Buying out a business partner
Illustrative example — not a real client result
Considering funding for a proposed change in ownership.
The challenge
A business owner wants to purchase a departing partner's interest while maintaining enough cash for ongoing operations.
The approach
- Clarify the proposed transaction, valuation and ownership arrangements with professional advisers.
- Review business earnings, existing liabilities and the borrowing required.
- Assess repayments, working capital and any security or guarantees a lender may require.
Example outcome
This example maps the finance and advice needed to assess the proposed ownership change.
Partnership and shareholder agreements, tax consequences and lender approval need separate consideration.