Points to consider if you’re considering a management buyout (MBO)
An important aspect of executing an MBO is to ensure financing. Tradera was supported by Nordea Business Banking Stockholm and its specialists within Corporate Advisory.
- At Nordea we’re very proud and happy that Tradera’s management team trusted us to give advice and provide financing. The team consisting of a relationship manager and our specialists did an amazing job in making it possible to complete the acquisition and, at the same time, creating a foundation for Tradera to continue developing and contributing to a more sustainable society.” Mikael Moraeus, Head of Mid Corp Stockholm, Nordea.
Make sure that the basic requirements for an acquisition exist; will the owners sell? Is the company not strategically important for the owners?
- Have a discussion with the owners and be open about ambitions and intentions.
- Start the discussion with your banking partner at an early stage and make sure financing is in place in good time.
- Ensure that you agree with other owners about your ambitions and other eventualities: Agree on questions such as how much money will you inject? What happens if someone falls ill?
- Get help from experts to get a fair valuation of the company and get the necessary agreement in place.