I’m currently working toward getting in my first LOI, on a brokered deal. The broker has asked for proof of funds in order to move into exclusivity. I’m planning on putting together a short doc basically saying I have $X in soft debt commitments and $X in soft equity commitments, and giving a short description of each investor + their respective commitment amounts.

I’m a self funded searcher, and this will be my first time soliciting equity and debt providers. When requesting these soft commitments, how much information is customary to show them? Would an anonymized 1-page teaser using pre-NDA information + seller asking price be sufficient, or would they need to see a deck with company name, historical financials, thesis, etc? The dataroom hasn’t opened yet, and all I have is a P&L and a 50 page overview, both constrained by NDA. Should I also send them high level pref equity and debt term sheets too, or should they be comfortable with giving soft commitments regardless?

This is a brokered deal, so I want to move as quickly as possible and portray myself as credible as possible to the broker and seller by maximizing soft commitments. But I don’t want to go to investors with information I haven’t had the chance to fully vet or stress test through post-LOI dataroom diligence. Of course, when under LOI and formally seeking equity and debt, all diligence findings will be shared with financing providers.

Thank you!