What Does a Private Investment Bank Like Allegiance Capital Do?
Allegiance Capital works with privately-held and closely-held companies; which means that we work with business owners, entrepreneurs, partners and families who own or control a privately-held business. We support these individuals in the following manner:
- When You’re Ready for a New Chapter
When business owners reach a point in their career when they wish to sell their business and maximize the return to themselves and any other shareholders, Allegiance Capital provides representation. This is a process that involves significant detail and takes considerable time. It takes a highly-trained investment banker to guide people through the process and do the bulk of the work required to bring a transaction to fruition. It also involves a strong marketing capability to bring in the best acquirers and generate the best price, all the while maintaining strict confidentiality. No business owner wants their customers, competitors or employees to be aware until they formally announce the transaction.
- When You’re Interested in a Sale of Equity
A sale of equity requires all of the same steps above, however, the owner remains in place, continuing to drive the business forward while selling some equity to a deep-pocketed financial partner who can help the business grow.
- When You’d Like to Grow Through Acquisition
We help clients grow through acquisition by identifying potential targets to be acquired that fit well with our client’s company both from a structural and cultural standpoint. We raise capital to bring these transactions to fruition.
- When You’re Ready to Recapitalize
We are able to assist in recapitalizing the business by consolidating any loans the company has, paying them off, providing a long-term capital raise to give the company additional working capital and lowering its monthly payments; all of this helping improve the business’ cash flow. For companies that have no debt, recapitalization provides a way for the business owner to take out a large amount of capital and continue to own 100 percent of the business.
- When You’re Interested in Personal Liquidity, but Not Cashing Out
A Minority Recapitalization has the power to complement the objectives for both an owner and a company, and is often an option for owners interested in achieving personal liquidity but aren’t ready to cash out completely or retire just yet. Through a Minority Recapitalization, an owner can realize their personal liquidity goals without giving up the majority control of the business.
- When You’d Like to Honor Your Legacy with an ESOP
An Employee Ownership Stock Plan (ESOP) whereby we create the structure and raise the capital to provide the business owner(s) a significant payday and provide employee ownership. There are many substructures to help owners achieve their particular goals.
- When You’re Seeking Non-Traditional Loans
An investment bank like Allegiance has the ability to assemble lending structures that a business owner may not be able to achieve from a traditional bank. In other words, when a bank says no, we have a variety of non-traditional lenders we can bring to the company to help meet financial goals.
- When You Need Capital to Grow
When a company has opportunities for significant growth but does not have the capital to support these initiatives, we bring in capital to help the company realize its goals.
- When You Want a Successful Exit
At Allegiance, we operate with a simple dictate: People who plan are much more successful than people who don’t. For owners who are not sure what the best course is for the future of their company, we work with them to help put together the most intelligent plan that meets theirs and their family’s requirements. Owners may wish to retire and pass on the business to their children. How does the owner get the income they require to live comfortably, but at the same time pass on the business to their children? In the case of an untimely passing, how do they protect themselves relative to estate taxes? Our exit planning professionals will work with the owner and family in determining the best course of action.