The challenges of future-oriented family businesses lie in internationalisation, diversification and digitalisation - this requires investment in new technologies. The right financing is an important factor for the future orientation of SMEs.
Your financing in view
In addition to the question of financing with equity or debt capital, family businesses and SMEs also have a broad financing portfolio (in particular cash pooling as an intragroup financing instrument) at their disposal.
In general, the financing behaviour of family businesses is characterised by a long-term orientation, striving for independence and risk aversion. Family businesses are generally assumed to have a conservative financing policy, which is supported by a strong focus on internal sources of financing and a generally high equity ratio. In addition to internal financing, long-term loans have been favoured by SMEs, which has led to long-standing relationships with house banks. In recent years, these have increasingly been replaced by syndicated loans for larger volumes, which offer security and flexibility to family businesses and SMEs as a safety buffer and central financing component.
In addition to bank loans, bonds and promissory notes are increasingly becoming favoured sources of financing, as family businesses and SMEs attach importance to a largely familiar group of investors, relatively short preparation times, lean documentation and less restrictive accounting and publicity requirements. The market for SME bonds also provides family businesses and SMEs with market access for companies with smaller financing requirements. Bonds and promissory notes are particularly in demand for specific investments.
Our advisors are at your side
- Identify sources of financing for your family business
- Interdisciplinary advice in connection with the legal and contractual structure for your optimal financing
- Identification of financing requirements
- Financial planning
- Meetings with lenders
- Refinancing