Private equity is the investment of capital in a business
to enable it to expand and flourish to its full potential.
Conventional lending such as bank loans require the
business to pay an interest rate and to make capital
repayments regardless of the success of the company.
Contrastingly private equity providers like Maybrook
Saint James offer funds in exchange for a stake in the
business. In some cases private equity providers such
as ourselves do additionally require interest payments
or repayment of borrowed sums at a set dates during
the life of the business rather than purely on exit.
Equity finance providers usually extract their returns
in the form of dividends which are married to the overall
growth and profitability of the business and are a healthier
and sometimes more preferable arrangement.