan. Then we will move on to due diligence, confirming all the aspects of your deal and the key details of the business.

What you can expect from us

At BOOST&Co, we have extensive experience of management buy-ins and management buy-outs.
We can help to build the optimum funding solution for your transaction.

People, not machines, process every application for a loan from BOOST&Co.

Once you have submitted an application, our experts will quickly gain a thorough understanding of your business, which helps us to assess how much we can lend.
We will then tailor your venture debt after further discussions with you.

The process usually takes six to eight weeks, and our expert team will support you every step of the way.

Start a conversation. Chat to us via phone, email or social media to tell us what you need

Share data. The more detailed, the better – we want to know all about how your business works

Shape your loan. We discuss your needs to create a tailored offer and sign a term sheet

Due diligence. We confirm all the aspects of your deal and the key details of your business

Frequently asked questions

1. What is a management buy-out (MBO)? Click to expand answer

A management buyout is where a company’s management team purchases the assets and operations of the business they manage. An MBO is appealing to managers because of the greater potential rewards and control from being owners of the business rather than employees.

2. What is a management buy-in (MBI)? Click to expand answer

A management buy-in is a corporate action in which an external manager or management team purchases a controlling ownership stake in a target company and replaces the existing team in place. This type of action can occur when a company appears to be undervalued, requires succession, or will benefit from the knowledge of a more experienced management team.

3. Are MBOs and MBIs risky? Click to expand answer

A well-managed MBO or MBI will be executed swiftly and smoothly, limiting the impact that a change in leadership will have on the company.

However, shortfalls in performance during the transaction should be taken into account and it should be ensured that the business can still meet its financing obligations in terms of repayment of debt, any interest payments and the requirements of any equity investors. 

This places even more emphasis on choosing a lending team that is experienced with these types of deals, as they will help mitigate the risks often associated with MBOs and MBIs.

Apply now

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