What should you look for when making a private loan to a business? It’s very important that you understand the standard commitments a business Borrower should be making to you… and that they are part of your loan documentation! A Summary of Terms (often called a...
Accounting 101 – Not your best subject. But, if you intend to invest in a private company, spend a few minutes on these crib notes. They may save you a bundle down the road. You may remember, from your freshman year accounting class, that there are three main...
The following outlines the major reasons why businesses may choose to use debt financing over issuing equity when capital is needed. Businesses and other entities can finance their enterprises by issuing equity or using debt, such as borrowing funds through loans or...
You’ve decided to invest in a short-term private debt Security. Or, perhaps, a private equity investment. Great! Now what? Let’s review what you can expect in the way of Closing Documents, such as the Private Placement Memorandum. Closing Documents include agreements...
Your brother-in-law tells you this Company is going to revolutionize the (…pick an industry). And these people are incredibly experienced in this field. “Let’s invest together,” he tells you. Well … let’s take a deep breath and think about private investing and what...