How Secure is My Investment ?

Like any business, a Management rights business has risks. Banks and financiers that have specialist knowledge in Management Rights financing consider them to be at the lower end of the risk scale. This is because the diligent inspection of documents by the bank’s and purchaser’s solicitors, combined with a full onsite inspection of the business’ books of account (both trust & general accounts) by the purchaser’s accountant, give the banks a more comprehensive picture of the business than most other businesses. This is borne out by the fact that they will lend up to 65% of the goodwill component of Management Rights, whereas they are reluctant to lend anything at all on the goodwill of most other businesses.

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