How to Leverage Private Equity in an Internal Sale to the Next Generation

Hot Topic: Internal Sales to the Younger Family Generation | A Private Equity Perspective

A successful transition of ownership to future generations ranks high among concerns of family-owned companies, yet few families understand how they can accomplish this goal, especially when the business is the “nest egg” for the older generation. Buying a business is a complex process that requires significant capital, and it’s rare that the younger generation has the financial resources and wherewithal to complete the purchase in a way that offers immediate liquidity or access to funds to the older generation. Layer in issues like active and inactive family members or properly preparing the next generation to lead before the transition occurs and the complexity grows.

In this webinar, you’ll learn how private equity groups “sponsor” the next generation to fully fund the purchase of their family business and navigate the process required to successfully complete the transaction. You’ll also learn the benefits of using private equity to accomplish an internal sale versus other transaction alternatives.

Past Broadcast: Internal Sales to the Younger Generation: A Private Equity Perspective  |  Presented by Kyle Madden of KLH Capital  

Advisors will leave this webinar understanding how private equity groups work with families to transition ownership from one generation to the next and the basic mechanics (and benefits) of a private equity sponsored family succession transaction.  You’ll come away knowing how to identify when an owner/company is a candidate for this type of transaction and how to compare a private equity-backed transaction to alternative options such as seller financing and ESOPs.

When the time comes to introduce an owner to their options, you want to be able to recognize it and feel confident introducing the concept to your client.  This webinar can get you there.

Watch Three Educational Broadcasts Now:

The Exit Planning Institute believes in constant professional development. You can always continue to learn and grow. We strive to bring you consistent, thought-provoking, and topical broadcasts, to help you, your business, and your clients. EPI is proud to provide hundreds of webinars on technical, business development, and applicable topics each year to thousands of advisors across the globe.

In addition to the webinar above, we’ve got two more experts who specialize in niche areas that can help you take your expertise to the next level. Watch this week’s triple-header:

Watch Now: “[Free Webinar] Expert Insights with Jerry Woods of Byline Bank: A Top 10 SBA Lender Nationwide” presented by Jerry Woods

Watch Now: “[Free Webinar] The Business Value of Charitable Values: Enhancing Business and Advisor Bottom Line” presented by Laura Malone

Watch Now: “[Free Webinar] Internal Sales to the Younger Family Generation: A Private Equity Perspective” presented by Kyle Madden

About Exit Planning Institute:

The Exit Planning Institute (EPI) is an education company that provides exit planning education to advisors and middle market business owners.  We view exit planning as a strategy, not an event.

EPI leads the professional services profession with the best industry content, ongoing support, and owner education platform, all of which align with our mission: Change the outcome.

Only 2 out of every 10 businesses that come to market actually sell.  We want to increase the number of saleable businesses.

Only 30% of family businesses successfully transition to the second generation, only 12% transfer to the third, and the success rates diminish from there.  We want to improve those intergenerational transitions.

Of those that succeed in the sale of their business, 75% experience “profound regret” within one year of exiting their business.  We want to understand why and create strategies that achieve profound success, wealth, and satisfaction.

EPI is an education company, powered by an elite community of top advisors and owners, all focused toward creating a valuable, transferable future for the business marketplace.