Non-Dilution Funding

Making non-dilution funding work for technology companies

Non-dilution funding can be a realistic and achievable alternative to equity funding. Loans from lenders and banks add value without diluting equity, allowing you to fund the next step in your company’s path to success while maintaining your stake in the business.

There is often the perception that banks are not interested in propositions from the technology sector. MSC have proven this not to be the case - through our expertise and support we can help you achieve the funding you require.

Approach

MSC’s funding success is achieved through our combined proficiency within both the financial services and technology sectors. Our industry experts first build a complete understanding of your business and underlying technology, then make a thorough financial analysis, before formulating a proposition that will provide all the answers to the questions that the banks and lenders are going to be asking.

The few technology companies approaching banks often struggle to communicate advanced concepts and value in their technology to those unfamiliar to their sector. Through our experience and knowledge we can ensure that the correct information is presented in a style and format that will create interest from the banks.

Our diverse pool of resources allows us to match appropriate lenders to the different types of proposition based upon factors such as: the type of business; its stage of development; the individuals within the business and their circumstances; the amount required; the term; and the type of lending required.

Among the products considered will be:

·       Enterprise Finance Guarantee,

·       asset finance,

·       invoice finance,

·       bank overdraft,

·       bank loan

Fast Track Process

Because we appreciate that your time is precious and that you want to be concentrating on running your business rather than trying to win over lenders, MSC employs its Blitz methodology, requiring only minimal but concentrated input from the key personnel within the business. The whole process is completed within weeks rather than months, meaning that the company is not distracted from its core business and can access the funds more quickly than would be the case with equity funding.

Contingency

Following the initial assessment stage, MSC work largely on a contingency basis meaning our focus will be firmly on accessing funding for your company in as short a time scale as possible and at the best rates available. Most of the interaction with the lender will be handled by MSC meaning little distraction for the business. 

Expert Consultancy

Although MSC’s primary objective is to achieve the most from potential funding, our analysis process offers a unique opportunity to view your business from a new perspective. Our analysts are all senior consultants with valuable industry-specific expertise and our clients have found this to be an invaluable resource. They provide an in-depth third party evaluation of your business and development strategy, which can result in important changes to its future direction.

Maintain Control

Funding can be required for a number of reasons including working capital, growth, taking new products to market, changes to stake-holding, etc. Non-dilution funding provides you with the opportunity to fulfill these funding requirements while maintaining the maximum stake in your business and providing you with the greatest potential rewards from its success.

Equity funding has a strong role to play in certain businesses with a key set of circumstances. However, there is a non-dilution route to obtaining funding that is too often overlooked or not given a real chance at succeeding. This is a result of apprehension about approaching banks or not presenting the correct information to the correct people. And that’s where MSC can help.