Dear all,
I started raising search capital for my search fund in West Africa in early January###-###-#### However after preliminary discussion with some potential investors, I felt the need to generate pipeline. Thanks to my past experience in Private Equity, I managed to source few proprietary opportunities I like (with NDAs signed and information shared) and I think there is opportunity to have a closing in the coming months. Therefore at this moment I don't feel the need to raise the search capital anymore (except maybe for due diligence and closing fees, but i have not decided yet). I still plan though to do the fundraising for the acquisition as I don't have myself the funding. Hence my questions are:
- As a searcher what does this situation change for me in terms of shareholding structure I could expect vs a traditionnal search fund and vs a self funded search fund. I have read about traditionnal and self-funded search but i guess my case is somewhere in the middle?
- If I decide to raise funds for diligence, structuring and closing fees, how would it count? I am guessing a 50% step up on those funds but I am wondering the kind of shareholding benefit would i expect as a searcher in that case
Many thanks in advance,
Sidy
Structuring a transaction when no search capital has been raised

by a searcher from Institut d'Etudes Politiques de Paris (Sciences Po)
More on Searchfunder
Searchfunder is an online community and toolkit for searchfunds. Over 80% of those involved in searchfunds maintain a Searchfunder.com account to help them network, problem solve challenges, and keep up with the industry.
We maintain partnerships with database providers that make searching more effective, efficient and affordable along with features that help searchers find deals and investors and vice versa.
We maintain partnerships with database providers that make searching more effective, efficient and affordable along with features that help searchers find deals and investors and vice versa.
155 views
4 comments
Sign in to see all replies.
Create an account.