POSSIBLE TO GET A LOAN AGAINST MY PRIVATE COMPANY STOCK/EQUITY OWNERSHIP?
I am aware of the ability to get loans against public equity portfolio but curious to see if there is something similar for private company ownership?
ex. own 50-80% of a typical run-of-the-mill, old economy, lower-middle-market company, and based on the acquisition valuation from 1-2 years ago, my stake would be worth $5M on paper.
Can I go to a lender/financial institution to get a $2M-$3M loan based on my $5M private company equity valuation pledged as collateral?
If yes, who are the contacts in this space?