QUESTION ON FILLING GAPS IN FUNDING
Let's say two of ten (traditional search) investors decides not to follow thru and invest in the purchase of a business.
What are best practices with getting that 20% gap filled? Should you (Do you have to) give the other 8 an opportunity to buy 1/8th of the gap? Does the searcher pick whoever they want to fill the gap? Thoughts around picking gap fillers?
What happens to those 2 who dropped out? Do the gap fillers buy out the search capital or just the gap? How does that dynamic work?
Trying to understand decision making responsibilities/authority and best practices when most are in but need to fill a gap.