Determining the funding structure

Taking into account transaction costs and expenses (which may include stamp duty and other transaction taxes) as well as the likely purchase price (and any required expansion or working capital), the sponsor will consider how best in the current environment to finance the purchase. This guidance note highlights the various factors which will be considered including sponsor preferences, appetite from various debt providers for the business sector and the proposed type of the transaction, ease of amendments, negotiation, flexibility etc.

See Determining the funding structure.