Possible to get a loan against my private company stock/equity ownership?

by a searcher

2 years ago

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?

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intermediary from Universidade de São Paulo

Yes, under certain conditions, eg: your financial rating, the quality of your balance sheet, the strategic positioning of your business (the more singular is the solution you serve the market the greater is the chance to attract investors)

2 years ago | like reply | 0 likes

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