We are looking for someone who can invest a personal guarantee for 5MM

searcher profile

August 18, 2021

by a searcher from Vellore Institute of Technology in Indore, Madhya Pradesh, India

Acquisitions are heavily protected by assets and cashflow(4.3MM of assets and cashflow in the north of 2MM). We are just looking for a US based guarantor to complete the transaction. We will compensate the guarantor handsomely. DM me for connecting and discussing in detail.
Guarantee will be removed in 2 years once we refinance the deal.
We are offering either of the two:
1) 3% equity stake and 10% of the free cashflow per annum for 3 or 4 years from these subsidiaries where you will be putting your guarantee. This will stay in place even when the guarantee is removed.



2)3% equity stake and 7% of free cashflow for 3 years from every acquisition we make. This will also include acquisitions you haven't put your personal guarantee on

Equity stake will stay permanent.

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Reply by a searcher
in Charlottesville, VA, USA
My 5 cents is that this seems like a very asymmetric risk, getting 3% of the upside, but potentially 100% of the downside.
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Reply by a searcher
from Vellore Institute of Technology in Indore, Madhya Pradesh, India
As I have mentioned above, company assets and cashflow covers everything. Also, company executives are also signing the guarantee. So it's as safe as it gets. And it's not just 3%, it's also a percentage of cashflow for 4 years. Combined compensation will be in millions.
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