FINANCING AN ACQUISITION WITH ADDITIONAL WORKING CAPITAL?

Hey everyone,

If you're looking to finance the acquisition of a company with a lender and wanted to increase your starting cash position, just to increase NWC, to have more financial elasticity while you get a grasp of actual operating the business. Could you roll this cash amount into the acquisition or would you have to set up an additional loan, assuming your after tax cash flows supported the additional loan?

Thanks for any insight



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