How To Use Debt for Acquisition Financing: Comprehensive Guide

What's Inside

Eyeing the next stage of growth for your company? You might be considering an acquisition. And while the company you’re looking to acquire and the terms of the deal are important, you’ll also need to come up with an acquisition financing plan.

Acquisitions are a powerful strategy for business growth, and using debt to secure the required capital is becoming increasingly popular. In the first three quarters of 2023, 86% of leveraged buyouts(LBOs) were financed through private credit, a significant increase from 40% in 2018. This upward trend highlights the growing reliance on debt for acquisition financing.

In this guide, you'll learn more about:

What acquisition financing is
The benefits of acquisition loans
When to use debt for acquisition financing

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Fueling Growth & Innovation

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We are dedicated to providing connections without the burden of additional costs and empowering more businesses to achieve their financial goals.