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Purchasing Stock from Owners


Looking to sell a portion of owner’s stock?
 

TA Associates has a long history of providing liquidity to successful entrepreneurs, management, as well as private equity and venture capital firms, by purchasing a portion of their stock. We understand the seemingly contradictory objectives of partially cashing out while retaining majority ownership, and specialize in providing an alternative to a full sale or early public offering. These companies often share the following traits:
 

  • Established, profitable companies with strong track records
  • Entrepreneurs/managers who are interested in partial liquidity but are keen on retaining management control
  • Entrepreneurs who have the majority of their personal assets tied up in the business, making them naturally more risk averse in their decision-making
  • Entrepreneurs who seek to realize maximum values for their businesses through sale or an IPO

 

To meet your objectives, an investment structure would include:
 

  • TA in either a minority or majority ownership position, depending on the amount of liquidity you desire
  • Liquidity financed with either equity or a combination of equity and prudent levels of debt (commonly known as a leveraged recapitalization)
  • Debt potentially funded from TA's captive subordinated debt fund